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Old 11th July 2011, 23:27   #61
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Default re: Honda slashes price on Jazz as well ? EDIT: Launch pics of new Jazz Pg.56

Why couldn't you announce this 6 months back when I was looking to buy a car Honda?!! At last you have come off your high horse !! good for you.
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Old 11th July 2011, 23:33   #62
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Default re: Honda slashes price on Jazz as well ? EDIT: Launch pics of new Jazz Pg.56

Great news for new car buyers. Even i am being tempted. But, does bring into perspective the kind of margins Honda had.. Its crazy how much they have encashed their brand value selling overpriced cars.
Thanks to the i20, ANHV and the Vento for bringing them back to mother earth.
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Old 11th July 2011, 23:37   #63
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Default re: Honda slashes price on Jazz as well ? EDIT: Launch pics of new Jazz Pg.56

I don't want to curse Honda.
People like me were foolish enough to buy the car....I thought it might be marginally overpriced after all the discounts I managed but this is beyond my wildest dreams. It is at par or may be cheaper than the I20/Polo. Forget it, the plain jane Liva top-end costs almost the same. I am sure it will set the sales charts of fire.

But Honda has done their reputation no good IMO.
I guess you always take a risk when you buy a low-selling model in the market.
Look at Fabia - Skoda reduced the prices no doubt, but they cut the features as well. SO, at least, the previous owners can feel somewhat satisfied considering they have some extra features at a higher price.
Look at Honda, they just reduce 1.75L without any cut in the features - that is a whooping 20% + reduction in the price.
My next car won't be a Honda for sure.
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Old 11th July 2011, 23:41   #64
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Default re: Honda slashes price on Jazz as well ? EDIT: Launch pics of new Jazz Pg.56

Quote:
Originally Posted by adimicra View Post
I don't want to curse Honda.
People like me were foolish enough to buy the car....I thought it might be marginally overpriced after all the discounts I managed but this is beyond my wildest dreams. It is at par or may be cheaper than the I20/Polo. Forget it, the plain jane Liva top-end costs almost the same. I am sure it will set the sales charts of fire.

But Honda has done their reputation no good IMO.
I guess you always take a risk when you buy a low-selling model in the market.
Look at Fabia - Skoda reduced the prices no doubt, but they cut the features as well. SO, at least, the previous owners can feel somewhat satisfied considering they have some extra features at a higher price.
Look at Honda, they just reduce 1.75L without any cut in the features - that is a whooping 20% + reduction in the price.
My next car won't be a Honda for sure.
I appreciate the fact that you have spoken your heart out adimicra - as it is said - you cannot please everyone.

Honda chose to please the future buyers (who, arguably, shall be much more in number) than the current owners. Cutting feature from Jazz IMO would have diluted the image of Jazz and Honda.

Perhaps a soothing touch from Honda may be to offer a free service period + goodies pack to existing Jazz owners.

Last edited by blackasta : 11th July 2011 at 23:43.
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Old 11th July 2011, 23:42   #65
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Default re: Honda slashes price on Jazz as well ? EDIT: Launch pics of new Jazz Pg.56

Good Morning HONDA!

Somebody in your management just woke up!!

Great going... but please slash prices of the rest of your line up (Accord, CRV, etc) as well and get them back in the market ...
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Old 11th July 2011, 23:43   #66
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Default re: Honda slashes price on Jazz as well ? EDIT: Launch pics of new Jazz Pg.56

I am not worried about the price reduction, but worried about more Jazz cars on the road. Damn, that makes me lose my exclusivity after paying so much....
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Old 11th July 2011, 23:45   #67
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Default re: Honda slashes price on Jazz as well ? EDIT: Launch pics of new Jazz Pg.56

Quote:
Originally Posted by adimicra View Post
...Look at Honda, they just reduce 1.75L without any cut in the features - that is a whooping 20% + reduction in the price.
My next car won't be a Honda for sure.
It might not be fair to say it is a 1.75L reduction. 60-75L discounts were always on, a person I know managed to get 1.20L discount from a dealer in Ahmedabad after huge rounds of bargain. 1L discount was pretty common if you could "talk". So net-net, I would say it is more of a 75k additional discount. Not sure if that will make you feel better, but sad to hear that from you.

I am still curious how honda reduced the price without cutting features? Did they suddenly increase the localization? Any insider information?

Last edited by SunilM : 11th July 2011 at 23:46.
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Old 11th July 2011, 23:46   #68
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Default re: Honda slashes price on Jazz as well ? EDIT: Launch pics of new Jazz Pg.56

If this is true then Honda has done what the jazz deserved all along - A superb price for a superb car so that it sells well

90BHP petrol + Safety features + spacious interiors + Honda Badge @ sub 6L ex-showroom is fantastic!

