After City, Honda Reduces the Price of Jazz!

[350Z]

The sudden move by Honda Siel to reduce the City prices up to more than half a lakh has left the Indian market thrilled (http://www.theautomotiveindia.com/forums/indian-auto-news/4083-honda-city-price-slashed.html). The reason for this price reduction that Honda claims is increased localization. Now that the City E costs almost close to Jazz base variant, this will more or less affect the already wobbling sales figures of Jazz. The hottest question which all of us have being asking around is whether Honda will reduce the pricing of Jazz? Have your say below.

EDIT: Honda has now slashed the price of Jazz by upto Rs.1.74 Lakhs! Click Here for details.



Drive Safe,
350Z

 

[type-r]

Re: After City, Will Honda Reduce the Pricing of Jazz?

yes, i expect it to be slashed though it should have happened loong back.

 

[cooldhaya]

Re: After City, Will Honda Reduce the Pricing of Jazz?

Yes now they should reduce the price of Jazz too. But honestly speaking Jazz is worth its money every bit , its almost as comfortable as a sedan!

 

[Nuvo]

Re: After City, Will Honda Reduce the Pricing of Jazz?

I voted No.

I don't believe in Honda's official justification regarding price revision of City. It was due to pressure from competitors and not due to increase in localisation. They want to save their bread & butter model in India. City came under pressure for the first time and they took the obvious option.

For Jazz the case is different. It has been a certified flop model since its launch. If Honda were to consider price revision they would have done so last year- at the launch of Polo. I think they have already given up on Jazz.

Pricing City close to Jazz will no doubt further kill numbers of Jazz. But in turn it might increase the numbers of City. Being priced close to Jazz, City now looks real VFM. Prospective City buyers will surely take this into account.

 

[AMG]

Re: After City, Will Honda Reduce the Pricing of Jazz?

No, they wont.

The City's price was deduced because the Vento beat it for 3 months in a row.

The Jazz has been a beaten car since its debut.

 

[rajvardhanraje]

Re: After City, Will Honda Reduce the Pricing of Jazz?

I dont think they will reduce its prices. They did it with the City because they had to. It is Honda's bread and butter model. Honda will concentrate more on the Brio now for establishing themselves in the hatch space. Anyways Jazz never sold in big numbers.

 

[Akash]

Re: After City, Will Honda Reduce the Pricing of Jazz?

I have voted yes.
I feel the price revision will take place in a couple of months as soon as Honda is almost ready with the Brio prices. I feel the Jazz price cut is much needed especially since the City pricing now stands too close which may finally lead to fatal conditions for Jazz.

 

[Marun]

Re: After City, Will Honda Reduce the Pricing of Jazz?

I don't think they will reduce the price.

Instead, they will add some goodies as packages and sell it for same price.

 

[amaan1994]

Re: After City, Will Honda Reduce the Pricing of Jazz?

I voted No. The reason for that is plain simple - Honda just noticed it's pants were on fire and in order to save the only thing they have left, they were FORCED to reduce prices of the City. I have not seen a car company as arrogant as Honda India, they make mistakes knowingly and still expect customers to buy their severely over-priced cars. The Jazz, even if it sees a price cut of Rs.80,000/-, will still be way too expensive for its class. Any effort to reduce the price of the Jazz will be an exercise in futility as it is not going to make a difference anyway. The very first thing Honda should have on its mind right now is bringing a diesel engine at any cost. Nothing will work until then. Time to pull up your pants and make the necessary moves Honda!

 

[Thetraveller]

Re: After City, Will Honda Reduce the Pricing of Jazz?

I have voted No and I am going with the general negative consensus. Reducing price points is not easy. Lots goes into placing a brand and its value. City's price has been reduced just because of flailing sales and bleak future. In addition to reducing price, they need to come up with a diesel engine, otherwise they are going to feel the pinch further.

 

[Alto_2428]

Sorry for double post. Pls delete it:(:(

I've voted yes. Price reduction for jazz will increase sales by higher margin coz even skoda fabia is selling decently after huge price cut and so a car from honda will delinetely do well! I hope atleast they will skimp safety features to compete with the likes of i20,polo etc. If the are not going to do that then they'll atleast make dealer discounts official.

 

[jalex]

Re: After City, Will Honda Reduce the Pricing of Jazz?

I voted Yes. Well I wont say for sure yes though. But looking at things now, They should cause the price of petrol is ludicrous now and the interest rate on loans are going to go skyward after the recent repo rate hikes by the RBI. So who will buy a petrol hatch and in what numbers for that price? And I bet the japs need to increase their business volume to survive what's happened back home. So they will slash the prices, Only question is when.

 

[350Z]

Re: After City, Will Honda Reduce the Pricing of Jazz?

Yes now they should reduce the price of Jazz too. But honestly speaking Jazz is worth its money every bit , its almost as comfortable as a sedan!

There’s the catch. It offers comfort ‘almost’ as sedan but not typically what one would find in a sedan. It was Honda’s big time mistake to ridiculously price a hatchback so high, in spite of knowing that it won’t work.

I voted No.

I don't believe in Honda's official justification regarding price revision of City. It was due to pressure from competitors and not due to increase in localisation. They want to save their bread & butter model in India. City came under pressure for the first time and they took the obvious option.

For Jazz the case is different. It has been a certified flop model since its launch. If Honda were to consider price revision they would have done so last year- at the launch of Polo. I think they have already given up on Jazz.

Pricing City close to Jazz will no doubt further kill numbers of Jazz. But in turn it might increase the numbers of City. Being priced close to Jazz, City now looks real VFM. Prospective City buyers will surely take this into account.

Your statement maybe correct but we must not forget that it’s still an assumption. There are thin chances of reputed carmaker like Honda issuing false information publicly which may severely spoil their image if proved wrong. The possibility could be that they intentionally increased localization at this period, so as to compete with Vento which can wobble the sales figures of City. Now, if the localization has been increased, then definitely a slight effect of it can be observed on the Jazz too (But only of course if Honda wishes to!).

I've voted yes. Price reduction for jazz will increase sales by higher margin coz even skoda fabia is selling decently after huge price cut and so a car from honda will delinetely do well! I hope atleast they will skimp safety features to compete with the likes of i20,polo etc. If the are not going to do that then they'll atleast make dealer discounts official.

Well said. Exactly my point.

Drive Safe,
350Z

 

[brandoo]

Re: After City, Will Honda Reduce the Pricing of Jazz?

Hypothetically Honda should reduce the price of Jazz to boost the sales but I believe they are focussing on the launch of Brio and City. When viewed from this angle i doubt honda will reduce the price of Jazz. There is handsome offer on Jazz

 

['venom']

Re: After City, Will Honda Reduce the Pricing of Jazz?

Honda will not reduce price ! They dont care weather Jazz is selling any way.