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Old 19th January 2012, 07:38   #46
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Unhappy Re: Maruti Suzuki & GM increases Car Prices - Effective 16th Jan 2012

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Originally Posted by swiftnfurious View Post
Wrong time? It's the right time for Maruti to hike it's prices. That's how they plan to cover all those losses they had last year! From the pricing strategy, it's very clear too. The most selling models have the biggest hikes [Swift & Ritz] and duds have the min [SX4].
If this is the strategy adopted by MS to recover the losses from the customer, then it is pure expolitation. The losses which had occured was not due to the customer, it was fault of the MS managment in failure to curb the labour unrest and production losses. Even in those periods the demand was always there.

If the price hike was due to the increase in the raw material cost then it was understandable but for any other reason its pure daylight robbery. I guess a further drop in the sales number should be seen in the Jan month's sales figure.
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Old 19th January 2012, 08:52   #47
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Default Re: Maruti Suzuki & GM increases Car Prices - Effective 16th Jan 2012

How I wish that Maruti learns a lesson for taking the Indian customer for a ride. But the trends that I have seen, have actually made me believe that if tomorrow Maruti decides to offer the steering wheel as an add-on, even then people will buy a Maruti

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Originally Posted by ghodlur View Post
I guess a further drop in the sales number should be seen in the Jan month's sales figure.
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Old 19th January 2012, 09:23   #48
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Default Re: Maruti Suzuki & GM increases Car Prices - Effective 16th Jan 2012

Any idea about price increase of Ritz diesel ?
There was significant price difference between price of Ritz and new Swift.
If the prices have not gone up for Ritz diesel considerably then people might switch over to Ritz.

Its a big shame that Tata and Fiat arenot able to take any advantage of such situation.
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Old 19th January 2012, 09:50   #49
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Default Re: Maruti Suzuki & GM increases Car Prices - Effective 16th Jan 2012

But why can't the company increase the price of a well selling model regardless of the raw material cost? If I am in a business then my ONLY aim is to get maximum profits. The swift is a good car and is outselling all its competitors by a huge margin month after month. So a increase in price and hence the profit is surely justified. They would want to reach that threshold level beyond which the consumer will no longer be comfortable buying the Swift. Till that level is reached I feel it makes good business sense to increase the prices. Honestly right now I don't see much competition for the Swift even after the price hike.
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Old 19th January 2012, 10:08   #50
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Red face Re: Maruti Suzuki & GM increases Car Prices - Effective 16th Jan 2012

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Originally Posted by drmohitg View Post
But why can't the company increase the price of a well selling model regardless of the raw material cost? If I am in a business then my ONLY aim is to get maximum profits. The swift is a good car and is outselling all its competitors by a huge margin month after month. So a increase in price and hence the profit is surely justified. They would want to reach that threshold level beyond which the consumer will no longer be comfortable buying the Swift. Till that level is reached I feel it makes good business sense to increase the prices. Honestly right now I don't see much competition for the Swift even after the price hike.
They can and normally do so but that in most cases is short lived. If the manufacturer banks on a particular model which has been successful, price hike will be the last thing on their minds coz once they do so the rivals have an immediate edge unless the price hike was imminient for the entire auto industry. Its a "Dog eat Dog" world out there. Later the maufacturer will resort to all kinds of gimmick to keep up the pace with the sales figures. Would you think 8L cost for the new Swift is justified? Will an average consumer not think twice before putting in that kind of money in Swift when he knows there are other cheaper options available? I definitely think so. With this hike I feel now the Punto or I20 is VFM buy.
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Old 19th January 2012, 11:01   #51
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Default Re: Maruti Suzuki & GM increases Car Prices - Effective 16th Jan 2012

Read this report on Economic times, ain't this contradictory?

