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Old 31st October 2012, 15:40   #2671
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Default Re: Skoda Auto India announces cutback in the discounts

I wouldn't read too much into this. As if final discounts are decided at a corporate PR level. They are decided at the final stage of negotiations at every purchase. Now whatever the corporate says, if customers are walking away, the dealer is going to offer (better) discounts. It might work the other way for a high selling car like the Swift or the Alto. But not for any of the Skoda products surely.

Lets not delve too much on such PR news snippets.
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Old 31st October 2012, 15:40   #2672
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Default Re: Skoda Auto India announces cutback in the discounts

Remember how Chevy was once known only for discounts. These discounts running into lakhs of rupees do not help the image of any car manufacturer, have a look at sister VW, they choose to under supply the Jetta just to prevent the brand image by not opting for discounts.


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Originally Posted by YVES View Post
Big Brands never give discounts , read Apple , Merc's & BMW.
I guess you haven't visited a BMW/Merc dealer since long, they might not advertise their discount offers everywhere but i have not seen any other car company offering discounts as big as these companies.
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Old 31st October 2012, 16:17   #2673
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Default Re: Skoda Auto India announces cutback in the discounts

I keep reading these threads and am submitting here that for some reason there appears to be a lot of negativity around Skoda.

Placing my point of view on record as of this moment as an owner that I don't get bad treatment at the dealership or at the service centre.

I think they do make some very good vehicles which are loaded with safety, built well, have a quality feel and are nice to drive. Their brand positioning in India is certainly more "premium" compared with their positioning abroad. To a certain extent, "pricing drives premium" and they have always been perceived as a cut above - atleast here in India.

Now, is this Skoda-bashing type of behaviour on account of some sort of "sour-grapes" feeling amongst people or what is it? Is it that a brand absolutely HAS to give discounts to survive in this market?

It is true that heavy discounting tends to "take-away" from the brand rather than add to it. Part of any brand's mystique is its unattainability or perceived unattainability, which is directly proportionate to its desirability and aspiration value.

Seems to me that Skoda may have liquidated a large amount of its stocks with the deep discounts offered through 2011-2012. Now it may be time for them to do a re-think on their discount strategy. That kind of re-calibration is NOT wrong, by any means.

Also, is it true that every single Honda or Toyota or Hyundai or Suzuki or Mahindra generally goes on sale to consumers without discounting or with very low discounting?

Is it also that there is an uniformly satisfactory after sales experience connected with these brands?

I think most of us know the answers in our heart of hearts but since it appears to be fashionable to like the above named brands and bash Skoda in the same breath, we give in to that impulse.

I am really not interested in provoking a fight here or some miles of pages with typed justifications et al but am just trying to bring a bit of fairness into the debate here...

If I am to be reviled for this view, then so be it.
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Old 31st October 2012, 20:31   #2674
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Quote:
Originally Posted by shankar.balan
Now, is this Skoda-bashing type of behaviour on account of some sort of "sour-grapes" feeling amongst people or what is it?
But haven't you ever thought, why Skoda?
I mean aren't there are many brands out there that are more desirable and "premium" (a word misused to the core by manufacturers and the masses alike here in India) than Skoda?
I understand that you are a very satisfied Skoda customer, but that does not mean all the unpleasant experiences owners have reported with VAG group cars are cooked up, does it?
I'm sure none of us here has owned all the cars available in the market, so our judgements are liable to be influenced by the instances others report.
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Old 31st October 2012, 20:57   #2675
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Default Re: Skoda Auto India announces cutback in the discounts

Totally agree with you Shankar. I have a couple of friends who own Skoda's and are very happy with the treatment they have received from the guys at Skoda. These guys sure do build great cars. Hope the After Sales Service improves with the recent changes in the Management at Skoda India and this changes the way people perceive the brand in India.

Quote:
Originally Posted by shankar.balan View Post
I keep reading these threads and am submitting here that for some reason there appears to be a lot of negativity around Skoda.

Placing my point of view on record as of this moment as an owner that I don't get bad treatment at the dealership or at the service centre.

I think they do make some very good vehicles which are loaded with safety, built well, have a quality feel and are nice to drive. Their brand positioning in India is certainly more "premium" compared with their positioning abroad. To a certain extent, "pricing drives premium" and they have always been perceived as a cut above - atleast here in India.

Now, is this Skoda-bashing type of behaviour on account of some sort of "sour-grapes" feeling amongst people or what is it? Is it that a brand absolutely HAS to give discounts to survive in this market?
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Old 31st October 2012, 21:07   #2676
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Default Re: Skoda Auto India announces cutback in the discounts

Quote:
Originally Posted by shankar.balan View Post
I guess every brand needs to stop excessive dilutions and discounting as a practise at some time in its journey of development. Deep discounts tend to become the rule rather than the exception especially in value seeking developing markets and this significantly erodes the aspiration value of the brand!
Shankar, would you still have bought your Yeti with no discounts and priced above 20 lakhs.

