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Old 28th August 2020, 14:37   #76
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Re: Handling charges deemed compulsory by Trident Renault, Bangalore

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Originally Posted by Racer911 View Post
That is precisely the issue here. The dealer, and I emphasize the dealer by their own choice of method of business have their stockyard far away from the point of sale. That is their choice. When a car manufacturer delivers cars, its not like the dealers have a compulsion to first get the cars delivered 40kms away in a stockyard, which is basically just open land in most cases, and then have them brought over to the shiny showroom in the city after a confirmed order. They can very well have the stockyard and showroom in the same or relatively closer locations.
I'm sorry but this displays a lot of ignorance regarding the land rates. In a way, they are compelled to keep stock quite far away from the showroom. You are certainly aware that land within a city is quite expensive to rent, forget buying. This is assuming you can find some nice empty space available. Moreover, the places where dealerships are often erected do not have so much empty space available where they can also store cars. It's not like land is such a common commodity in a city that literally anyone can buy at any time at low rates. Dealers also have to keep a certain level of stock so that they can carry on business. The space to hold that much stock is generally not within the city limits. I'm very sure most dealers will have yards outside the city where rent might not be comparatively high.

If your logic of showroom and yard being close together have to work, every single dealership will be outside the city then. This will force every customer to make the long drive (Depending on their location) to the dealer. This isn't viable as such. I find your argument very illogical.
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Old 28th August 2020, 19:58   #77
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Re: Handling charges deemed compulsory by Trident Renault, Bangalore

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Originally Posted by nikhilthegunner View Post
I'm sorry but this displays a lot of ignorance regarding the land rates. In a way, they are compelled to keep stock quite far away from the showroom. You are certainly aware that land within a city is quite expensive to rent, forget buying. This is assuming you can find some nice empty space available. Moreover, the places where dealerships are often erected do not have so much empty space available where they can also store cars. It's not like land is such a common commodity in a city that literally anyone can buy at any time at low rates. Dealers also have to keep a certain level of stock so that they can carry on business. The space to hold that much stock is generally not within the city limits. I'm very sure most dealers will have yards outside the city where rent might not be comparatively high.

If your logic of showroom and yard being close together have to work, every single dealership will be outside the city then. This will force every customer to make the long drive (Depending on their location) to the dealer. This isn't viable as such. I find your argument very illogical.
I fully agree with you that land rates within city are not viable for just stocking cars plus free land itself is a difficulty let alone the price factor. Now obviously what I'm saying may not be generalized for each and every city. About ignorance of land rates, you might not have read fully what I wrote. I specifically mentioned that such stockyards are procured outside or far away from the main city to save on capital costs, which obviously implies real estate cost.

You must've also observed that mostly car showrooms are generally nearby, while service centres are quite far. Now NEXA did exactly the opposite in my city. The car showroom is almost a 20km drive away, nearer options are also present, but NEXA opened a service centre (just a service centre, not a combined showroom and service centre, which actually saves a lot of real estate space) not more than a 5 min drive from my house and infact closer than most showrooms even for people living in a 4 to 5 km radius of mine. I personally feel this makes a lot of sense because now its damn easy to get our car serviced because dropping and picking up the car is easy and quick and if we need to be at the service centre to make an observation or give them approval to replace something expensive, they're accessible to us.. plus, servicing the car is actually a routine job while purchasing the car is a once in maybe 4 year deal. i dont think if i want a particular car, I'd have a problem driving 30kms to get to the dealer. And most of these showrooms that I'm talking about being 20 to 30 kms away, they've their stockyard right there like a backyard. I agree this may not be a practical possibility for each and every city, but that doesn't justify an illegal handling charge either.

Last edited by Racer911 : 28th August 2020 at 20:00.
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Old 29th August 2020, 10:31   #78
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Re: Handling charges deemed compulsory by Trident Renault, Bangalore

Very unfortunate to hear what's happening but it mirrors what happened with me and Khivraj Renault as well as KUN Renault in Chennai.

I needed a beater-ish car so narrowed down on the Triber as it's a workhorse. Went to Khivraj late last year and made a booking on the spot. Got the invoice and noticed a ~11,000 addon stated handling charge. I went back in and asked them what's going on as there's a SC ruling stating it's not allowed.

I then had discussions with 3 levels of managers and management all stating that this is the norm and I could basically take it or leave it.

I left it. I sent in a strongly worded email to Renault leadership in India, who promised to look into this. I did get a callback from Khivraj and an apology email but they were extremely stuck to their stance of the handling charge.

I then tried reaching out to KUN Renault to get a quote but it's all the same story there as well. Dealers are quite arrogant and after a certain period of discussion, it's made clear we either pay or shut up and leave.

Oddly, I bought my 525 from KUN BMW and they were more than happy to waive handling charges a few years back. I wonder what has changed in the meantime...
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Old 29th August 2020, 11:54   #79
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Re: Handling charges deemed compulsory by Trident Renault, Bangalore

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Originally Posted by lordtottuu View Post

I then tried reaching out to KUN Renault to get a quote but it's all the same story there as well. Dealers are quite arrogant and after a certain period of discussion, it's made clear we either pay or shut up and leave.

