In the run up to the launch of the new 2014 Honda City, the company is still tight-lipped about the pricing of the new car. However, company sources reveal that the new Honda City will be aggressively priced, just like the carmaker had done with the Amaze last year.
Honda’s aggressive pricing strategy worked well with the Honda Amaze compact sedan and the company is keen on following the same approach for the new Honda City.
In fact, unlike the Amaze that had just the Dzire to compete with, the City belongs to a more competitive segment. Hence, Honda will be even more aggressive in pricing the new City in its quest to grab market share. The City used to top the sales charts in the mid-size segment but, has lost its number one spot to the Hyundai Verna. We had earlier reported that the new City may cost about Rs 30,000 more than the Hyundai Verna. But, we now expect it to be pegged head on against the Hyundai mid-sizer, with just a marginal price difference between the two.
In the past, Honda used to charge a premium for their cars. However, the days of charging a premium for products are long gone, say company officials.
Honda has concentrated on employing a combination of heavy localisation and intelligent cost cutting measures, on the new City, to cut manufacturing costs; thereby allowing the company to price the new Honda City competitively.
The new Honda City will be launched on January 7th, 2014.
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