It is a buyers’ market out there in the country’s automart.
If you are planning to buy the first dream car or upgrade to the next one, then this is perhaps the best time. Most automotive companies are offering a slew of discounts and freebies through dealers to boost year-end sales in a sagging market.
These include direct cash discounts, option of zero payment on insurance for three years with extended service warranty and loyalty bonus. One carmaker even allows the customer to take possession of the vehicle after paying the initial loading amount. The rest can be paid after three years.
Typically, companies roll out discount schemes during the last months of the year to stop inventories piling up. This year, they face extra heat due to the slowdown in the sector. In November, car sales in India slumped 8 per cent.
Toyota Kirloskar Motor has offered discounts ranging from Rs 32,500 to Rs 60,000 to woo buyers, while the Midnight Surprise scheme of Ford India offered discounts varying from Rs 58,000 and to Rs 1.87 lakh on sales on December 5.
Skoda India, the local arm of the Czech carmaker Skoda Auto, is offering a ‘buy now and pay from 2015’ option. The buyer has to make an initial loading payment. US carmaker General Motors, which sells the Chevrolet models in India, calls its offer “12 models, 12 offers for 12 days.”
Tata Motors Ltd, France’s Renault and Maruti Suzuki India Ltd are offering model-specific discounts now, and more are on the cards. Vinay Saboo of R.K.S. Motor, a Maruti Suzuki dealer, said in the past few years, December has been an exciting period for car buyers as companies tend to offer discounts.
Adds Bashir Babu Khan of Vibrant Ford: “The festival season mood has spilled over to December and Ford is offering huge discounts. There is a high visibility campaign for Ford offer spanning print, TV commercials and social media. All these attract people on the verge of buying a car from the showroom.”
Saral Talwar of Talwar Motors says: “Hyundai is offering discounts ranging from Rs 5,000 to Rs 50,000 on its cars. However, there is no discount on new car i10 Grand. This is a limited period offer till the stocks last. Most car makers tend to hike prices in January, so it is a good time to pick up one.”
“As opposed to assessing a car based on the mileage, in India, it has so far been based on the year of manufacture. Year change leads to depreciation. Maruti tends to come out with its offer during December 6-7,” he adds.
It is a good time to buy as manufacturers have hinted at price hikes early next year.