At the time when discounts were being offered in lakhs, why did one not think that the brand is being diluted and is not a good image for Skoda. Later on now that be has the car, how is removing discounts a good move?

Skoda is not a new company in India by any means. In the end, sales of Skoda were poor because of poor products like the Fabia, Yeti. Laura sales took a plunge after newer options like Jetta and Cruze entered the market. Superb is still the best in segment and Rapid is having a tough time only because of mother ship Vw.

Then there is the horrid after sales and high maintenance costs that dissuade buyers even more.

Dealers had no choice but to offer heavy discounts on all models and removing them now is a big step back in sales. Unless they intentionally wAnt to back off n sales till they restructure.
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Old 31st October 2012, 21:15   #2677
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Default Re: Skoda Auto India announces cutback in the discounts

The only positive way of looking at this move is that,the change in Skoda management is trying to get to the root of the problem with respect to sales that is we can expect a change in their product pricing strategy.Since if one prices the products spot on,there is no need for any discounts.

This is my take,since one don't expect them to pack their bags and leave India and hope they don't do it by saying our market is not mature for such products.
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Old 31st October 2012, 21:43   #2678
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Default Re: Skoda Auto India announces cutback in the discounts

Yes, I would have done so, now in hindsight. I did take my time if you remember. But frankly, nothing comes close to the Yeti at that sort of price point. Had I lived in the UK, US or Australia or somewhere maybe I would have owned a Landrover Freelander or perhaps a VW Tiguan or Touareg or something of the kind, but here in India, the Yeti fitted the bill just perfectly for me and my wife.
Considering that I paid 19odd at the time, for a car that was costing 21 +, I really dont think that it would have been a deal breaker for me. I would have simply deferred the purchase.

Quote:
Originally Posted by Vid6639 View Post
Shankar, would you still have bought your Yeti with no discounts and priced above 20 lakhs.

I have certainly thought why Skoda and why NOT VW or Landrover or Audi or whatnot! Unfortunately, all these are priced way too high in India on account of duties, as is the humble Nissan XTrail, Toyota Fortuner, Mitsubishi Pajero Sport etc - they are all very expensive for what they offer! Like I said above, the Yeti fitted the bill just perfectly in terms of what it offered and its price point as well.
I really did take a lot of time you know, before making this decision! And if you remember my early feedback I grumbled like the blazes about its small size and cost and all the rest of it. I became convinced I think after that Jeremy Clarkson video and after all those reviews all over the net about what a damn good car it was!

Maybe I am a stupid person to have bought a Skoda, as per the lights of many here. But I am a satisfied and happy stupid person as of just now! Nothing wrong with that is there?

Quote:
Originally Posted by one-77 View Post
But haven't you ever thought, why Skoda?
I mean aren't there are many brands out there that are more desirable and "premium" (a word misused to the core by manufacturers and the masses alike here in India) than Skoda?.

Last edited by shankar.balan : 31st October 2012 at 21:45.
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Old 31st October 2012, 22:10   #2679
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Default Re: Skoda Auto India announces cutback in the discounts

Shankar, There is nothing personal. i am posting some answers inline. please do comment if required.

Quote:
Originally Posted by shankar.balan View Post
I keep reading these threads and am submitting here that for some reason there appears to be a lot of negativity around Skoda.

I think they do make some very good vehicles which are loaded with safety, built well, have a quality feel and are nice to drive.
Even today, One of my favorite car is a Skoda Octavia. Even today, i would prefer to get one if it is available in market.

Now, is this Skoda-bashing type of behaviour on account of some sort of "sour-grapes" feeling amongst people or what is it? Is it that a brand absolutely HAS to give discounts to survive in this market?
One of my friend bought an Octavia from another friend. One of the Component failed. He ended up paying 30+% of his purchased price in repairs. and he had to sell it at 75% of the price @ which he bought just because, He wanted to get rid of it, before something else fails. No Owner wants to undergo such sort of experience and that too in a car which hardly clocked 60K. Skoda cars are reliable.

Also, is it true that every single Honda or Toyota or Hyundai or Suzuki or Mahindra generally goes on sale to consumers without discounting or with very low discounting?
Astar is sold at a whopping 10% discount
Alto Old one has around 9-12 % discount
Etios has Flat 20K off + corp discounts. Even I10 has some.
City has again 60-80K off.
On an Yeti, which costs around 18L, people got close to 2L. which is 10%.
There would definitely be few buyers in 20L range and still they got 10% it could have been more.
Discounting process is same in all companies.


