Discounts drive up Maruti’s Dec retail sales to all-time high
India’s largest carmaker, Maruti Suzuki Ltd, pumped up discounts last month, boosting December retail sales to its highest ever and considerably trimming its inventory.
Maruti’s showroom sales in December was around 220,000 units, 18.18% higher than around 180,000 units sold in the same month a year ago, according to two people aware of the development.
This is also the company’s highest ever retail monthly sales, the people cited above said on condition of anonymity. Like other carmakers in India, Maruti does not provide retail sales and counts despatches to dealerships as sales.
Maruti increased discounts as it wanted to start the new year with a lower inventory, the first of the two people said.
“Lots of customers postponed their vehicle purchases in 2018 because of the rise in petrol and diesel prices and the adverse impact of the NBFC (nonbanking financial company) crisis on availability of credit and the decline in the stock market. Now, with such huge discounts being offered on every vehicle, customers realized it was the best time to buy a vehicle,” this person said.
An email sent to Maruti Suzuki’s spokespersons on Friday remained unanswered.
Maruti has offered discounts on all products at its Arena and Nexa dealerships.