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Old 5th August 2016, 16:21   #1
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Default Price hike from Hyundai India on all models; Prices up by upto Rs. 20,000!

Hyundai India announced the price increase varying from Rs.3000 to Rs.20000 across all models ranging from Eon to Santa Fe. The new prices will come into effect from 16th August 2016.

As per Hyundai India, Rupee depreciation and raw materials price increase are the two major forces behind the price rise.

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Old 5th August 2016, 17:22   #2
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As per a casual observer, price hike by the market leader is the major force behind the price hike
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Old 5th August 2016, 19:11   #3
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Default Re: Price hike from Hyundai India on all models; Prices up by upto Rs. 20,000!

As expected, in order to absorb the benefits from GST, auto companies have started preparations.

There would not be much difference in most of car prices now and in April 2017 if GST is implemented.
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Old 6th August 2016, 00:36   #4
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Default Re: Price hike from Hyundai India on all models; Prices up by upto Rs. 20,000!

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Originally Posted by gupta_chd View Post
As expected, in order to absorb the benefits from GST, auto companies have started preparations.

There would not be much difference in most of car prices now and in April 2017 if GST is implemented.
Absolutely a GST move, there will be one more round of usual hikes by the cartel in the first week of Jan 2017, that should pretty much ensure more profits by balancing out the lower tax with higher margins. Of course I'm not blaming anyone.. why wouldn't companies want to stock up on money by any means possible? If it slows down the sales, all the better in this already over-crowded nation.

VFM is the least in todays era as far as cars go, in just 6-8 years the landscape has changed with hatches comfortably breaching 10+ lakh, a 35% jump in just 8 years. The main driver of prices is the high demand, other stuff like "input costs" "rupee fluctuation" "GST" and "inflation" are just excuses to execute the increase.

Let the demand drop just 20% for a couple of months, not much.. it just means 200 out of 1000 buyers postponing or dropping plans for a purchase and watch the manufacturers go into a tizzy. The investments and output are tightly wound and are tuned for growth, one drop and their facility will go into a tailspin and offer massive discounts the next day. Of course the buyers cannot co-ordinate nearly as precisely as SIAM so good times for the dealerships on the horizon.
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Old 6th August 2016, 10:43   #5
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Default Re: Price hike from Hyundai India on all models; Prices up by upto Rs. 20,000!

I wonder when the other manufacturers will raise their car prices . GST was never meant to benefit the customers. It was just a narrative to fool the layman. Let’s prepare for a fiery inflationary period ahead.
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Old 6th August 2016, 18:08   #6
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Definitely a GST move. Share holders of respective companies should be happy. Will be interesting to see who'll grab the opportunity to gain market share by passing on the benefits to buyers.
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Old 7th August 2016, 00:39   #7
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Wow! The Creta continues to move beyond the reach of many aspirants :(
Well done Hyundai!
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Old 7th August 2016, 01:31   #8
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Default Re: Price hike from Hyundai India on all models; Prices up by upto Rs. 20,000!

Oh there they go again. First Maruti and now Hyundai. I would like to see the two most greedy car makers of India, viz. Hyundai and Toyota lose market share. Success have gone to their heads, thanks to our sheep like mentality of lining up to buy one particular car while completely shunning the other equally competent rival product. The more we buy their cars, the more they get greedier. And they use lousy excuses like, input costs, rupee devaluation and blah blah.... People forced Maruti to lower S-Cross prices. Now it's time they did it to Creta and Innova, too, two grossly over-priced cars in Indian market for what they offer.

Which is why I backed out of buying Creta AT. People may argue here that one buyer won't make much difference. But I'm sure there are others like me. Which is why we see Ecosport sales pick up.
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Old 7th August 2016, 09:00   #9
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Default Price hike from Hyundai India on all models; Prices up by upto Rs. 20,000!

Agreed that the Creta and the Innova are grossly overpriced. The manufacturers are now reaping the benefits of their commitment to quality and reliability. There is no sheep mentality here. Look at Maruti and Hyundai reach in terms of sales and service. Hyundai has come a long way in terms of their products. From not wanting to even pass their showrooms 10 years ago to having bought the Neo Elantra. 3 years ago and eagerly waiting for the Tucson to launch they have come a long way in my books.

Also we always look at the OTR prices. What else can the manufacturer do ? He pays a steep excise duty. Probably in the tune of 30 % ( don't know the exact figure ), there is a 14.5 % vat added to that ex showroom cost and then a further16% -18 % in road tax.

So when I bought the ElantraSX top end Manual, the ex showroom cost was around 15 lakhs. Remove the Vat at 14.5% and the ex factory cost will be around 12.82 lakhs. Not sure as to what Hyundai would have been taxed for the CKD kit? Assuming even another 2-3 lakhs it would drop the cost of the Elantra to under 10 lakhs. That's a lot of car for under 10 lakhs. But I paid over 18.5 lakhs. So it's tax on tax on tax.
So will the GST make it any better not sure ?

Last edited by Arjun Reddy : 7th August 2016 at 09:02.
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Old 7th August 2016, 18:22   #10
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Quote:
Originally Posted by Arjun Reddy View Post
So will the GST make it any better not sure ?

I really don't think so.
The savings will add up to the manufacturers coffers.

GST will not be a great help to the end consumers like you and me. It just helps the companies to ensure their focus is on business rather than on tax savings.
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Old 7th August 2016, 22:41   #11
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Default Re: Price hike from Hyundai India on all models; Prices up by upto Rs. 20,000!

It was expected that Hyundai is in a mood to increase the price of its entire range having the fact that Maruti has done that recently. I feel they should have excluded Creta from the list but seeing the Creta sales I am not surprised that it also got a price hike even though it is already overpriced. Recently I have seen good discount for Grand i10, Xcent and Eon. Probably this move will help to get back to their earlier profit margin.
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Old 8th August 2016, 15:25   #12
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Default Re: Price hike from Hyundai India on all models; Prices up by upto Rs. 20,000!

It is pretty strategic & clever, but so obvious that even a dumb wit will be able to decipher, what's behind an interim price hike. Therefore we should not expect any price benefits post GST.
what is surprising is the brazen manner in which they have hiked the prices despite the fact that some products are grossly over priced already & there seems to be no mechanism by which this can be questioned, because it does qualify as a Trade Malpractice
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Old 13th December 2016, 17:49   #13
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Default Re: Price hike from Hyundai India on all models; Prices up by upto Rs. 20,000!

Hyundai Motor India is all set to increase the prices of its vehicles by up to INR 1.00.000 with effect from January 2017.

This will be applicable across all models ranging from Eon to Santa Fe.

Increased input costs, fluctuating exchange rates, increasing marketing expenditure are said to be the factors behind this price increase.

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