Sleepless nights ahead for all other premium petrol hatches.
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Old 11th July 2011, 23:47   #69
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Default re: Honda slashes price on Jazz as well ? EDIT: Launch pics of new Jazz Pg.56

There is another side of the coin also. Low sales are not only reason that Honda is reducing its car prices. By doing this they are creating a space for pricing same car with diesel mill. A diesel car will cost at least 80-100K over the petrol variant, which is the reason they are reducing the prices by such margin. As Honda is developing diesel engine which should be ready by two years, it is required to correct the prices of their cars to accommodate diesel engine in right price bracket.

We shouldn't be worrying much; Honda is bringing the diesel folks!

PS - The same will follow for Civic, CR-V and Accord.

Last edited by bluevolt : 11th July 2011 at 23:50.
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Old 11th July 2011, 23:57   #70
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Default re: Honda slashes price on Jazz as well ? EDIT: Launch pics of new Jazz Pg.56

Clarification needed:

great news to see the Jazz now being sold at a sane price. however, i noticed that, across segments, there is a cut of approx 1.57 lacs. then why is it being quoted 1.75 L?

Is this cut applicable for the current stock only? is a refurbished, face lifted one in the offing soon?

Thanks,
Abhishek
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Old 12th July 2011, 00:02   #71
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Default re: Honda slashes price on Jazz as well ? EDIT: Launch pics of new Jazz Pg.56

If wishes had wings - I would want a Jazz X + AT at appx 6.5 Lakhs now. Honda has a great 5 speed slushbox - why not mate it with the 90bhp engine?
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Old 12th July 2011, 00:05   #72
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Default re: Honda slashes price on Jazz as well ? EDIT: Launch pics of new Jazz Pg.56

I am flabbergasted! this is shocking news!! Given the 100 page threads on Honda pricing this is a complete blow to any theory on Honda.

This is totally uplifting news for the Indian car market, we need competition and pricing like this rather than fake 'premium' stunts that devalue the rupee and limit numbers for no reason.

There was never any debate on the quality of the Jazz, few people are negative on the car itself, with this price competition will simply vanish, the space and interiors of the jazz are excellent. This is total VFM.

Are they planning to launch the 1.5 at higher prices?
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Old 12th July 2011, 00:06   #73
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Default re: Honda slashes price on Jazz as well ? EDIT: Launch pics of new Jazz Pg.56

Quote:
Originally Posted by e46 View Post
Clarification needed:

great news to see the Jazz now being sold at a sane price. however, i noticed that, across segments, there is a cut of approx 1.57 lacs. then why is it being quoted 1.75 L?

Is this cut applicable for the current stock only? is a refurbished, face lifted one in the offing soon?

Thanks,
Abhishek
Yes, reduction is 1.57 Lacs only, across segments. My guess is, the quoted figure of 1.75L is "assuming" that they still continue with the 1 rupee insurance scheme for Jazz.

Last edited by SunilM : 12th July 2011 at 00:10.
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Old 12th July 2011, 00:10   #74
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Default re: Honda slashes price on Jazz as well ? EDIT: Launch pics of new Jazz Pg.56

Let me try to clear some misconceptions about the business of making and selling cars. The general perception here seems to be that Honda had fixed a huge "profit per car" (margins) on Jazz and had hence priced it at Rs. 8 lacs all these years.

PROFIT PER CAR is never a metric used by car manufacturers. Actually,

Profitability of a model = (price) * (Volumes)

You can basically play with the price to achieve desired volumes. A car will be profitable for a car company when it sells at a particular monthly run rate. Basically, Honda could make higher profit on Jazz at the new cut rate price now provided there is a significant increase in sales.

Remember JLR under Ford when it was making huge losses? Remember Ford & GM in 2009? Just a 20% increase in JLR's sales under Tata swung JLR into one billion pounds profit. A smaller increase in Ford & GM's sales in 2010 swung it back into large profits.

I expect Honda to be smarter than just reducing the price and hoping that volumes would pick up enough for them to keep their cash registers ringing. See, Jazz and City have been around for 2 years. I expect Honda to have significantly increased localization in Jazz and slightly increased localization in the City (had a fairly large localization levels anyway) - that could be one of the factors for the Rs. 1.75 lacs and Rs. 66,000 cut in Jazz and City respectively.

Last edited by smartcat : 12th July 2011 at 00:16.
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Old 12th July 2011, 00:14   #75
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Default re: Honda slashes price on Jazz as well ? EDIT: Launch pics of new Jazz Pg.56

Quote:
Originally Posted by bluevolt View Post
By doing this they are creating a space for pricing same car with diesel mill. A diesel car will cost at least 80-100K over the petrol variant, which is the reason they are reducing the prices by such margin.
I doubt small diesels will come anytime soon. They were planning the CRV diesel. A high ranking official from a company that sells Honda, BMW and Hyundai now say Accord may be the first diesel, a 2.2 litre everyone knows about this engine.

Maybe they can get the circle L series, 1.7L which I heard was made by Isuzu a while ago.
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