Maruti India expects sluggish growth this fiscal

India’s largest car manufacturer, Maruti Suzuki India asserted that its sales growth rate for the financial year 2012 will be in squat single digit, which is surely not a very good news for Maruti Suzuki India. It is a well-known fact that the car sales in India since a past few months have been pretty tepid, all thanks to sky rocketing fuel prices and hiked interest rates.

As per the Managing Executive Officer of marketing and sales department of Maruti Suzuki India, Mr. Mayank Pareek the sales growth rate is quite low this year. However, the firm is expecting a boost in the sales during the festive season. The total sales of Maruti Suzuki India tumbled down by 7.1% that is to 3,56,826 units in the months of April to July 2011. On the other hand, the sales were 3,84,181 units in the months of April to July 2010.

Even the domestic sales of the firm have stumbled down by 4.7% to 3,17,187 units, which was 3,33,001 units in 2010. No doubt, the terrible hikes in the fuel prices and rising interest rates have given the customers a huge setback. Mr. Pareek also mentioned that Maruti Suzuki India is also offering discounts on their products in order to boost up their sales. Maruti India doesn’t want to leave any stone unturned.

Offers like exchange of car contribute a lot to the firm. The exchange consumers are very important for the company and if statistics are to be taken into account the volume of exchange consumers is much higher than those who buy cars for the first time. Mr. Pareek also said that around 90000 consumers come to Maruti Suzuki India’s service station and ask to exchange their cars for the new ones. Maruti India is providing such offers to their customers, but no further details were given on these schemes.