Oddly, I bought my 525 from KUN BMW and they were more than happy to waive handling charges a few years back. I wonder what has changed in the meantime...
Nothing has changed to be honest. And this is not a Renault specific or a dealer specific issue. Every dealership I have visited till date charges these so called handling & logistic charges. Until the SC ruling, they were adamant that is a cost to be paid by the customer. Post the ruling, the only thing that has changed or ought to change is for them to stop charging this from customers who know the law and object to it. But then this would hardly be less than 1% of total customers and hence the attitude of the dealer. They know that every other dealer would also charge it.

The charges are dropped only when they have an urgency to sell the car or can manage to provide you an additional cash discount and hence known off these charges.

Also this stockyard being far away logic is plain nonsense. If this were to be true, then dealers in tier 2 and tier 3 cities, or dealers located at outskirts would not have these charges on their price list since their stockyard is either adjoining or very nearby. But that isn't the case.
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Old 29th August 2020, 12:00   #80
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Re: Handling charges deemed compulsory by Trident Renault, Bangalore

Trident group has many brands, Honda, Hyundai, Renault, Mercedes, etc. Their Akshaya motors the Mercedes one is very bad in terms of negotiations. Honda and Hyundai is quite good. You have 3 options now:
1) Duster is outdated now, go for a rival. And it’s not even updated in a while. Go for something else.
2) Even if you do go for a duster from a non-Bangalore dealer, for small repairs and spares you do have to deal with Trident renault, not worth going out of station for even minor repairs.
3) To just remove 12k handling charges, you’ll be losing a lot a energy and time. Even if you do go the legal route, think of the time and money you’ll be spending on a Duster.
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Old 29th August 2020, 12:10   #81
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Re: Handling charges deemed compulsory by Trident Renault, Bangalore

The way I see, all this scenario about handling charges is quite simple. If you need the car urgently then just try to get them waive this off and if they don't agree, just pay it. Haggle with them on discounts for other stuff. If you do not need the car urgently and you have the time and patience then fight it out. All brands charge it. Courts won't help. Your time is more valuable than the handling charges.

When we bought Honda City we paid the handling charges as we needed it urgently. When we bought tiago then we didn't pay handling charges as the showroom guys were known to us.

I believe sooner than later almost all brands will adopt the policy which Tata has done by incorporating the handling charges within the ex showroom price. This way customer wont complaint and the dealer will be happy too.

In the end you always have the option to walk away. Peace of mind is more important than all these things.
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Old 29th August 2020, 12:55   #82
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Re: Handling charges deemed compulsory by Trident Renault, Bangalore

Kudos on your resolve to stand for the right thing to do @livetodrive. Have read the subject judgment comprehensively and @bharatbits has explained it quite well. INR 11,000 may well be a small amount to most but the question, as you rightly pointed it out in your call here, is of legality and morality.
I myself had to argue with the sales person while buying my Elite i20 to get these charges removed. Having said that, many would be okay with paying these so called "handling charges" just to have a smooth car buying experience.
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Old 29th August 2020, 13:45   #83
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Re: Handling charges deemed compulsory by Trident Renault, Bangalore

I don't care how thin margins dealers are running on, my 2 cents here
  • Illegal means illegal - Dealer cannot charge them. No one is above law.
  • Dealers can make money more ways like servicing, up-selling of extended warranty, parts, accessories, pick-up and drop services, decrease salary and increase commissions based on sales etc

M&M quoted me 11k for handling charges, 79k insurance and 1% TCS
Ford never quoted me handling charges, 52k insurance and gave 0.75% TCS

Ex-shoroom price was same for W8 and Ecosport S variant. Kudos to Ford.
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Old 29th August 2020, 14:10   #84
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Re: Handling charges deemed compulsory by Trident Renault, Bangalore

I agree with OP's stand on not paying something that is against law. But no RTO in this country registers a car only on over-the-table amount. Will OP take the same stance with the RTO that he will not pay anything extra for registration? He may not be directly paying them but registration charges that he pays will include that extra amount to be paid to the RTO. I'm not siding with the dealer but I want OP to be upfront with RTO as well. If he goes with the dealer to the RTO, he will know what is happening there.
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Old 29th August 2020, 15:10   #85
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Re: Handling charges deemed compulsory by Trident Renault, Bangalore

The world we live in, it will always be difficult to tread on the right path. Period!!!

Slightly philosophical but my humble suggestion will be to choose an option that gives you peace and satisfaction in your life.

Haggling on an event which is going to be a lifetime memory may be offending to many but kneeling to unlawful demand, however small or big it may be, may scar a few as well. We have to choose the battles we want to fight.

Fortunately, there are enough options in the market today. So you can hit where it hurts by purchasing a car from another brand. Or tread on the difficult side to ensure you pick up your desired car by not kneeling to the unlawful demand. At the end of the day, the new car will start an experience and you should be clear of how that experience should be.

