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Found 2 results

  1. Another one bites the dust. Mercedes has decided to stop selling the R Class MPV in India and it will no longer be available in dealerships. The R Class was launched in India in 2010 in a petrol variant only. It didnt sell well at all because the GL seven seater made more sense. People in India are more inclined to SUVs and the GL was a diesel too. The R Class got a diesel just last year but it was too late. The R Class is not only a dud in India but even globally there is less demand for it. Production for the R Class will be stopped worldwide by 2015 and there are no plans for a replacement. Source: Motorbeam
  2. Skoda is all set to pull the plug on the Fabia and will stop selling its only hatchback in Indian the market. However, Skoda will finish assembling Fabia kits before stopping production and hence the Fabia will continue to be sold, possibly till the end this year, until stocks are exhausted. Skoda’s decision to withdraw the hatchback from the market was prompted by the huge losses the company has been incurring on the Fabia. Successive price cuts over the years to prop up demand has seen this car shedding almost 40 per cent of its price tag since its launch in 2008, which badly squeezed margins. The Fabia’s relatively low level of local content made it very expensive to produce and this problem was compounded by the Indian Rupee depreciation of 36 percent since 2008 which pushed up costs even higher. According to industry sources, Skoda was losing as much as Rs. 1.5 lakh per car and hence the company was deliberately refraining from aggressively marketing the Fabia which sold a meagre 3,343 units in the 2012-2013 fiscal year. Last month Skoda sold a paltry 115 units. Earlier this year, Honda withdrew its premium hatchback the Jazz, for similar reasons as the car was just too expensive too produce. Read more here: Fabia to be discontinued I think this is a good move by Skoda. I was never really a fan of the Fabia, never liked the front end especially and always found it to be overpriced. The Polo outsold Fabia by a huge margin really and to be honest Im happy to see it go.