Keeping their decreasing sales in mind, car makers like Maruti, Nissan, Hyundai, Ford and Toyota are selling their cars at discounted rates in a bid to attract clients. These companies are trying to attract customers by offering bargains on sedans and small cars, ranging from Rs. 20,000 to Rs. 70,000.
Nissan launched Sunny in 2011 at a decent price tag of Rs. 5.83 lacs, but is now offering a discount worth Rs. 52,000 for the car. Ford is also offering Rs. 75,000 discount on Ford Fiesta, which was launched in July 2011. The new hatchback by Toyota, Etios Liva, comes with a selective discount of up to Rs. 40,000 for the petrol variant. Hyundai's Eon, launched globally on 13th October 2011, comes with a discount of up to Rs. 20,000 in selected regions.
High fuel price and interest rates have affected car sales. Only a few cars managed to attract customers in 2011, though the new Maruti Swift and Hyundai Verna continue to have long waiting period. A senior executive of Maruti said, “We were lucky with Swift. The car sales have been steadfast in the tough market condition. It's getting increasingly difficult to propel sales as even new cars don't guarantee success in the country.”
The launch of new cars is no longer a potent strategy. Abdul Majeed, leader, automotive practice, PricewaterhouseCoopers India said, “A launch may not do well in the current market as customers are wary about the economic uncertainty as well as the swelling cost of car ownership. The wider choice in models, along with cut-throat competition in prices and features, has forced some of these new cars out of contention.”
