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Old 16th January 2009, 18:49   #1
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Thumbs down How Car Manufacturers Fool Us

Don't know how members will react to this post, but I thought we all share on how car manufacturers fool us.. many times in context of 'for Indian market'.

To start with....


Hyundai:
Verna is supposed to be the facelift of Ascent. And both the cars exist in this market in different segments.

Verna (7-9 Lac) & Ascent (5-7 Lac).

If it were a facelift across the globe, do we need to pay an premium when the world is not? On top of it Verna is featureless (sorry I say it always).. should we pay 2 Lacs as only for its engine? No doubt its the best engine.. but...


Skoda:
Same -- Octavia & Laura. Laura supposed to be an facelift to Octavia. Look at the price gap... Octavia (10-12L) and Laura (14-17L). Laura again has host of features.. but @ 40% expensive.
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Old 16th January 2009, 19:28   #2
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Nothing new

Maruti has been doing it for ages, Read Here (Generations of Alto)
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Old 16th January 2009, 19:34   #3
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Same with the Alto, Swift etc, but we still love all of them.
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Old 16th January 2009, 19:35   #4
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Only Toyota and Honda have had the courage to pull out bestsellers and replace them with contemporary models rather than continue with both the outgoing and the replacement cars. The others simply milk the old models (and us consumers) for all they are worth.
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Old 16th January 2009, 19:37   #5
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Dont quite understand where the "fooling " is happening ?

Accent was launched at much higher price - used to sell around the same price as OHC/IKON/CIELO at that time

with VERNA - ur getting not just an engine upgrade - more features, better looks etc etc
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Old 16th January 2009, 19:37   #6
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Difficult to fool if someone has the knowledge not to be fooled. Consumers have a choice to vote with their wallets (Zen Estilo???) and that choice will remain as long as manufacturers are not putting a gun on their head.

Interesting thought: when Verna was launched, Hyundai had intent to pushing down Accent and not marketing it. It suddenly looked and felt old. However, after Verna stabilised and started declining, suddenly Accent got a push. Perhaps if Verna was priced lower and Accent phased out, Hyundai may have got better volumes in the segment than they are getting now.
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Old 16th January 2009, 19:38   #7
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I think someone needs some basic economics lessons
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Old 16th January 2009, 19:52   #8
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Same thing is haapening with Honda City and All new Honda city. Except the airbags, and the facelift, it costs almost 1-1.5 lack than the 10th Annivarsery edition.
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Old 16th January 2009, 20:21   #9
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*yawn* at the original question

But Honda doesn't plan to sell the NHC and the ANHC at the sametime. Now that the stocks havent cleared out is a different issue altogether.
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Old 16th January 2009, 20:29   #10
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Quote:
Originally Posted by greenhorn View Post
I think someone needs some basic economics lessons
Exactly. The localization takes time. Accent has been there for a long time of course localized much more than the Verna. So the price is down comparatively. Verna will be the same after 3 years and a new car will come. Where is the "fooling" here.

Some one needs auto industry lessons as well.
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Old 16th January 2009, 21:22   #11
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Yawn...

Quote:
Originally Posted by esteem_lover View Post
Same with the Alto, Swift etc, but we still love all of them.
Was Swift a facelift!?
Where have You been John!

+Rocky+
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Old 16th January 2009, 21:30   #12
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Quote:
Originally Posted by abhi1309 View Post
Exactly. The localization takes time. Accent has been there for a long time of course localized much more than the Verna. So the price is down comparatively. Verna will be the same after 3 years and a new car will come. Where is the "fooling" here.

Some one needs auto industry lessons as well.
Except the Sonata, all other cars from the Hyundai stable are highly localized.It is just Hyundai/maruti are trying to position themselves as premium Carmakers after selling loads of entry level cars.

They just can't emulate the Hondas or Toyotas. They need a separate brand if they want to command premium, just like LEXUS, ACURA and Infinity for Toyota, Honda and Nissan respectively.These Japanese car makers learnt the same lesson in the past few decades In North American Auto Market.
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Old 16th January 2009, 21:37   #13
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As long as there are buyers for a product,the manufacturer can sell it.
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Old 16th January 2009, 22:19   #14
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Just remembered this talk I had with an employee in a managerial cadre in Hyundai Car plant in Chennai. When the Hyundai I20 was being tested and made ready for Mass production, Hyundai was planning to price the I10 variants around 30K more than the similar Santro variants and slowly phase out the Santro.This was shared with the Dealership network and it was the dealerships that convinced Hyundai on the higher price model.

Looks like they took a great decision, the car is selling like hot cakes and the margins are high as well. Would I call us all fools?
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Old 16th January 2009, 22:26   #15
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Smile

Quote:
Originally Posted by Rocky_Balboa View Post
Yawn...


Was Swift a facelift!?
Where have You been John!

+Rocky+
At one point of time, two generations of the Swift (i.e. Esteem and Swift) were sold together. How can esteem_lover be wrong on that count?
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