Honda keen to strengthen its second hand car segment

Some car companies have registered lower sales in July compared to last year in India, while others have strategized practical methods to enhance buying powers during the present unfavorable car economic scenario. Honda Cars India is one of the firms that have witnessed increased sale outputs. The down sliding market conditions might boost revenues for second hand car firms and sources claim that the profits might be higher than last year. The July month has not been too favorable for some firms and this was the eighth successive month of low sale outputs.

A top official of Honda Cars India announced that people view second hand cars to be of the same quality as a brand new model, the current weakening economy has enabled those who opt for reasonable pricing to consider second hand models. The demand for second hand cars is pretty robust especially in highly industrialized cities, and sales from smaller towns and other cities have increased.

To facilitate significant profits in used car market, Honda is keen to release 900 to 1,000 vehicles in the present financial year. The program is called Honda auto terrace. This according to sources would increase the sale outputs to two fold; the company for this year is keen to shell out 30,000 cars compared to 12,000 in the year-ago period.  The company is indeed aiming at an admirable target compared to last year.

Other reputed firms are keen to strengthen their used car products to a new level, Mahindra First Choice wheels aims at shelling 65,000 vehicles for the Financial Year 14 period which is an increase of 40% compared to 46,000 during the year-ago period. The company is keen to increase its outlet portfolio by another hundred which then would become 353 in Financial Year 14 period.

A top company official of Mahindra First Choice Wheels announced that most people prefer new cars, and has hence impacted the second hand car market. The main reason for people to prefer brand new cars is due to lesser ownership duration. The company also stated that the quality structure of used cars has improved remarkably and now the customer turn out in this segment has increased.

There is a pre owned vehicle program, through which the sale output of used cars has increased remarkably, Tata Motors has rolled out 96,827 vehicles, Maruti Suzuki with the aid of true value outlets has shelled out massive car figures of 2.5 lakhs in Financial Year 13.

Most people would now opt for used cars that brand new ones, since the quality of these products have improved and also the choice options are widened. The work scene in India has changed compared to years ago where most people are now holding jobs, which has hence increased car buying power, but with the current weak car economy, Indian’s are not able to buy cars, in such circumstances second hand cars is the best option. People are dependent on cars since most industrialized factories are situated far away from city areas.

Those who are keen to purchase second hand Honda cars, it is a practical move since these cars are appreciated for their incredible efficiency and mileage.