Take the pledge to vote

For a better tommorow#AajSawaroApnaKal
  • I agree to receive emails from News18

  • I promise to vote in this year's elections no matter what the odds are.
  • Please check above checkbox.

    SUBMIT

Thank you for
taking the pledge

Vote responsibly as each vote counts
and makes a diffrence

Disclaimer:

Issued in public interest by HDFC Life. HDFC Life Insurance Company Limited (Formerly HDFC Standard Life Insurance Company Limited) (“HDFC Life”). CIN: L65110MH2000PLC128245, IRDAI Reg. No. 101 . The name/letters "HDFC" in the name/logo of the company belongs to Housing Development Finance Corporation Limited ("HDFC Limited") and is used by HDFC Life under an agreement entered into with HDFC Limited. ARN EU/04/19/13618
»
1-min read

New Launches Help Companies Buck Slowdown in Auto Sales

The auto sector has been impacted by low demand, high-interest costs and ever-increasing cost pressure due to heavy discounting.

IANS

Updated:July 6, 2019, 11:05 AM IST
facebookTwitterskypewhatsapp
New Launches Help Companies Buck Slowdown in Auto Sales
Image used for representative purpose. (Photo: Reuters)
Loading...

Bucking the slowdown trend in the auto industry, new products by a few carmakers have seen accelerated sales in an overall subdued off-take environment. New entrant MG Motors has recorded over 12,000 bookings for its first offering Hector, while Hyundai's Venue received 39,000 bookings and has a waiting period of 2-3 months depending on the variant and colour. Interestingly, both vehicles have sport internet-enabled smart communication and entertainment features.

"The novelty factor of the new models often results in increased demand in the initial stages. But sustainability is determined by market dynamics. We have observed that once the initial euphoria dies down, new models see a drop in sales, especially during a slowdown," said Sridhar V., Partner, Grant Thornton India.

The auto sector has been impacted by low demand, high-interest costs and ever-increasing cost pressure due to heavy discounting. Besides OEMs, the whole gamut of the industry including its retail arm is feeling the heat.

Passenger car sales were down 26.03 per cent to 147,546 units in the month of May. In such a subdued environment, the strategy of introducing new products to boost sales assumes significance.

"It is similar to the one used by the smartphone industry, where new features, upgraded technology, right positioning, nice aesthetics/design and pricing are the key drivers for sales," said another industry observer.

| Edited by: Anirudh SK
Read full article
Loading...
Next Story
Next Story

Also Watch

facebookTwitterskypewhatsapp

Live TV

Loading...
Countdown To Elections Results
To Assembly Elections 2018 Results