Tuesday, September 25, 2012
By Manoj Kumawat
Honda Brio, Jazz, City price to go up by upto Rs 15,000 from Oct 1
The Indian car industry pundits are unable to predict the next step of Honda Cars India. The reason behind this is the recent announcement by the car maker regarding the proposed price hike of its popular cars such as Honda Brio, Honda City sedan and the more than hatchback Honda Jazz. Honda proposed a hike up to 2.6 percent in the price and it will be applicable from October 1. Call it a strategy to fetch some quick numbers on the sales chart or Honda’s attempt to recoup loss, but it is sure that price hike at a time when all other companies have lined up offers and rebates is surely a thing that is out of purview of even the best marketing strategists. The proposed price hike also seems to be unjust as the Honda car sales in India are already in tantrums following the petrol price hike lately as well as due to the absence of Honda diesel cars.
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As per another report, the car maker has also expressed that it will be launching diesel cars in India by 2014. This is a welcome move but launching Honda diesel cars such as Honda City diesel and Honda CR-V diesel or Honda Civic diesel two years from now means that there will be more than expected entrants till then in the respective segments and it could ruin the fate of Honda cars in India. The brand that is suffering for one or the other reasons since 2011 started recovering its losses starting January but soon after there was a huge petrol price rise upto Rs 7.5 per litre and this has dampened the sales of Honda cars in India severely.
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The present move to increase the price of its cars, though marginally will set in a negative sentiment among the car buyers and no wonder people will form an opinion that Honda cars have become costly than earlier. As per the official announcement Honda has raised the Honda Brio price by Rs 1000 while the Jazz price will see an increase by Rs 15,000. Meanwhile price of the most popular sedan Honda City has been increased by up to Rs 6,000. The price of other Honda cars including CR-V, Civic and Honda Accord will remain the same.
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