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Old 10th August 2016, 21:32   #61
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Default Re: Ford India cuts Aspire, Figo prices by up to INR 91,000

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Originally Posted by MunnabhaiMBBS View Post
Ford India slashed (Corrected) the prices of select variants of Figo and Aspire by up to INR 91,000 with immediate effect.
So is this where the Rs 200 crore "brand transformation" is going

Coming to the point, I think this is a good move and shows that the company is ready to take risks and reduce prices in order to compete. This is compared to others who don't reduce prices no matter what. Nothing like some competition to spice things up.

Am sure Brezza prices would have increased if not for EcoSport reducing prices. Hopefully Crysta will get a competitor soon as well.
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Old 10th August 2016, 21:37   #62
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Default Re: Ford India cuts Aspire, Figo prices by up to INR 91,000

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Originally Posted by aravind.anand View Post
If that is the case, try to reason out the price premium we pay for a Grand i10 over the Tiago. Even the interior space /engine sizes / outputs / performance are similar, the interior quality is what distinguishes the Hyundai
The interior of Tiago is really good. I think the Tata betters the Hyundai on the inside - be it equipment or attention to detail. The quality is also at par. The advantage of i10 is that excellent 4 pot kappa motor.

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Again I would say that it might be costing them more but I am sure they could have let go of some % of their profit. They did reduce the prices for the Ecosport AT too. It isn't that they are really selling the AT variants at breakeven price points right now. The reason for not reducing those price tags according to me is lack of competition in that segment or low overall sales for those variants.
Don't forget both Figo AT and Aspire AT have the bigger 1.5L engines.

That makes them big cars as per Govt. rules. Rough calculation shows an added excise duty of around 80k on each car sold. And that's excise alone. No wonder Ford hasn't passed the benefits for AT. And as rightly pointed out, the localization is low for that drive-train.

With EcoSport, Ford had more room to play with. EcoSport was an old car (read more depreciation + higher economies of scale) which occupied a higher segment and was also commanding a premium pricing at the time of price revision. But that's not at all the case here with both ATs of Figo and Aspire.
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Old 10th August 2016, 22:00   #63
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Default Re: Ford India cuts Aspire, Figo prices by up to INR 91,000

Some reasons behind Ford's price revision exercise have been highlighted by Financial Express:

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However, Ford India isn't the only one facing challenges in the compact sedan segment. The entire segment has shrunk by 17% in the January-June, 2017 period, with some models de-growing by close to 50%.

The reality is that most customers won't feel cheated because the Aspire and Figo were already being sold at discounted prices, the difference being the dealer was the one offering the discount. Since the two segments in discussion are over-crowded, most sales were discount-driven and Ford India like any other company followed suit. The only difference now is that the discount is being offered directly by Ford India and not the dealer.

First and foremost, every business tries to maintain some extra margin on new products to enhance future competitiveness. The car industry is no different so it's possible that Ford India has given up some of its margin in favour of a lower-price tag but the company has made no official comment regarding this. What we do know is that the company has benefited from economies of scale due to exports to Europe, which has helped the price-reduction. The company expects that along with lower-prices, after-sales service initiatives such as Ford Service Price Promise will not only boost sales but also help increase the trust factor for customers.

It's almost impossible for an average customer who hasn't bought a Ford earlier to understand the discount isn't as sudden as it sounds. If not educated, word-of-mouth could lead to people considering such huge price-cuts on a consistent basis as desperate measures, although they aren't actually. Unless this can be done effectively, consumers might remain skeptical in trusting the brand and that too for wrong reasons possibly as explained above. Ford India is still trying to recover from trust issues in the past and in a brand-building stage, taking extra care of the things listed above could go a long way in achieving the desired growth.

Last edited by RavenAvi : 10th August 2016 at 22:02.
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Old 10th August 2016, 22:11   #64
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Default Re: Ford India cuts Aspire, Figo prices by up to INR 91,000

I don't remember a single person telling me that the Aspire and Figo are overpriced. If the product didn't sell, it's due to it's deficiencies.

Ford are taking an easy route in a hope to boost sales. I don't know to what extent this move is going to affect their sales. The problem is that the next gen products are too far away and it's too early for a facelift.

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Will Ford India compensate such owners?
Maybe, maybe not. Depends on the ethics of the top brass. I hope they follow Suzuki two-wheelers and Maruti-Suzuki.

