Honda reintroduces the City Base variant, Honda Jazz to see a price drop?

New Honda City Car 2010

Just before it launched the Jazz hatchback, Honda India dumped the all new Honda City’s base variant as it feared cannibalization of Jazz sales. The move backfired with customers choosing the all new Honda City over the Jazz hatchback as they got the boot and the additional prestige of the sedan at the relatively small premium of INR 1 Lakh. Now, it is common news that the overpriced Honda Jazz hatchback has bombed miserably at the hustings with Honda dealers offering massive discounts on the Honda Jazz, a great car marred due to Honda’s overpricing.

Honda Jazz

Now, Honda India is reintroducing the all new Honda City base variant, which sells for an ex-showroom Bangalore price of INR 7.94 Lakhs. This move from Honda could result in the offtake of more Honda Citys as the Honda City has been a top seller in it’s segment and this price cut could only make things better for it. Reading between the lines, we’re expecting another move from Honda.

This time, the price of the Jazz could be reduced further. This, to improve the flagging sales as the Honda Jazz now sits bang in all new Honda City territory, a definite bad move, especially when the dealers are struggling to improve Jazz sales.

So, expect a price cut close to the tune of INR 50,000 on the Jazz in the near future.

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