How would you like your favorite car to exit the market?

kiku007 · 14th March 2011, 08:47

A Graceful Exit aka Replacement:
- A newer version of the car is launched to REPLACE the old one.
- Eg. OHC-NHC-ANHC, Qualis-Innova, Corolla-Corolla Altis etc.
- Lot of people will miss the old cars for their respective individual USPs. Eg.OHC-VTEC and Qualis-VFM.
- Missing is good. The old versions retain their value pretty well in the used market.
- NO confusion to the consumer!!
- The new versions usually take a big jump in pricing and at times become unaffordable for the earlier audience.
An exit into oblivion aka parallel positioning:
- The new and old versions of the same car sell in parallel usually by stripping the old one of features and more importantly it's potent engine options and reducing the sticker price.
- Eg. Indica-Indica Vista, Ikon-Fiesta, Accent-Verna, Lancer-Cedia, Pajero-Montero, Indigo XL-Manza, Palio-Punto, Spark-Beat etc.
- Good profits for the company!
- Caters to a wide range of buyers across segments.
- Resale value nosedives.
- The old cars sell so little after some years that they become a joke in the monthly sales analysis.
- Confuses buyers. Eg. TATA learnt it the hard way. Indica Vista and Indigo Manza are Vista and Manza now respectively. There's a seperate thread for this suicidal positioning.

So what to fellow BHPians feel?

It's Option 1 - A Graceful Exit aka Replacement for me. The reason for me is that, I want a graceful exit for some fantastic cars (Cars I loved) like the Lancer, Ikon, current Fiesta etc.

arvi86 · 14th March 2011, 09:08

I have voted for Option A. Surely, a graceful exit (replacement) will make wonders for the car's value years or even decades later. A classic example would be the Zen and Lancer. Both these cars were legends and later the respective companies decided to completely spoil the brand name of both these cars.

While Maruti did the horrible thing of spoiling the beauty of the Zen with a so-called facelift, the Estilo then came and completely eroded the Zen's value.

In the same way, HM-Mitsubishi should have stopped the Lancer when it was at its peak or should have launched its international replacements here. The Lancer brand is in shambles now in the used car market (compared to similar period cars like OHC etc.).

But the second option cannot be ruled out also. See the case of the Accent-Verna where the former is still selling as much as the latter despite being a generation older.

camchennai · 14th March 2011, 09:14

I have voted for option 1 and would love to see newer version to replace the current one, 2 cars which were used by me (Corolla and Camry) had a graceful exit and i am happy to see them in new avatar. They are fresh and appealing.

How come you are not taking the case of Maruti for option 2?? They are the one who taught this culture to Indian market. Till date they haven't stopped any of their small car offerings even after a new model is launched (Old Zen being an exception).

kiku007 · 14th March 2011, 10:56

^ arvi86 - Yes the accent sells or for that matter the Santro too in good numbers when we consider their age. Question is what is Hyundai going to do with the Accent and current Verna when the new Verna comes and how do the owners see this?

And yes, they killed the soul of the Zen and Esteem. Also My 199X M800 was better built than the current Altos. But there's a different thread for their poor build quality.

^ camchennai - It's not like I don't want to bring Maruti into the picture. Afterall they have the M800-Alto-Alto K10-Zen Estilo and Omni-Eeco. However they were sensible with the Wagon-R. Let's wait to see how they deal with the new Swift.

Superleggera · 14th March 2011, 11:06

Note from Mod: There are several spelling & grammatical errors in your posts. This negatively affects the board experience for other readers.

Kindly ensure that you proof-read your posts prior to submission. Also, it would be a good idea to use spell-checkers.

HammerHead · 14th March 2011, 11:41

Though I voted for 'Replacement', I would be happy if they reduce price of existing car and replace a segment lower car with it, may be after stripping down some options.

For e.g. I would love to see Ford Icon replaced by current fiesta and then 'All New Fiesta' taking the place of current fiesta. Similarly Hyundai Accent replaced by current Verna and then 'All New Verna' taking place of current Verna.

clevermax · 14th March 2011, 11:48

Second type of parallel positioning is not happening everywhere. In India, yes it happens. The greatest example is M800-Zen-Alto-A-Star lineup!

View Poll Results: How would you like your favorite car to exit the market?
A Graceful Exit aka Replacement	35	92.11%
An exit into oblivion aka parallel positioning	3	7.89%
Voters: 38. You may not vote on this poll

