PUNE: Customers were aplenty outside an automobile showroom in Vimannagar on Thursday, but many of them were disappointed at the fact that neither the dealer, nor the manufacturer, were offering much by the way of sops or discounts — a common trend during festive occasions, including Ganeshotsav.
“I was expecting that there would be incentives for the customers such as discounts. But there is nothing of that sort this time round,” said Chandannagar resident, who wanted a scooter for his wife. He returned without a vehicle, due to a long waiting period on the model of his choice.
“There is good demand from the customers’ end, and we have reached pre-Covid revenues. But there are issues on the supply side. The primary reason is that the cost of production has gone up, be it of material, or freight charges, or international shipping,” said Shailesh Bhandari of BU Bhandari Auto, which operates both four-and two-wheeler dealerships.
“The effects of the shortage is more on the four-wheeler market than on two-wheelers. There is a good number of back orders to be serviced. The dealers are not holding a lot of inventory. They are not getting much from the manufacturers,” said Federation of Automobile Dealers Associations state chairman Amar Sheth said.
Manufacturers such as Piaggio and Mercedes-Benz have announced some festive season offers. “As markets are opening, the recovery following the second wave has been good. We are introducing exciting products this festive season. But the challenge of shortage of semiconductors, compounded due to Malaysian Covid wave, may act as a dampener,” said a spokesperson for Tata Motors.
