Festive discounts: Maruti, Hyundai, Tata, Mahindra, Honda, etc., offer benefits of up to ₹3.35 lakh

With the onset of the festive season, carmakers are doling out discounts and other benefits on select models even as vehicle prices rise, giving prospective buyers an opportunity to negotiate better deals during the crucial festive buying period.

The festive season, which began with Onam, is gaining momentum with Ganesh Chaturthi on September 14, and will continue through Dussehra before culminating in Diwali. Automakers and dealers are looking to capitalise on seasonal demand with cash discounts, exchange and scrappage benefits, loyalty bonuses and other incentives.

The offers come even as manufacturers have raised prices amid sustained input-cost pressures. Maruti Suzuki has raised prices of select models by up to ₹20,000 this month, marking its third price increase since May. Tata Motors has also raised prices of its passenger vehicles from September, while Hyundai Motor India has increased prices by up to 1%.

Tata Motors leads with benefits of up to ₹3.35 lakh

Dealer listings for the Tata Curvv EV in New Delhi show benefits of up to ₹3.35 lakh on select variants. The maximum package includes a cash component along with exchange or scrappage-related benefits, although the exact benefit depends on the variant and applicable terms.

The Harrier EV is also being marketed with benefits of up to ₹2.75 lakh in September, according to independent market reporting. Such offers are typically linked to specific variants, stock and dealership conditions.

The Curvv's petrol and diesel versions are also carrying model-specific benefits this month, while the Nexon and other Tata models have separate dealer-level incentives.

Mahindra offers benefits of up to ₹2.5 lakh

Mahindra has also stepped up incentives on select SUVs ahead of the festive rush. Independent market reporting puts the maximum benefit across the range at around ₹2.5 lakh this month. The offer structure varies across models and can include cash discounts, exchange-related benefits and accessories.

The Thar Roxx, Scorpio N, XUV 3XO and other SUVs are among the models for which buyers can find different combinations of benefits, depending on the vehicle and dealership.

Maruti, Hyundai and Honda join festive push

Maruti Suzuki's Victoris is among the models carrying substantial benefits this month. Dealer-market listings show exchange, finance and other promotional offers, while the strong-hybrid version has been reported with benefits of up to ₹1.35 lakh. The Wagon R and Swift are also carrying model-specific incentives.

Hyundai Motor India is also offering benefits on several models. Partner-dealer listings show benefits of up to ₹1 lakh on the Creta. Other Hyundai models, including the Verna, Alcazar, i20 and Exter, are also available with variant- or dealer-specific promotions.

Honda is offering some of the more substantial benefits in its portfolio. Dealer-market listings put the maximum benefit on the Elevate at around ₹2.44 lakh, while the City and Amaze also carry significant incentives. The exact package can differ according to variant, state and dealership.

August PV sales set the festive tone

The discounts come against the backdrop of strong passenger vehicle demand. PV retail sales crossed the 4-lakh mark for the first time in August, rising 16.14% year-on-year to 4,02,398 units. However, dealer inventory also increased to around 38-40 days by the end of August, indicating that manufacturers and dealers have considerable stock to work through during the festive period.

The combination of strong retail demand and elevated inventory is likely to make the festive months particularly important for automakers as they seek to convert showroom enquiries into deliveries.

To be sure, these figures are based on dealer listings and market-level information and should not be interpreted as uniform nationwide schemes. Actual benefits can vary according to the city, dealership, variant, model year and stock position. Carmakers were approached for comments on the offers but did not respond.

The maximum advertised benefit may also not represent an equivalent reduction in the vehicle's final purchase price. Exchange, scrappage, loyalty, corporate and other incentives can have separate eligibility conditions.

Analyst's take on festive discounts

Puneet Gupta, Director, Mobility Global, said retail demand remains healthy, although wholesale volumes exceeding retail sales point to some build-up in dealer inventory. He has also cautioned that if the macroeconomic environment deteriorates further and inventory continues to rise, it could eventually put pressure on dealer health and wholesale momentum.

"With the industry entering its most important sales period of the year, automakers are consequently balancing two competing priorities — managing margins amid higher costs while using targeted dealer incentives to sustain festive-season sales momentum," noted Gupta.