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Old 19th January 2010, 14:11   #16
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@ condor, xPK et all.

The point is that Skoda ran an extensive marketing campaign that clearly said that the car prices would be increased in January. They then proceeded to increase it by Rs 3,500 and then give a discount of a lac.
It is perfectly legal, they have every right to do so, I am not debating that. BUT it is not ethical, not after that campaign they ran in December. I think the spirit of my message is being missed. Don't get me wrong, it would be lovely to recover some of the money that I missed out on, but, it is not why I wrote this message.

In a nutshell, Skoda promised a price increased and used a very dirty marketing practice to entice customers to buy the 1.8TSI last month, and then technically increase prices this month.
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Old 19th January 2010, 14:19   #17
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Though car dealers (especially Skoda dealers) are no angels, I feel that the dealer can't be blamed in this particular case.

The car prices and discount offers are fixed by the car company and these are valid for a one month period. After that the car company is free to change the car prices and discount offers.

The trend generally observed is that heavy discounts are offered in December to clear the existing stock and prices are generally increased (or discount offers are withdrawn) from January.

Again, these decisions are taken by the car company and dealers get the new pricing and discount information only in the beginning of the next month. Based on their experience, the dealers may be able to predict the trends and provide you indicative information, but they are not in a position to give you exact information for the next month's prices/offers.

Also, information regarding launch of new models would definitely be available with the dealers. But for obvious reasons, a dealer would not be authorised to give you the launch dates before the company announces it officially. Not fair to blame the dealer even in this case.

Rohan
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Old 19th January 2010, 14:23   #18
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Now that you are in for it. Pray twice a day that you do not need any maintenance, otherwise they will show their true colours. Just see what is happening to harishv!!
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Old 19th January 2010, 14:24   #19
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Quote:
Originally Posted by jigbarai View Post
First of all, the title is misleading and needs to be updated.
The thread title has been updated.

@ imp! : I know just how you feel, but unfortunately / fortunately it's a case of market dynamics. Several i10 buyers felt terrible when the 1.2 liter Kappa was suddenly launched (they had only just bought the 1.1 version). Similarly, so did many others when Ford slashed the prices of the Mondeo, Daewoo on the Cielo and so on. In recent time, the Fiesta has continually been launched with one special edition after another (making us joke that regular Fiestas are rarer than the special eds).

It's great news for new customers, but the situation can get understandably hard on those who have just made a purchase. My suggestion is this : You've bought a car for 15 lakhs. Don't let the joy of owning that delicious 1.8 TSi disappear because of a 50,000 rupee difference. Go out and enjoy the car will ya!

And No, I certainly do NOT think this is a case of cheating at all. Any company has the right to change prices (and specifications) anytime that it wishes.

Quote:
Skoda did not have to do anything over here. Car companies dont always control all offers / discounts going on in the market.
Absolutely agreed.

Quote:
Originally Posted by imp! View Post
The point is that Skoda ran an extensive marketing campaign that clearly said that the car prices would be increased in January. They then proceeded to increase it by Rs 3,500 and then give a discount of a lac.
Well, they did increase the prices officially, didn't they? Informal discounts always vary. Even at the same time at the same dealer (depending on customer bargaining skills).

Plus, dealers will always offer a higher discount on their 2009 stock of cars.
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Old 19th January 2010, 14:32   #20
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If I recall when Civic Hybrids were launched with those whopping price tags, some people would have certainly bought it. But within few months they gave at discounts of 6 to 7L for a limited period just to clear inventory. Imagine those launch time buyers how they must be feeling.

I dont think Skoda is giving such discounts now on all cars they have, they would have hiked prices in Jan for every car when they put up those advs. But for this particular model they may be offering this discount, probably just to clear off inventory that too may be for a limited period. I think it happens eveywhere even for TVs, refrigerators, microwaves, or even clothes so can't blame manufacturers for that.

So what has happened has happened rather feeling down I would suggest just forget it and take it easy. Anyway no harm following up with Skoda/dealer see if you can get something out of them, ofcourse with fingers crossed.
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Old 19th January 2010, 14:43   #21
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Quote:
Originally Posted by imp! View Post
@ condor, xPK et all.

The point is that Skoda ran an extensive marketing campaign that clearly said that the car prices would be increased in January. They then proceeded to increase it by Rs 3,500 and then give a discount of a lac.
It is perfectly legal, they have every right to do so, I am not debating that. BUT it is not ethical, not after that campaign they ran in December. I think the spirit of my message is being missed. Don't get me wrong, it would be lovely to recover some of the money that I missed out on, but, it is not why I wrote this message.

In a nutshell, Skoda promised a price increased and used a very dirty marketing practice to entice customers to buy the 1.8TSI last month, and then technically increase prices this month.
I'm getting what point you are trying to make and I'm not denying that, but I don't think this as a "shafting" case (especially looking it as in legal perspective).

And you are talk about ads from Skoda, I'm sure where were lots of news floating in Nov-Dec about car prices to rise in 2010. I guess Fiat and Toyota have already announced it, but eventually many makers will join in. but as I posted earlier this might be stock clearance sale for 2009 built cars.

I know this would be very hard to digest, but I would recommend you to forget this and move on and don't let the trust let off your car, cause once it's gone you won't be able to enjoy your car ever.

P.S. I must appreciate you for not talking my comments in a wrong way

Last edited by xPK : 19th January 2010 at 14:45.
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Old 19th January 2010, 14:48   #22
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All we can do is empathize with you. Though buying a car should not be a lottery but speculation in the market is so high that you never know.

