Maruti, Hyundai woo's customers with attractive ads

Maruti and Hyundai are wooing car-owners with attractive inducements at a 'lower EMI'.

Hyundai has come out with an ad with a pan-India appeal that says "Let's go for Hyundai at lower EMI", targeting Maruti Alto owners in a bid to have them exchange their car for a Santro or i10 (however, at a lower EMI).

As reported by Business Line, according to Mr Saral Talwar of Talwar Hyundai, a dealer at Hyderabad, they are offering Santro as a car as an upgrade or next-level car which is much roomier for Alto owners. The ad is not for buyers, as Santro outsells Alto in Hyderabad.

Hyundai values Alto at Rs. 1, 66,000 and with some discounts and exchange offers, the balance works out to Rs. 1.55 lakh. The EMI for Alto is estimated at Rs. 4,073 as against Rs 5,735 earlier.

On the other hand, Maruti's ad promises of luxury and an "Upgrade to Business Class" by offering Swift to existing Hyundai Santro owners. The old Santro is estimated at Rs. 1.65 lakh and after discounts and other offers works out to Rs. 2.36 lakh. The EMI is projected lower at Rs. 6,210 as against the previous Rs. 7,520.

To add on this offer there is one more "one-time offer" of, exchange of any old car, any make and any model, for Alto buyers. Even if the car, say, an old Fiat with all papers, is valued at Rs. 10,000, with exchange bonus and other inducements, its value works out to Rs. 40,000.

However, the recent hike in interest rates for auto loans has had an impact on small car buyers. Many of them have temporarily postponed their plans and likely to re-consider during the festival season.