As the festive season in the India is inching closer, the highly competitive compact car segment has started witnessing the emergence of a new price war among the various popular car brands. Many of the major car makers are offering heavy discounts on their compact cars in the country, in a bid to attract more and more buyers and fully capitalize on the high demand of festive season. Recently, Hyundai had reduced the price of its premium hatch i20 by up to Rs 40,000 in the Indian market.
Further intensifying the competition, Skoda has announced heavy discounts on its premium hatch Fabia on Tuesday. Where the petrol version of the Fabia has been discounted by Rs 67,000, the diesel version has been offered with a whooping Rs 1,10,000 discount. According to a statement given by Skoda Auto India’s director (sales & Marketing), Mr. Thomas Kuehl, the company is looking to increase its market share in the country and has decided to make a mark in the small car segment which accounts for the maximum volumes.
After this heavy discount, the base petrol version of Skoda Fabia model will be available at Rs 4.35 lakh (ex-showroom Delhi) as against the previous price tag of Rs 5.02 lakh. On the other hand the base diesel variant will now be available at Rs 5.4 lakh as compared to the previous price of Rs 6.5 lakh.
According to Mr. Kuehl, the company feels that it can make a good impact in the market if its cars are placed in the 3%-5 % price range of what successful models from Maruti and Hyundai are placed at.
So far, the Skoda Fabia model has not been able to make a mark in the Indian market as its sales figures are far lesser as compared to the likes of Maruti Swift, Ford Figo, Volkswagen Polo and Chevrolet Beat. The company has just managed to sell 2820 units of this model in India in the first half of this fiscal.