14th March 2011, 08:47	#1
kiku007 Distinguished - BHPian Join Date: Apr 2005 Location: AU Posts: 2,409 Thanked: 8,558 Times	How would you like your favorite car to exit the market? How would you like your favorite car to exit the market? A Graceful Exit aka Replacement: A newer version of the car is launched to REPLACE the old one. Eg. OHC-NHC-ANHC, Qualis-Innova, Corolla-Corolla Altis etc. Lot of people will miss the old cars for their respective individual USPs. Eg.OHC-VTEC and Qualis-VFM. Missing is good. The old versions retain their value pretty well in the used market. NO confusion to the consumer!! The new versions usually take a big jump in pricing and at times become unaffordable for the earlier audience. An exit into oblivion aka parallel positioning: The new and old versions of the same car sell in parallel usually by stripping the old one of features and more importantly it's potent engine options and reducing the sticker price. Eg. Indica-Indica Vista, Ikon-Fiesta, Accent-Verna, Lancer-Cedia, Pajero-Montero, Indigo XL-Manza, Palio-Punto, Spark-Beat etc. Good profits for the company! Caters to a wide range of buyers across segments. Resale value nosedives. The old cars sell so little after some years that they become a joke in the monthly sales analysis. Confuses buyers. Eg. TATA learnt it the hard way. Indica Vista and Indigo Manza are Vista and Manza now respectively. There's a seperate thread for this suicidal positioning. So what to fellow BHPians feel? It's Option 1 - A Graceful Exit aka Replacement for me. The reason for me is that, I want a graceful exit for some fantastic cars (Cars I loved) like the Lancer, Ikon, current Fiesta etc.
	() Thanks

14th March 2011, 09:08	#2
arvi86 Senior - BHPian Join Date: Apr 2010 Location: Chennai Posts: 1,162 Thanked: 995 Times View My Garage	Re: How would you like your favorite car to exit the market? I have voted for Option A. Surely, a graceful exit (replacement) will make wonders for the car's value years or even decades later. A classic example would be the Zen and Lancer. Both these cars were legends and later the respective companies decided to completely spoil the brand name of both these cars. While Maruti did the horrible thing of spoiling the beauty of the Zen with a so-called facelift, the Estilo then came and completely eroded the Zen's value. In the same way, HM-Mitsubishi should have stopped the Lancer when it was at its peak or should have launched its international replacements here. The Lancer brand is in shambles now in the used car market (compared to similar period cars like OHC etc.). But the second option cannot be ruled out also. See the case of the Accent-Verna where the former is still selling as much as the latter despite being a generation older.
	() Thanks

14th March 2011, 09:14	#3
camchennai BHPian Join Date: Dec 2010 Location: Chennai Posts: 335 Thanked: 11 Times	Re: How would you like your favorite car to exit the market? I have voted for option 1 and would love to see newer version to replace the current one, 2 cars which were used by me (Corolla and Camry) had a graceful exit and i am happy to see them in new avatar. They are fresh and appealing. How come you are not taking the case of Maruti for option 2?? They are the one who taught this culture to Indian market. Till date they haven't stopped any of their small car offerings even after a new model is launched (Old Zen being an exception). Last edited by camchennai : 14th March 2011 at 09:15.
	() Thanks

14th March 2011, 10:56	#4
kiku007 Distinguished - BHPian Join Date: Apr 2005 Location: AU Posts: 2,409 Thanked: 8,558 Times	Re: How would you like your favorite car to exit the market? ^ arvi86 - Yes the accent sells or for that matter the Santro too in good numbers when we consider their age. Question is what is Hyundai going to do with the Accent and current Verna when the new Verna comes and how do the owners see this? And yes, they killed the soul of the Zen and Esteem. Also My 199X M800 was better built than the current Altos. But there's a different thread for their poor build quality. ^ camchennai - It's not like I don't want to bring Maruti into the picture. Afterall they have the M800-Alto-Alto K10-Zen Estilo and Omni-Eeco. However they were sensible with the Wagon-R. Let's wait to see how they deal with the new Swift.
	() Thanks

14th March 2011, 11:06	#5
Superleggera BHPian Join Date: Mar 2007 Location: Kannur/Boston Posts: 533 Thanked: 819 Times View My Garage	Re: How would you like your favorite car to exit the market? Note from Mod: There are several spelling & grammatical errors in your posts. This negatively affects the board experience for other readers. Kindly ensure that you proof-read your posts prior to submission. Also, it would be a good idea to use spell-checkers. Last edited by GTO : 14th March 2011 at 14:53.
	() Thanks $Received Infraction$

14th March 2011, 11:41	#6
HammerHead Senior - BHPian Join Date: Oct 2009 Location: Goan in Pune Posts: 1,254 Thanked: 653 Times View My Garage	Re: How would you like your favorite car to exit the market? Though I voted for 'Replacement', I would be happy if they reduce price of existing car and replace a segment lower car with it, may be after stripping down some options. For e.g. I would love to see Ford Icon replaced by current fiesta and then 'All New Fiesta' taking the place of current fiesta. Similarly Hyundai Accent replaced by current Verna and then 'All New Verna' taking place of current Verna.
	() Thanks

14th March 2011, 11:48	#7
clevermax Senior - BHPian Join Date: Jun 2006 Location: Tvm/Amsterdam Posts: 2,113 Thanked: 2,902 Times View My Garage	Re: How would you like your favorite car to exit the market? Second type of parallel positioning is not happening everywhere. In India, yes it happens. The greatest example is M800-Zen-Alto-A-Star lineup!
	() Thanks