I think most of us know the answers in our heart of hearts but since it appears to be fashionable to like the above named brands and bash Skoda in the same breath, we give in to that impulse.
I would say, You are Lucky. So you do not feel the necessity of a good service
Fiat is another brand, which has no service centres at all. Still there are few bashers for FIAT. Why?
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Old 31st October 2012, 22:30   #2680
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Default Re: Skoda Auto India announces cutback in the discounts

Quote:
Originally Posted by YVES View Post
Big Brands never give discounts , read Apple , Merc's & BMW.
Good to see Skoda following the right strategy or are they are forced to reduce discounts for lack of profits? time will tell
You will be pleasantly surprised to know that discounts on Merc's and BMW's. The S-class is on over 25 lakh rupees off, 7 series approx 15 lakhs off, E and 5 series 3 lakhs off. All these are CASH discounts ! There is always some discount on, you just gotta haggle hard.
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Old 31st October 2012, 22:42   #2681
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Question VW Contact Required

Hi all,

Does anyone have a contact in VW?

My friend had booked a vento and there seems to be a big goof up in the deliver and finalization after the sales executive has taken the payment for the same.

Please help with your contacts in chennai or Regional manager for VW
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Old 31st October 2012, 22:57   #2682
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Default Re: Skoda Auto India announces cutback in the discounts

I don't think of Skoda discounts as 'discounts' but more price correction to generate the requisite volumes on Laura and Yeti.

There is no point doing 100 nos a month for what are ultimately not luxury premium cars, these discounts were very much needed to be in business.

I have read umpteen threads of folks who would not have otherwise considered the Yeti doing so because of the discounts. And even after the discounts the Yeti is still 15 lakhs on road for the stripped down 4x2 110 bhp active, which is not cheap. This is what the price should be in the first place.

Now we hear of a 1.6 TDI model, and if priced right this will no doubt get numbers. Ultimately Skoda is here to sell cars in the India market, not have a 'premium' brand as an end in itself. Who does that help?

Skoda has sold probably 1500 Yetis in an year or more, Mahindra and Renault are selling 3000-4000 XUVs and Dusters a month and cannot keep up with demand, and both these cars are not cheap at 13-16 lakhs on road. Skoda needs correction.

Like they say its not the 95% who have no issues but 5% who do have issues that creates the Skoda scare stories. I think most folks agree the cars are very well built, its when things go wrong and customers do not get the required level of support, that creates this perception.

How many folks who report good things have run into issues? Hence the good feedback and hopefully things stay that way. And with the new management we have started hearing reports of improvements in Skoda service.

Last edited by raul : 31st October 2012 at 23:05.
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Old 31st October 2012, 22:58   #2683
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Default Re: VW Contact Required

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Originally Posted by joshguy View Post
Hi all,

Does anyone have a contact in VW?

My friend had booked a vento and there seems to be a big goof up in the deliver and finalization after the sales executive has taken the payment for the same.

Please help with your contacts in chennai or Regional manager for VW
Would you please explain in detail on what happened with your friend?
Share your experience. If possible try to create a new thread, if there isn't an existing one.
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Old 31st October 2012, 23:10   #2684
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Default Re: VW Contact Required

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Originally Posted by gemi_kk View Post
Would you please explain in detail on what happened with your friend?
Share your experience. If possible try to create a new thread, if there isn't an existing one.
Sure,My friend booked a refreshed Vento TDi Comfortline with around 70k discount and booking amount was given last week/ten days back.All that was pending was a confirmation from dealer on delivery time and 5.99% loan offer.

Now they called him and said that new car/refreshed will be shipped only by Jan 2013 and are asking to take the Old Vento comfortline/Highline with half the discount.

They have taken almost three days to confirm if atleast old car can be delivered in white color and it is only my friend who is following up and not the SE.

They are reluctant to refund the booking amount and are taking their own sweet time for taking decision.

The other dealer say they dont have any idea on the prices of New Vento and say that their management has instructed not to take bookings for new vento
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Old 31st October 2012, 23:36   #2685
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Default Re: The "NEW" Car Price Check Thread - Track Price Changes, Discounts, Offers & Deals

Sorry man!! Thats real bad on VW part.

First would be to stay calm. Cool Down. Try talking to the GM of that particular showroom manager or GM or some other senior. Explain and then ask for a complete Refund (carry xerox copies only. provide originals after you get cash/cheque). Your friend might get a car.

I would advice you/your friend to try looking for some senior officials email id's of VW and drop an email to them. search in Team BHP. You will definitely find some people ID's.

The third one would be a weird one. File a complaint in a police station mentioning the complete set of events and demanding for a refund as its their fault. Not sure whether it would work or not, but yes, some seniors here would add more value to this point.

Go to Facebook Volkswagen page and drop a complaint with details over there. This would work better. Saying this because some have tried and got some good response it seems.

As of now, i have only these points. Will definitely add more, if i could find any other probable solutions.

Regarding the discounts, Your friend bargained for a real sweet deal. That sounds like a STEAL

VW's 5.99/6.99 finance is not exactly 5.99/6.99. Its on Flat interest rate. This would be equivalent to what our banks are offering (read Floating interest rate). (Experts, please correct). I am just saying based on the EMI per month and the tenure of the loan. I think, its 2100 per lakh for 5 years. Even SBI offers it @ 10.5 i guess.
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