Native sales of Indian leading passenger car makers keep on growing. Reportedly, Maruti Suzuki, one of the leading Indian car manufacturers has witnessed a significant 14% growth this year. A whopping 126,226 units by the manufacturer have been sold.
According to the reports, the recent months (buzzed due to monetization) have shown a significant increase in automobile business, in comparison with the earlier months. Analysts claim that the festive season has actually helped for such business growth, despite demonetization heat.
Experts figure out the dedicated efforts towards keeping the inventory level minimal at the dealer’s end, which is a reason, that demonetization has not affected Maruti Suzuki. Talking about Maruti Suzuki being specific, it is a fact that the manufacturer serves a larger segment of the buyers who are buying for the first time. Undoubtedly, Maruti has all credit payment facilities for the above groups of buyers.
Not just Maruti Suzuki though, most of the renowned car manufacturers had no effects of demonetization in November, having huge orders for latest and upgraded models. In fact, the two-wheeler market has also witnessed no effect due to monetization. Maruti Suzuki apart, the premium brands like Baleno have also enjoyed healthy business during the concerned time frame.
Similar was the scenario for sports vehicles like Vitara Brezza as well. Many premium manufacturers as mentioned have enjoyed significant bookings in the past month. Though there was very little down market during the initial days of the month, it was too less to create any impact. Number of customers visiting the retail stores was good during the festive seasons, which declined a bit during the initial days of November. It didn’t have any effect on the overall sale as there are substantial bookings available for the dealers.
In fact, companies like Maruti Suzuki claim that they don’t even see any further effect due to government’s decision against black money as payments for most of the purchases are made through financial loans. Moreover, most of the customers in modern times are also quite flexible with cashless or online transactions. Especially, the customers for automobile products are quite flexible about cashless transactions.