Traditionally, the last month of the year is considered a bad month for business. But this time, December may prove to be lucky for the car makers, who had already suffered a no-show during the festive season.
Age old wisdom suggests consumers prefer to stay away from buying cars in December as it has a detrimental impact on the resale value of the vehicle. However, all-time high discounts and other freebies make it an opportune time for deal hunters.
"This year has been very volatile for the car industry but we expect December to be a peak month," said Michael Perschke, head, Audi India. "This is a sweet month for buying cars especially for bargain hunters... those looking for a good deal."
Over the last three years, car sales in December have grown significantly at over 25%, making it the most improved month in the calendar year. Since 2008, it has relinquished its crown of being the worst month and in fact saw better sales last year than in the festive month of October.
"The trend over the last five years has been that consumers are not afraid to buy cars in December if there is a good deal," said Mayank Pareek, chief operating officer, marketing and sales, Maruti Suzuki India Ltd. "Apart from Dhanteras, the other time we see the maximum sales in a single day is on December 31."