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  • Category: Miscellaneous

    Buy now and pay in 2022, why car companies making panic sales ?

    I came across an ad released by renowned car manufacturer and the marketing technique was totally different. The ad says buy now and pay in 2022? That is very good offer for those who wants to buy a car but have shortage of funds or waiting for money in near future. Is there any hidden agenda over doing such panic sales by the car company as we could see the spiraling petrol and diesel rates and people switching over to electric vehicles must have pressed their panic button. Or else what may be their back the stage motive ?
  • #745182
    We are only two months away from 2022. There won't be great loss to the car companies. They make good by increasing the car's price to compensate the loss. This is a business technique to attract the customers. There are too many unsold cars lying in the company's yard due to pandemic. How to sell them out? This is one way to lure the customers.
    No life without Sun

  • #745189
    Today the business environment is full of competition and not only competition but it is a cut throat competition. In this situation many sellers are coming with newer and newer methods to attract the customers and grab the business. One such business technique is buy today pay later. Not only the car manufacturers but there are so many companies which are encouraging the customers to buy today and pay later. Some of them are charging a nominal interest also from the customers while most of them are not charging any interest. So this is a creative way to attract the customer who otherwise are not going to buy that item maybe for another 1-2 years.
    Companies very well understand this fact that once a customer buys the item and has to pay for it later then at least it is almost confirmed that he will somehow pay for it even if he has to take loan from somewhere else. So there is nothing much great in this offer except that companies have to increase their business activity and generate revenue by all these methods.

    Knowledge is power.

  • #745196
    That speaks about the competition in the car market. Many foreign companies started their manufacturing in India and there many new models on the roads. Now the customer is having plenty of choices before him. So the companies should think of novel schemes to attract customers. At the same time, they can't make a loss. So they have to see that production will be going on and cars will be getting sold. If the stocks are increasing, the working capital limits will be crossed and banks will charge extra interest. Instead of keeping the cars and paying interest to the bank, they may be feeling that asking the consumers to pay later will be a better choice. Definitely in pricing the product they will take care of the interesting part also. As a matter of fact, we see many discount sales are EMI sales in various shops for various products. This is all due to competition and to avoid waste of time by stopping production activity. I have seen a company in Hyderabad who is paying immediate payment to the supplier of the vendor is ready to give 2% discount on the quoted price.
    drrao
    always confident

  • #745197
    Car manufacturers have their eyes on their potential customers. They have identified that they cannot sustain their business without the existence of the customers. They are aware of the fact that their stocks have piled up pushing up their inventory costs. Luring the customers with some attractive offerings would ease their sales of piled up cars and so they need some attractive proposals to woo them. Though car market has become competitive with the times but still there is scope for expediting the sales with some attractive offerings. They want to encash it at any cost.


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