Talking about ethics: https://en.wikipedia.org/wiki/Ford_P...and_litigation
(It's a long time back and should not be a yardstick to judge the company today)
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Old 10th August 2016, 22:20   #65
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Default Re: Ford India cuts Aspire, Figo prices by up to INR 91,000

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Not from the same segment but I just compared Tiago XZ diesel to Ford Titanium diesel. The only thing better in Figo is ACC and that brilliant engine. But, does it demands a premium of more than 1 lac considering engine won't even perform to its potential on our jam filled delhi roads? Big dilemma.
You can also make the same argument for the petrol versions - the Tiago is indeed very accomplished and the Figo's premium is worth it only if you care for the additional power and refinement of the four pot.
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Old 10th August 2016, 22:49   #66
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Default Re: Ford India cuts Aspire, Figo prices by up to INR 91,000

Price cut doesn't lead to good sales, but puts pressure on the top dog to hold or reduce prices too! Why aren't the Aspire and Figo selling that's the question! I think the owners of those cars on T-BHP can enlighten us. I feel the products are good and well equipped. Is it the herd mentality that is ruining a good product?

Last edited by GTO : 11th August 2016 at 13:07. Reason: Language
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Old 10th August 2016, 23:02   #67
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Default Re: Ford India cuts Aspire, Figo prices by up to INR 91,000

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Originally Posted by RavenAvi View Post
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The reality is ... the Aspire and Figo were already being sold at discounted prices, the difference being the dealer was the one offering the discount. The only difference now is that the discount is being offered directly by Ford India and not the dealer.
Apart from a lower price, the other benefit is this should lead to a reduction in the associated road tax, and insurance premium calculations (which wouldn't have been the case with dealer discounts).
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Old 10th August 2016, 23:19   #68
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Originally Posted by Durango Dude View Post
Is it the herd mentality is ruining a good product?

Herd is definitely one of the key factor.

The other important point, as per me, is their poor built. I had a chance to drive a Figo TDCi for around 500-600 kms. The car was pretty new with just 1.5K on the odo and 6 months old. There were rattles when driven on uneven roads. Car is a pocket rocket and while I enjoyed the spirited driving, I guess it's the built quality that might be putting off people.
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Old 11th August 2016, 07:20   #69
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Default Re: Ford India cuts Aspire, Figo prices by up to INR 91,000

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Originally Posted by balajisv View Post
Herd is definitely one of the key factor.

The other important point, as per me, is their poor built. I had a chance to drive a Figo TDCi for around 500-600 kms. The car was pretty new with just 1.5K on the odo and 6 months old. There were rattles when driven on uneven roads. Car is a pocket rocket and while I enjoyed the spirited driving, I guess it's the built quality that might be putting off people.
But no one stopped buying a Swift because of it's rattles!! It's still selling at the 15k units a month!!
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Old 11th August 2016, 07:31   #70
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Default Re: Ford India cuts Aspire, Figo prices by up to INR 91,000

Biggest price cut is on the Titanium Diesel variant, which receives an on road price reduction of Rs. 1.03 lacs. Price is now 8.17 lacs otr Trivandrum, which undercuts every other diesel compact sedan in the range, even after the discounts they offer. In addition, dealer said that they can give extended warranty for free as corporate offer, which further brings down the cost by another 7k.

I think that the Ford Aspire and Figo got a raw deal on reviews and were unfairly accused of having poor handling. Sure the handling is not as good as the earlier figo or the fiesta, but these cars are dead and gone. The Aspire is possibly the best handling compact sedan, and the Figo too isn't a bad handling car compared to the competition. Though I do think that they should have offered better tyres on the diesel versions considering the performance potential.

What the Figo twins lack is in the looks, inside and out. The outside is too plain, and lacks detailing in areas like the tail lamps and the for lamps. They look very ordinary. A bit more detailing on the fogs and the rear lamps would have made a lot of difference. On the sides, the door handles look too plain, and a small chrome/silver detailing on at least the top variants would have been welcome. The wheels look way too small for the size of the car, especially compared to the competition in the CS/premium hatch segment which come with 15 inch or even 16 inch wheels.

Moving inside, the story continues. The only eye catching element inside the dash is the audio system and the climate control, both of which though look too old. The plethora of buttons on the audio system, though useful, is so Nokia. I mean, why have separate buttons for each source when a single source button would do the job? When others are offering full size touchscreens, the early 2000s style 3.5 inch color screen looks decidedly cheap.

