New & improved automobiles await their passengers

Rising petrol and diesel prices and an upswing in the car-owning cost have not dimmed the festive lights for auto manufacturers. They are swamping the market with new launches and face-lifts ahead of the festive season, clearly to tap the demand.

As Tata Motors unveiled its new version of compact sedan Tigor and SUV Hexa XM+, Ford announced new version of Aspire, again a compact sedan. Hyundai has showcased its all-new Santro in Chennai and it is likely to be launched later this month. Honda launched its new CRV while Mahindra came out with its new multi-purpose vehicle, Marazzo. Market leader Maruti Suzuki has unveiled special edition of WagonR and is expected to launch new Ertiga this month.

These announcements come at a time when sales of domestic passenger vehicles have slipped for the second straight month in August, primarily because of a high base and muted retail demand.

The passenger vehicle sales fell 2.46 per cent in August to 2,87,186 units, after a fall of 2.7 per cent in July, according to data by the Society of Indian Automobile Manufacturers (Siam). September sales numbers are yet to be announced.

RS Kalsi, senior executive director (marketing & sales), Maruti Suzuki, told DNA Money, "We are excited about the festival season as it is the auspicious time for customers to buy their favourite car."

"Maruti Suzuki offers myriad choices across segments and in this festive season our retail network brings customized offers across our model range," he said.

Hyundai Santro (AH2), a runaway success since it first launched in 1998, is being launched later this month, said a Hyundai spokesperson. "This is the biggest launch of this decade and will have a very positive impact on the Indian auto industry as it will set the trend and benchmark in technology, design, innovation for next many years for cars in entry level segments. AH2 will be a game changer car which will meet and exceed new age customers who are evolving and smart buyers as per the global trends," said the spokesperson.

Sridhar V, Partner, Grant Thornton India LLP, says the festival season is expected to have fireworks in the form of few launches, upgrades, discounts, teaser advertisements with each OEM (original equipment manufacturer) competing for footfalls and eyeballs expecting to result in gala sales.

"Every year, PV (passenger vehicle) segment looks forward to a good monsoon followed by a festival season as a booster dose to improve the sales volume in a significant manner. This year is no exception. In the past two months, the vehicle manufacturers have started gearing up their marketing strategy to tone up sales volume this festive season. New introductions and upgrades are expected to perk up the interest. One dampener is the increase in fuel price. The industry expects this may not depress the buying interest in the short term," Sridhar said.

Kalsi adds to the enthusiasm of India's most anticipated festive season, we are also launching Limited Editions to meet the aspirations of young Indian customers. "The WagonR Limited Edition with twin value loaded options for accessory packages is the first one to be announced and we have ramped up the availability of popular models such as Baleno, Swift, Dzire and Vitara Brezza and are ready to meet the increased customer rush during the festive season."

Experts also say rising fuel prices will not be a major concern for buyers as such fluctuations keep happening and the upcoming festive season might become a stimulus to the sales and overall sentiment in the auto industry.

Game Changer

Hyundai Santro (AH2), a runaway success since it first launched in 1998, is being launched later this month. AH2 will be a game changer car which will meet and exceed new age customers.