Huge jump in demand for automatic transmission cars in urban markets, sales of CVT and AMT models increased.

Huge jump in demand for automatic transmission cars in urban markets, sales of CVT and AMT models increased.

New Delhi. Now the demand for automatic transmission (AT) vehicles is increasing rapidly in the country. Despite expensive prices, people are now choosing automatic cars for more comfortable driving experience and better fuel efficiency. These vehicles, once considered luxury, now account for about 26% of the country's mass-market vehicle sales, whereas in 2020 this figure was only 16%. This information has come out from the data collected by Jato Dynamics. Due to increasing traffic in urban and metro cities, people are now turning towards such cars which can move easily in heavy traffic.

According to this data, one out of every three cars sold in the top 20 cities of the country is now with automatic transmission. However, they cost ₹60,000 to ₹2 lakh more than manual cars. Nevertheless, the increasing demand for automatic cars is closing this gap.

AT option in 83 models
The availability of AT options in the market is increasing rapidly. Currently there are 83 models in which the option of automatic transmission is being offered. Major automobile manufacturing companies like Maruti Suzuki, Toyota, Tata Motors, Mahindra & Mahindra, Hyundai and Kia are promoting their AT models.

Honda's success and popularity of CVT
Honda Motors, which offers advanced Continuously Variable Transmission (CVT) in its cars, has more than 50% of the company's total sales coming from automatic vehicles. According to Honda, about 60% of the company's cars are sold in CVT variants, because CVT transmission is not limited to only the top variants, but it is also available in the lower variants of all the models.

Honda's line-up includes models like Elevate, City, City e:HEV and Amaze. These automatic transmission cars are not only more fuel efficient, but they offer options ranging from affordable AMT to CVT and high-performance DCT.

Increasing popularity among buyers of every category
The popularity of automatic transmission cars is increasing among people of every age and class. The main reasons for this are believed to be increasing urbanization, increasing income of people and increasing trend towards convenient driving. Car manufacturers are expecting this trend to increase further.

still dependent on imports
Although demand for automatic transmissions has increased, Indian carmakers are still importing most of the automatic gearboxes. Due to this, the cost of automatic cars increases and by the time they reach the customers, cars with automatic gearbox become expensive. However, companies like Maruti Suzuki and Mahindra have localized AMT production, making automatic cars more accessible in the budget segment.

Tags: auto news

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Big preparations for the festive season! More than 20 cars will be launched in the next 3 months, the market will be flooded with SUVs

Big preparations for the festive season! More than 20 cars will be launched in the next 3 months, the market will be flooded with SUVs

New Delhi. If you are planning to buy a new car, then this festive season is going to be very special for you. More than 20 new cars are going to be launched in the Indian market in the coming 3 months. New cars will be launched from Navratri to Christmas and will be introduced with updated models and features. According to the information, in this festive season, companies are ready to spend Rs 20 lakh crore in the auto industry. The price of the cars to be launched will be between Rs 6 lakh and Rs 2.25 crore.

Looking at the demand of the customers, the auto companies are focusing on the launch of SUVs and 7 seater vehicles. Mercedes, Kia and Volkswagen are bringing premium SUVs. 80% of these cars are from the SUV-MPV segment.

The trend of SUVs is getting stronger
Car buyers are always attracted to new features. This makes the customer decide to buy a car. Car manufacturers launch new cars taking advantage of this mindset of the customer. Currently, a strong trend of SUVs is being seen. Keeping this trend in mind, companies are also preparing to attract rich customers. The market is full of SUVs as compared to hatchbacks of the same size. Customers are liking cars with airbags, sunroof, infotainment and comfortable features more. It is expected that dealers will receive attractive bookings for cars before the festive season.

12% more discount than last year
Currently, car dealers have an inventory of about 75 days, which should normally be 30-45 days. Dealers have 7.8 lakh cars worth Rs 80 thousand crores ready to be sold. The cost of maintaining these cars in the showroom is increasing. If these cars are parked for a long time, the margin will reduce to 1%. Therefore, dealers are selling these cars by giving huge discounts.

According to global automotive and intelligence firm JATO Dynamics, the average discount of vehicle companies is 12% higher this year compared to last year. There is a discount of Rs 20 thousand to Rs 3.25 lakh on vehicles. In 2023, it was Rs 25 lakh to Rs 1 lakh, which was 40-45% higher than 2022. According to the data, the average discount on vehicles right now is Rs 38,816, which was Rs 34,630 in 2023.

Tags: Auto News, Car Discount Offers, Festive Offer

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