Auto companies carry forward car discounts into 2013

Insecure market conditions which prevailed over the auto sector during the past year has made auto companies come up with exciting offers, discount schemes and a number of freebies in the hope of attracting customers back into showrooms. These discounts have been carried forward into the New Year.

Yes, car manufacturers in India will continue offering discounts in 2013, in the hope of tackling what is predicted as another tough year for auto sectors specially considering job insecurities, the constant fear of petrol price hikes not to mention high interest rates. All these factors are adding to the woes of auto companies who are experienced drastic dip in demand.

Besides the luxury sector, small car sales were also under stress during 2012 and this situation is not likely to get any better during the current year which will prove to be equally challenging. Auto companies will continue offering these discounts and exchange schemes to lure customers even while most auto companies in the country have announced marginal price hikes. The upcoming Union Budget in February is being eagerly awaited with most auto companies hopeful of Reserve Bank of India announcing steady reduction on interest rates.

Source: ET