Year-end car deals are here. Brands are offering discounts across segments, and if you have been eyeing something, perhaps this is a time to make that trip to a showroom.
Car manufacturers typically hike their prices from January 1, and that is the reason December is a good time to buy, car dealers say.
A car bought in December is cheaper, but within weeks, it is deemed last year’s model. That is not really a problem if you aren’t selling it soon.
“If the car is bought in January, though one might miss out on the discounts, the resale value is higher because it is registered in the new year,” a dealer says.
Metrolife spoke to experts about the pros and cons.
“If you are planning to keep the car for the long term, December discounts are for you. For those who plan to resell the car in five years, buying in January is a good idea,” says Nithin, a car data expert.
This is a month when dealers try to clear their stocks to make way for newer models with higher prices. “The discounts work out well both for the customer and the dealer,” he observes. Parikshit S Bhat, vice-president, RNS Motors, says car sales go up by a whopping 50 per cent in December.
“The tyres, bonnet, seats…. everything remains the same even in the new year. It is better to buy in December and enjoy the discounts,” he says.
L N Ajay Singh, director, sales and marketing, Advaith Hyundai, says year-end discounts range from Rs 40,000 to Rs 1.5 lakh.
“The salaried crowd comes in, and smaller cars like the Grand i10, Santro, and i20 sell in big numbers,” he says.
Many Suzuki dealers told Metrolife the Wagon R is in demand this season.
Brijesh, HR Manager, Arvind Motors, says deals help sell vehicles, but December is not really a peak sales month. His showroom deals with all kinds of commercial vehicles.
“We haven’t noticed any increase in sales during December. Customers are attracted only during the festive offer period,” he says. For most businesses, ‘festive season’ refers to September and October, around Deepavali.
Maruti Suzuki, Hyundai, Honda, Toyota, Ford, Tata, and Volkswagen are some of the cars on year-end offers.
Discounts on the road
Maruti Suzuki
Maruti Suzuki is offering a cash discount of up to Rs 22,000 on its highest-selling premium hatchback Baleno, along with an exchange bonus of Rs 15,000. With
these discounts, the starting price of Baleno is down to Rs 5.15 lakh. It is also offering cash discount of up to Rs 30,000 and an exchange bonus on Wagon R.
Tata Motors
Tata Motors has lined up offers on compact SUV Nexon with an exchange bonus of Rs 5,000. It is also offering a discount of Rs 50,000 on its lifestyle SUV Hexa, besides benefits of up to Rs 35,000.
Toyota
Deals are on offer for the Yaris and Corolla Altis sedans
Hyundai
The Korean car maker is offering a discount of up to Rs 60,000 on its compact sedan Xcent. The base model Xcent E (metallic) priced at Rs 5.66 lakh (ex-showroom) now comes for Rs 5.05 lakh. Verna has benefits up to Rs 50,000.
Ford
Ford is offering discounts of up to Rs 60,000 on its Ford Figo.
Read this before you go looking
Is December the best time to buy a car?
As most automakers are eager to hit sales goals, December is when they start offering deals.
Keep your eyes wide open
Though you might get a brand new car at a discount, you are buying a car that will be ‘last year’s model soon.
When is the best time to buy a car?
End of March, June, September and December. That’s when dealers try to reach their quarterly sales goals.