Good luck my friend!!! Hoping to see your detailed car buying journey in a review soon.
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Old 29th August 2020, 16:39   #86
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Re: Handling charges deemed compulsory by Trident Renault, Bangalore

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Originally Posted by tapasvi.l View Post
Trident group has many brands, Honda, Hyundai, Renault, Mercedes, etc. Their Akshaya motors the Mercedes one is very bad in terms of negotiations.
Actually, the Mercedes dealership is part of Advaith group not Trident. Just a small clarification, sorry for going offtopic.
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Old 29th August 2020, 17:06   #87
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Re: Handling charges deemed compulsory by Trident Renault, Bangalore

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But no RTO in this country registers a car only on over-the-table amount. Will OP take the same stance with the RTO that he will not pay anything extra for registration?
First of all the charges being disputed here are the handling charges and not the registration charges which too are inflated and the usual dealer explanation is that they need to pay the agents etc.

But on this particular topic, RTOs have improved a lot in the last decade or so. You no longer need to pay money to get work done unless you do not have the necessary documents, forms etc or you simply do not have the time to visit the RTO. Over the last decade I have got the following services done at various different Delhi RTOs namely Licence issuing, licence renewal, Hypothecation removal, RC transfer, NOC issue for out of state sale and even changing number plate of your new car with a VIP number of an old car you own. Not a single rupee was asked by any official at the RTOs. So let us not make blanket statements. There may be a few bad apples still within the system but things have changed dramatically. Also for a dealer who has regular interactions with the RTO, there is always a dedicated person hired to take care of this process. It is just an operational cost associated with the business. Similar to paying electricity bills and rent.

There is also a dedicated thread on the forum where members have gone to RTOs themselves to get their rides registered and saved money in this too compared to the charges that the dealer quoted. And again not even a single one of them has mentioned being asked to pay bribes provided you have the necessary documents with you.

Bottomline is that one can try explain it in a million ways, but what is illegal will stay illegal!

Last edited by drmohitg : 29th August 2020 at 17:09.
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Old 29th August 2020, 17:51   #88
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Re: Handling charges deemed compulsory by Trident Renault, Bangalore

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Originally Posted by livetodrive View Post
For all the employees of Renault Whitefield who claim handling charges are mandatory anywhere in the country. Attached is the price list of Renault Kochi. Am wondering how they don't incur logistic charges to transport the vehicle to showroom etc etc and even if they do, they don't extort it from customers. Mind you, their ex showroom price is exactly the same as Whitefield Renault or Renault website
It doesn’t matter to me if the charges are equal or varying across the country. The thing is that every cost related to ‘handling’ of a vehicle is included in the ex-showroom price and many brands have a single ex-showroom price across the nation.
I think members doubting your ability to pay Rs. 11,000 can stay mum now since you were okay with paying 20k ‘extra’ for insurance and foregoing 5k discount. In my opinion however, you should get your insurance done outside if you proceed and do not give any extra profits to the dealer since they decide to be childish.

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Originally Posted by Samir Choudhry View Post
Just to put this at rest once and for all ..
I’m sorry but this doesn’t lay anything to rest. This is a forum where we debate over facts and not look at pdf(s) by Directors.

Look at Skoda India and how their directors reply to the customer’s grievances and provide logical explanation instead of trying to shut them up with a pdf???

You, as the M.D. at Trident had the responsibility and chance to reply from the dealer’s perspective and shed some real insight on the issue at hand yet you act childish and ‘disengage’?

I fail to see how that works and boasting about selling 250,000 cars means little to nothing if one can’t get clear and logical answers for their queries.
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Old 29th August 2020, 18:06   #89
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Re: Handling charges deemed compulsory by Trident Renault, Bangalore

The problem in all metro and IT crowd cities are people don't have time and hence dealers start adding charges which are in turn bribes which are paid to the government authorities. Of course dealers also have a cut in these invalid charges.
In Bengaluru all the Registration files of a dealer go as a batch to a RTO office and they pay a fixed amount per file to process them swiftly and without any hiccups.
Just go to RTO office esp in BLR and try registration / name transfer process etc. If you are not well informed and prepared you will be frustrated very soon and engage the services of an agent.
I am not defending / supporting the dealer here. I am just bringing out the aspect behind these charges.
When I applied for ownership change in RTO in BLR, I had to make three trips to get my RC even though I was well prepared and my file was submitted in first attempt. The process costed less than 500 rupees, while agent was charging 3500. The satisfaction was immense, but I am not sure how many are willing to put in the effort.
This is prevalent all across India. Till we all stand united, these practices will prevail.

Last edited by PraNeel : 29th August 2020 at 18:07.
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Old 29th August 2020, 18:36   #90
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Re: Handling charges deemed compulsory by Trident Renault, Bangalore

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Originally Posted by livetodrive View Post

Extortion of handling charges by Trident Renault



I am writing this post with extreme disgust & anger to highlight the monopoly and extortion policy of Trident Renault, Bangalore
The best course of action would be to not buy from them. Period.

Last edited by ajmat : 29th August 2020 at 19:32.
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