Rest in life its always the value of the instance of time not worth the price of the car. Think you enjoyed extra days with that awesome TSI motor

I also would ask you to go and meet the GM sales of the dealer and you might get some other benefits.

Cheers!
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Old 19th January 2010, 14:49   #23
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Imp!, Just a thought, when the company changes the price it has to make a change in the dealer invoice for Octroi and other tax purposes in the invoice from the factory. Most dealers are aware of the price changes before the company publicly announces it. So there is a time lag of at least 2 weeks between the receipt of the car and the issue of the invoice from the factory.

In the above scenario if the car that was sold to you was sold to the dealer at a cheaper price then you have a case and good one.

Whichever way intimating the company is a good option. It may not be the smartest to blame the company but yes they should be aware and show some interest in the matter.

Also From the companies point of view they did increase the price of the car as promised to the customer. So legally there might be a problem pursuing a case. Why don't you meet up with Lawyer and argue the case out.

I mean yes 50K is an amount to be upset over but feeling cheated is something much worse. I mean its not the best feeling to have when you associate yourself with a company for at least a period of 3 years. Empathize with you over the feeling.
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Old 19th January 2010, 15:15   #24
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Quote:
Originally Posted by indianchiefrsd View Post
Imp!, Just a thought, when the company changes the price it has to make a change in the dealer invoice for Octroi and other tax purposes in the invoice from the factory. Most dealers are aware of the price changes before the company publicly announces it. So there is a time lag of at least 2 weeks between the receipt of the car and the issue of the invoice from the factory.
I don't think so that they will change the tax or anything else it's basicallythe profit margin is reduced to clear the stock and increase the sale. For e.g if skoda keeps the profit margin has 15% per car, during this time they sell with 2-4% margin to clear the stock.

your buying something in market where the rates are bound to fluctuate,so don't worry and enjoy the car.
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Old 19th January 2010, 15:46   #25
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xPK and very one else,

I am being very objective about this whole case, there is no legal angle about the situation.There is however, a matter of trust. No reasonable person can say that trust has not been breached, based on the Skoda marketing campaigns this is what happened:

1) The price will go up in January so hurry and buy now !!!!

2) Price goes up by Rs 3,500 and then the offer increases to Rs 1,00,000

As far as I am concerned this is a breach of trust. Again what hurts is the manipulative way in which the price was slashed. If I am paying close to 16 lacs for a car, I can absorb a loss of Rs 50,000, but what is at issue here is the way in which the price was reduced.
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Old 19th January 2010, 15:49   #26
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I may sound I am off topic but just think of someone who bought a fully loaded versa in december 2009! Does he/she feel cheated?

May be yes, may be no. Because this is how market behaves. when I bought my car in January 2005 (Zen) the same was discontinued in the next couple of months, do I feel cheated? Nope!

The bottomline is - Enjoy your car. Think of it as the money invested in the stock market where you gain some or loose some.
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Old 19th January 2010, 16:30   #27
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@imp!, like GTO said, there's market dynamics involved. You were one customer who wanted to go for the car in December, and you have bargained your best & got the car when you wanted it.

The company through it's dealers views the market as a whole - prospective customers, people who buy - and people who dont buy their cars. Their strategy will change with time, depending on how the market is reacting to their pricing strategy. If the company feels a need to further change the prices, they will do so to the extent they are comfortable. Further changes -either way - will depend on market responses to the pricing change

Also, I dont think any company will have pre-planned they discounts they can give or they will give.
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Old 19th January 2010, 17:02   #28
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Quote:
Originally Posted by GTO View Post
The thread title has been updated.
Hi GTO,

See, it is not the fact that I am sore at losing Rs 50,000 but rather the manner in which Skoda went about doing it. I still feel that the original title was more apt.
The disounts being offered currently are official Skoda pricing policy. The 1.8 TSI has never sold in the numbers that one would think, it is highly unlikely that giving an additional Rs 50,000 back to customers will boost the sales much.
I have always maintained that Skoda have increased prices as they have been indicating, but seriously, what they have done is very unethical.

warm regards
imp!

P.S. The offer stands on 2010 models, the only difference being no ash tray or cigarette lighter in the new models.

Last edited by imp! : 19th January 2010 at 17:03.
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Old 19th January 2010, 17:12   #29
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Quote:
Originally Posted by imp! View Post
I still feel that the original title was more apt.
Certainly not cheating, Imp. Take it from someone who closely follows the market, its trends, practices and EACH car sold in India.

I have changed the title yet again (final time please) to something more accommodating.
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Old 19th January 2010, 17:15   #30
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imp, price and discounts are two different things on paper.

Price might come down, but the discounts may be removed or prices may go up and discounts may go up as well.

From a business perspective, I dont think neither the dealer nor skoda has done anything wrong.

Lets assume both skoda and the dealer starts advising their customers to wait until April 2010, their car prices will go down by 20% (because they are using some innovation in the production which cuts down the cost). Imagine their plight for the next 3 months. Literally no business. No business would do it.
If the salesman or the dealer is a friend of yours and still he did not hint you or let you know then its not ethical on the friendship part of it.

These things does happen, and thats the reason should not look back at the decision making after buying the product. You got an excellent machine in your hand and enjoy it. If I am in your place I would feel bad, but would not worry and look at the brighter side - got the car a week earlier :-)
Enjoy your ride.

Last edited by Car&me : 19th January 2010 at 17:24.
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