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Old 5th May 2007, 20:08   #1
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Default Should manufacturers do a Maruti-Launch petrol model first

Call it co-incidence but this is the second time that Maruti plans to launch their petrol model first and then launch their diesel models after the initial novelty with the model fades.

Lets take the maruti swift,initially maruti sold only as a petrol version and there was so much demand for the vehicle ,but the same does not seem true now that they are offering discounts of about 26,000 on the petrol swift.But did they not sell for quite a while without maruti help.Even if maruti disagrees diesel swift has certainly hit the petrol model and resale value will also take a hit with such discount schemes.Had maruti launched a petrol and diesel swift simultaneously would the same figures have been achieved from the petrol swift.How many would go in for the ZXi model now when a similarly priced VDi model is available,be it that the VDi does not come with all the bells and whistles of the ZXI model.Capacity constraint is a nice excuse to hide the strategy.

Now lets take the hyundai verna,ford fiesta,these models were launched with diesel options simultaneously and though I have no detailed sales figure my gut feeling is diesel is outselling the petrol models.Similarly with Logan I feel mahindra may have a tough time selling the 1.6 petrol version especially.I have a feeling that initially had toyota sold the innova petrol model alongside the diesel qualis for a while,the petrol model would not have done so badly.Where these manufacturers actually better off in launching their diesel car a while after their petrols sold.[Dont know if fiat is following this trend with their palio's]

The SX4's value is nearly double that of the swift so when the diesel SX4 is launched would the early buyers of the Petrol SX4 suffer in terms of resale value especially if mileage is on the lower side of cars like the NHC,and the Hyundai verna petrol.

Diesel variants in the family are certainly cannibalizing sales of the petrol variants of the same model but should petrol cars be given a slight advantage by launching them first in the market.
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Old 5th May 2007, 20:37   #2
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Well Hyundai did it with the Getz and the Accent. And the Embera, though that didn't quite work out. Honda continue to do it with the horribly overpriced CRV.
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Old 5th May 2007, 20:39   #3
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Truly speaking MUL's idea of doing so is plain stupidity. The segment of diesel buyers are the ones with high running and they will no matter what look only for a diesel car, so a prospective SX4 buyer with high running will surely head towards the Verna/Fiesta.

@C3PO -
Quote:
Honda continue to do it with the horribly overpriced CRV.
Honda has not got its CTDi in India, yet.
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Old 5th May 2007, 20:48   #4
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Which is why I said they continue to do so, my dear 300kmph falcon. As do Hyundai with the Getz and Santro, whose CRDi versions have been playing peekaboo for years now.
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Old 5th May 2007, 20:54   #5
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My Cars Windshield V1p3r - Hyundai's Getz is surely going to be launched this year as per Hyundai & other sources.

Santro 1.1 CRDi will be launched next year.

Honda has not sold one diesel engine in India till date, though most of its european sales consist of the the CTDi.

Hyundai has learnt from its past mistakes and has launched Verna with both petrol & diesel at once.
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Old 5th May 2007, 20:58   #6
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Busa, if you look closely, we have been speculating that Hyundai will launch the Getz CRDi 'surely' for close to 3 years now. And let's not even talk about the Santro.

Who said it's a mistake to launch them separately? I don't think you're quite getting the tone of this thread; we mean maybe they SHOULD launch them separately, since then someone will actually buy a few petrol cars. Makes sense from the manufacturers' point of view, though then people like us will crib that the diesel is taking way too long to come out. More so now days that diesels are almost as fun to drive as their petrol brethren.
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Old 5th May 2007, 21:05   #7
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C3PO - I got what you meant. I only wanted to say that in case some one having a budget of 9Lacs with a monthly running of 3000kms is searching for a car, he would surely plonk in for a Verna or Fiesta and not a SX4(since lack of diesel problem)

I have read a few threads of team-bhp where people are refusing to go for SX4 for similar reasons. Hence, i truly think that launchin diesels doesnot make sense.

Check this

Quote:
Makes sense from the manufacturers' point of view
Who cares about manufactures!! I only believe customer is king, period.

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Old 6th May 2007, 13:05   #8
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Well, Maruti didnt launch the diesel Swift simply because the diesel manufacturing plant was not ready! Why would they restrict the launch of a competent petrol product? Its a similar case with the SX4 where Maruti simply does not have enough logistics ready for the diesels.....just look at the long waiting times for the Swift D due to the limit of 2500 engines / month. But yes, the ideal launch would be including the petrol and diesel engines together.

That said, not everyone wants a diesel either. The Swift petrol is still selling in good numbers. Discounts are inevitable once a product gets off the initial start phase, and arent really indicative of a products success.

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Old 7th May 2007, 23:46   #9
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Have to agree. Simultaneous launches are preferable since the cars speak to different targets. The percentage of buyers being sufficiently influenced to choose a diesel over a petrol if they have decided to buy the latter is probably quite small, or at least small enough to negate deferred launches.

Take the case of the Swift. I seriously doubt a petrol buyer would want the diesel however refined the car might be and whatever be its attributes. As GTO has rightly pointed out, sales continue to be good and there is no reason for it to change owing solely to the introduction of the diesel version.

Of course on the Verna, I think the pricing of the CRDi and its obvious cost benefits in the long run tend to influence the final decision in its favour.

On the other end of the spectrum are the Indica's. Simultaneous launches have clearly not affected the numbers here with the bulk of sales being the diesels and not the petrols. Ultimately, I think it boils down to the consumer and his/her preferences, together with the options that the company offers.

just my 00.02 cents!!
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Old 8th May 2007, 11:36   #10
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India is a very "recurring cost sensitive market" as i term it, so anything which will show a better km/liter and Rs/km will have loads of takers though the initial cost might be higher.

Only thing dissuading the public from diesel might be "maintanence kitna hein factor", again this is changing.

So if you have closely priced variants in P and D, D will rule.

Most indians care a hoot about refinement and wouldnt mind diesel engines.

Again how much of road we have to really explore the Petrol engines capabilities ??

So this is not a very straight forward scenario and rest of my gyan when i get time out off work
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Old 8th May 2007, 18:55   #11
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Some people would like to buy the Petrol model so that may put CNG in it once the initial warranty period is over.

So diesel does not always win.
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