Honda bounces back in domestic market by slashing car prices
Honda cars in India are known for its class apart looks and class leading features that it offers. Of late the company had been facing dud sales even for its bestselling car in the sedan segment, Honda City. Also due to the unfortunate earthquake and Tsunami that hit Japan last year in the month of March also led to major loss in terms of sales and production both. After the company could bounce back from this situation it was again stuck due to the floods in Thailand where its manufacturing units are located. This also resulted in the loss of production of Honda cars like Honda Brio, Honda Jazz etc.
Apart from these issues, Honda also became a victim of overpriced cars due to which its sales attenuated. In order to stay in competition where car makers are offering new products equipped with innovative features and that too at affordable price, Honda had to fall in the line to sustain competition.In the sedan segment Honda City which used to be the bestseller was toppled by the new Hyundai Verna sporting the Fluidic design also Volkswagen Verna gave a stiff competition to Honda City. Honda had to slash Honda City price to match with its rivals. Also the company launched the new version of the City sedan with minor cosmetic changes, the car now comes with sunroof that adds on to the premium factor of the sedan.
Apart from these the company also launched the cut price new Honda Jazz hatchback which was earlier priced at a whopping Rs 7.00 lakh (approximate ex-showroom price) which now is available at Rs 5.87 lakh(ex-showroom price). The price when slashed in 2011 stood at Rs 5.5 lakh but due to the revised cess levied on hatchbacks and ever growing input cost the price has been hiked to Rs 5.87 lakh. Honda’s move of slashing the price of its cars worked in its favour which resulted in jump in Honda car sales in India. Honda City has again bagged the top spot in the sedan segment outpacing its rivals.
Honda also launched the cheapest hatchback under its portfolio in India, Honda Brio in the month of September. Priced competitively and donning attractive looks this hatchback managed to surge Honda sales in India. Honda Brio hatchback accounts for a huge chunk of sales of Honda in India. Honda Brio small car is offered in four variants in petrol guise only. The lack of diesel engine is pinching Honda a lot, the company is even developing diesel engines for its cars including both sedans and small cars. Honda Brio when launched was priced at Rs 3.95 lakh (ex-showroom price), but the price was eventually hiked due to changes in announced during the Union Budget 2012. The small car for Honda is armed with a 1.2 litre i-VTEC engine , it is the same engine that does duty in Honda Jazz hatchback. The engine produces 88PS of power and offers a decent mileage of 18.4 kmpl. Honda Brio top end version comes equipped with safety features like ABS, EBD and SRS airbags which is absent in rest of the variants to curb the Honda Brio price.
Reference Box: Go through the Honda Brio pictures gallery available on Carkhabri.com. To know how the car actually works, read what its users have to say by browsing through the Honda Brio reviews given by users on Carkhabri.com.
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