Car companies like Maruti Suzuki, Hyundai Motor & Volkswagen skip price hike on dipping demand
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Old 19th January 2012, 11:06   #52
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Default Re: Maruti Suzuki & GM increases Car Prices - Effective 16th Jan 2012

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Originally Posted by ghodlur View Post
They can and normally do so but that in most cases is short lived. If the manufacturer banks on a particular model which has been successful, price hike will be the last thing on their minds coz once they do so the rivals have an immediate edge unless the price hike was imminient for the entire auto industry. Its a "Dog eat Dog" world out there. Later the maufacturer will resort to all kinds of gimmick to keep up the pace with the sales figures. Would you think 8L cost for the new Swift is justified? Will an average consumer not think twice before putting in that kind of money in Swift when he knows there are other cheaper options available? I definitely think so. With this hike I feel now the Punto or I20 is VFM buy.
I totally agree with the sentiment of your post. As a consumer I hate when they try to loot me. I have already been at the receiving end of the same when Honda dropped prices of the City so drastically ( which showed the amount of profit they were making over the last decade) and the car's second hand market crashed too.

But if you think rationally do you really feel the Punto is anyway close to hurting the Swift's sale? Maruti or anyother manufacturer dares to increase the prices only when they are convinced that there is no threat from other cars to there product. In this case Maruti enjoys a monopoly of sorts with close to 10k Swifts flying off the shelves each month, for so many months. The car has clicked with the customer. Ofcourse if tomorrow the customer decides to shun away from the car they will reduce the prices or start giving discounts. There is a very thin line in between Smart Business and Arrogant Business. A case in example is of the New Ford Fiesta Sedan. Or even the Kizashi.
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Old 19th January 2012, 12:11   #53
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Default Re: Maruti Suzuki & GM increases Car Prices - Effective 16th Jan 2012

i had booked a maruti swift zdi with vishnucars on jan 4 th 2012. now today dealer called and informed me that the price hike is 20k. The booking price was 761445 and now the price stands at 781255 at chennai.

how come my dealer is charging extra 3 k.

I am doomed. As my car would take another 3-4 months to come and what if there is one more price hike?

Is this hike only for MSPL or has other competitors have increased the price too?
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Old 19th January 2012, 12:21   #54
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Default Re: Maruti Suzuki & GM increases Car Prices - Effective 16th Jan 2012

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Originally Posted by geeash View Post
i had booked a maruti swift zdi with vishnucars on jan 4 th 2012. now today dealer called and informed me that the price hike is 20k. The booking price was 761445 and now the price stands at 781255 at chennai.

how come my dealer is charging extra 3 k.

I am doomed. As my car would take another 3-4 months to come and what if there is one more price hike?

Is this hike only for MSPL or has other competitors have increased the price too?
I am always critical of this policy. The company should provide price protection for the buyers who have booked the car. After all its there mistake if they are unable to provide me a car right at the time of booking. I am already inconvenienced enough as a customer when they make me wait for a year to get the delivery of my car while they sit tight on the booking and enjoy the interest earned. On top of it the price hikes are totally uncalled for.

I believe almost all car makers are planning to increase the prices. So that way you can relax.
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Old 19th January 2012, 12:33   #55
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Default Re: Maruti Suzuki & GM increases Car Prices - Effective 16th Jan 2012

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Originally Posted by ankurvirmani19 View Post
The date and time Stamp are 16th jan @ 3.24 am. No Contradictions here.

Quote:
Originally Posted by drmohitg View Post
I am always critical of this policy. The company should provide price protection for the buyers who have booked the car. After all its there mistake if they are unable to provide me a car right at the time of booking.
Exactly the issue I have with Automobile industry. Everywhere else there is clear cut lock in of the price. Real Estate Industry should be more worried about the fluctutations then Automobiles as they have longer lead time. But the price is generally Fixed. The long lead time can affect interest rates, steel prices, cement prices and tons of other.
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Old 19th January 2012, 12:48   #56
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Default Re: Maruti Suzuki & GM increases Car Prices - Effective 16th Jan 2012

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Originally Posted by abhi413 View Post

So honestly I doubt if the prices stand increased on account of "input costs". Just cannot buy this argument.
The labour "input cost" is going to go up. They are going to increase the pay in Manesar plant from April.