Another issue is with the dash. Where's the detailing? The dials are two sizes too small, and there's absolutely no need for a giant fuel guage when a simple line of LCD/LED would do the job much more easily. Look at the Zest to see a simple yet elegant solution. It has both fuel and temperature guages, and looks great even with simple white lighting. The only saving grace for the Figo is the blue glow from the needles lighting up the meter surrounds nicely.

Summing up, the price correction is the best thing that could have happened to this car, as it offers a decidedly non-premium experience inside and out, compared to its (now) costlier segment rivals. With the current pricing, buyers will at least be able to console themselves that at least they didn't pay as much for it. And being quicker and faster than anything else under 10 lakhs definitely eases the "pain"!!

Last edited by vivekgk : 11th August 2016 at 07:58.
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Old 11th August 2016, 09:06   #71
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Originally Posted by Durango Dude View Post
But no one stopped buying a Swift because of it's rattles!! It's still selling at the 15k units a month!!

Again, that's only because Swift is a Maruti! No other manufacturer enjoys that kind of adulation!
I owned a Swift myself for 8 years.
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Old 11th August 2016, 10:25   #72
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Default Re: Ford India cuts Aspire, Figo prices by up to INR 91,000

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Originally Posted by balajisv View Post
Herd is definitely one of the key factor.

The other important point, as per me, is their poor built. I had a chance to drive a Figo TDCi for around 500-600 kms. The car was pretty new with just 1.5K on the odo and 6 months old. There were rattles when driven on uneven roads. Car is a pocket rocket and while I enjoyed the spirited driving, I guess it's the built quality that might be putting off people.
Well, then Swift/ Dzire or the Brio/Amaze have tin can builds too. Build cannot be the main reason in these segments, even in the segments higher than this, the City and the Ciaz rule, while the Vento, Rapid and the Linea languish.
It has to be herd mentality, as the Figo and Aspire were leading most of the comparisons even at the older price point. So at this new price point, for the informed buyer, it is a no-brainer now

Last edited by aravind.anand : 11th August 2016 at 10:26.
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Old 11th August 2016, 10:40   #73
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Default Re: Ford India cuts Aspire, Figo prices by up to INR 91,000

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Originally Posted by aravind.anand View Post
It has to be herd mentality, as the Figo and Aspire were leading most of the comparisons even at the older price point. So at this new price point, for the informed buyer, it is a no-brainer now
Not every purchase is herd mentality. I was recently in the market for a compact sedan for my uncle and the we did not even check the Dzire, so much for herd mentality. To cut the story short, the final choice was between the Zest petrol XMS and Aspire petrol Trend variant and Zest trumped Aspire in almost all segments. And now my uncle is a happy owner of a Zest.
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Old 11th August 2016, 11:03   #74
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Default Re: Ford India cuts Aspire, Figo prices by up to INR 91,000

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Originally Posted by drmohitg View Post
Not every purchase is herd mentality. I was recently in the market for a compact sedan for my uncle and the we did not even check the Dzire, so much for herd mentality. To cut the story short, the final choice was between the Zest petrol XMS and Aspire petrol Trend variant and Zest trumped Aspire in almost all segments. And now my uncle is a happy owner of a Zest.
Certainly, herd doesn't mean 100%, it means the majority and our sales chart proves that month after month. I would choose the Zest over the Aspire too, if I were buying a petrol compact sedan - has much better interiors, and the turbo petrol is more involving too. Diesel would have a different climax though
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Old 11th August 2016, 12:36   #75
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Default Re: Ford India cuts Aspire, Figo prices by up to INR 91,000

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What the Figo twins lack is in the looks, inside and out.
Aptly put.

Ford should have taken a leaf out of Tata's book when they finalised the dashboard design of the Figo/Aspire twins. Even the Tiago's dash feels fresh and different when compared to the Figo.

The Nokia-inspired central HU is clearly outdated - not in sync with the MyFord dock. About time Ford did away with that outlandish central console completely.

I still feel that the Figo offers more than what the competition is offering:

- At-par (if not better) build compared to it's in-segment competition.
- A scorcher of a diesel option!
- 6 airbags.
- MyFord dock.
- Sync with Applink.
- Automatic Climate Control (the Grand i10 still doesn't have this!).
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