Latest Car News in India

Thursday, July 23, 2015

By Kriti Gupta

Rain of heavy discounts on luxurious cars

It's not just incessant rains that are flooding the roads this monsoon. Triggered by tumbling demand, luxury-car makers are offering freebies and steep discounts that shave off more than Rs 5 lakh from the price of popular models such as the BMW 5 Series, Audi A3 and the Mercedes-Benz E-Class. Customers can buy their favourite cars without making a down payment or avail of interest-free finance in a market that has stagnated for the past three years. A sluggish economy has aggravated worries for Mercedes-Benz, Audi and BMW, which dominate the market and are now doling out innovative schemes to arrest a steep fall in inquiries and sales. "It is perhaps the toughest time for luxury cars," said a dealer of luxury cars "Traffic of customers is down 20-25% for the past two months over the past year, creating a panic and forcing us to double our monsoon season discounts." 
All brands have been hit. Tata Motors-owned Jaguar Land Rover is offering down payment of Rs 11.25 lakh, a three-year maintenance package, one-year free insurance and financing of balance amount on its Jaguar XJ sedan. Audi has come up with a bullet payment for its A3 sedan and the Q5 SUV, assuring 55% buyback value on vehicles after three years of use, besides direct cash benefits to the tune of Rs 4 lakh. 
 Mercedes-Benz, which posted 41% growth in the first half of the year on demand for newly launched models, is also offering discounts. It assures customers of 50% buyback value after three years and a discounted EMI of Rs 57,777 on its C-Class, while its GLA-Class comes with first-year insurance paid, a Rs 1 lakh exchange benefit and a discounted 8.99% finance option. We are focused on our strategy by giving fully featureenriched Mercedes-Benz vehicles. We offer innovative financial packages, special insurance products from Mercedes-Benz Financial Services to ensure better value for our offerings," said Eberhard Kern of the India unit. 
Courtesy: Economic Times

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