Business Line : Companies News : Maruti to hike wages at Manesar plant from April
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Old 19th January 2012, 13:14   #57
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Default Re: Maruti Suzuki & GM increases Car Prices - Effective 16th Jan 2012

Quote:
Originally Posted by drmohitg View Post
I am always critical of this policy. The company should provide price protection for the buyers who have booked the car. After all its there mistake if they are unable to provide me a car right at the time of booking. I am already inconvenienced enough as a customer when they make me wait for a year to get the delivery of my car while they sit tight on the booking and enjoy the interest earned. On top of it the price hikes are totally uncalled for.

I believe almost all car makers are planning to increase the prices. So that way you can relax.
This is where the automobile industry cartel comes into play ... none of the companies will offer inflation proof booking. Sadly authorities hardly analyze cartel behaviour in our country.


With this hike, Swift is more or less replicating the Jazz pricing for hatchbacks ... will the sales replicate Jazz's perfomrance as well? Lets wait & watch!
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Old 19th January 2012, 13:23   #58
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Default Re: Maruti Suzuki & GM increases Car Prices - Effective 16th Jan 2012

This was going to happen someday, ain't it? Get 'em hooked, then they'll pay whatever you ask for.

Manufacturers see India's skewed Petrol-Diesel disparity as a way to increase profits, and why shouldn't they? If anyone here believes they'll put customers' welfare or justifiable actions over profiteering, well, good luck with your pipe-dream.
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Old 19th January 2012, 14:45   #59
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Default Re: Maruti Suzuki & GM increases Car Prices - Effective 16th Jan 2012

This is something I hate to say, BUT !!

For those people who are still waiting for your swifts and the delivery is any time after April 01, 2012 - Please get your calculations ready. Please check what are the kind of life tax revisions that happened in the last few years and check the price increase if the same hike is implemented this year too.

I would suggest you look for an option, settle for something equally good & start enjoying your car earlier and enjoy those cash benefits too!

Quote:
Originally Posted by geeash View Post
i had booked a maruti swift zdi with vishnucars on jan 4 th 2012. now today dealer called and informed me that the price hike is 20k. The booking price was 761445 and now the price stands at 781255 at chennai.

how come my dealer is charging extra 3 k.

I am doomed. As my car would take another 3-4 months to come and what if there is one more price hike?
The 20K hike is on ex showroom price. So OTR is additional 3K? In the next 3-4 months, there could be price increase, but what I feel is the budget that comes in March 2012 will play spoil sport !! Almost every year, they revise the tax structure and you may end up spending a lot more. Have you bothered to re-vist the competition products, in the mean time? I feel you can get good products now a days for the same cash, unless you are a Maruti Loyalist ! Liva, Micra, Pulse, Punto, i20, Figo, Vista, Ritz ??

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Originally Posted by Turbokick View Post
Any idea about price increase of Ritz diesel ?
There was significant price difference between price of Ritz and new Swift.
If the prices have not gone up for Ritz diesel considerably then people might switch over to Ritz.
I believe someone had posted that even Ritz get a 21K hike or so, a couple of pages back!

Last edited by swiftnfurious : 19th January 2012 at 14:50.
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Old 19th January 2012, 15:17   #60
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Unhappy Re: Maruti Suzuki & GM increases Car Prices - Effective 16th Jan 2012

Here is the list of the models and price hike (approx) by Chevrolet:
  • Beat D = Rs 12,000
  • Beat P = Rs 6,000
  • Tavera = Rs 10,000
  • Cruze = Rs 15000
  • Spark = Rs 5,000
Chevrolet has not touched other models like Captiva, Aveo and Uva.

Cheers!
Irish

Last edited by Irish : 19th January 2012 at 15:20.
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