At a time when car sales are experiencing a challenging phase with around Rs 60,000 crore worth of inventory lying unsold with dealers, along with reduced footfall and potentially lower consumer interest during the upcoming monsoon season, two of the largest Original Equipment Manufacturers (OEMs), Tata Motors and Mahindra & Mahindra, have slashed prices on their popular vehicles to stimulate demand. M&M slashed prices by up to Rs 2.05 lakh, while Tata Motors slashed prices by up to Rs 70,000 on select models, along with benefits of up to Rs 1.4 lakh on popular SUV variants.
Interestingly, these announcements also came after the recent decision by the Uttar Pradesh state government to waive registration fees on strong hybrid cars, effectively reducing their on-road prices by up to Rs 4 lakh.
Mahindra & Mahindra has announced special ex-showroom pricing for all the AX7 variants of their XUV700 SUV, effective for four months starting July 10, 2024. The AX7 range now starts at Rs 19.49 lakh, down from the earlier price of Rs 21.54 lakh. This announcement comes with the celebration of the XUV700’s third anniversary and the milestone of selling around 200,000 units in less than three years.
To enhance its appeal further, Mahindra has introduced two new colour options. Additionally, new variants like the AX5 Select, MX 7-seater, and Blaze edition have been launched, ensuring a broader range of choices for customers. The AX7 range features amenities such as a panoramic sunroof, dual 26.03 cm HD superscreen, Level-2 ADAS with adaptive cruise control, and a 3D audio system with 12 Sony speakers.
Similarly, Tata Motors, in order to boost sales, has reduced the prices of its flagship SUVs, Harrier and Safari, with starting prices now at Rs 14.99 lakh and Rs 15.49 lakh, respectively. Alongside these price cuts, Tata Motors is offering benefits of up to Rs 1.4 lakh on popular SUV variants. For electric vehicles such as the Nexon.ev, the benefits go up to Rs 1.3 lakh, and for the Punch.ev, consumers can avail of benefits up to Rs 30,000. These offers are valid until July 31. This announcement came as the carmaker celebrated the milestone of selling over 2 million SUVs in India.
Speaking on this, Vivek Srivatsa, Chief Commercial Officer, Tata Passenger Electric Mobility, stated, “Our ability to understand the SUV segment and provide the right product for every customer need helps us maintain consistency and dominant leadership in the segment.”
With substantial unsold inventory along with other challenges, both Tata Motors and Mahindra & Mahindra’s pricing strategies aim to revive consumer interest and stimulate sales.
First Published: Jul 09 2024 | 7:49 PM IST
