This year has not really being promising for the Honda stable with the price hike in petrol has literally killed the sales for Honda in India. With no option of diesel motor in any of their cars and on the other hand the competition offering both diesel and petrol version at a competitive price has left Honda high and dry. Finally the premium brand had to offer healthy discounts on the City and Jazz to gain back their loyalty. Now Honda is planning to enter the mass market by launching their small car Brio.
Honda worldwide is known for their policy of Safety first in their cars, so even if that makes the price of the base model a little higher than the competition its still is okay. Similarly the Brio sold in the international market is equipped with airbags, body cage and ABS even for the base model but India will be the only country where Honda will not give these safety features on their base model as standard the reason being just the airbag itself adds another Rs. 45,000 – 60,000 to the price of the car.
Looking at the current competition if Honda will sell the Brio at a premium price, it will do no good to the company. Honda Spokesperson also said that the launch is around the end of this month and the safety features had to be eliminated as the car to be priced less than Rs. 5 lakhs. With the car components having maximum localisation, Honda will manage to price the car competitively.