There are many who would swear by the world of cars to spell out their anger if they see Tata 'Nano' news anywhere. Nano is covered to death, from the economic to the ecological aspects of it. The funny bone in your body would start pricking about the uselessness of such news in your virgin newspaper!
But you never knew that you could make a good deal out of such effect, the Nano effect is not all that bad. In case you don't want to settle for the "cheapest car" but an "up market car", yet the pocket isn't allowing you to do so, the good news has just arrived.
The used car prices have gone down by about 15 to 30 percent, and even more according to latest reports.
The baby 'Nano' that is waiting to be launched in October this year will carry a price tag of Rs. 1.3 lakh for the base trim and higher as you go up. Much lower than many used cars. "The price of a second-hand Maruti 800 has dropped over 30 per cent since the Nano was unveiled. To give an indication, the price of a 2002 model has dropped from Rs 1.1 lakh in December to Rs 75,000 today," said Arif Fazulbhoy, head of Mumbai's largest car dealer, Fazulbhoy Motors told to a business daily recently.
However, despite the cut down on used car prices, buyers are still seem to waiting for the Nano launch, according to Fazulbhoy. And what's affecting the used car market is an unorganized market dominating it.
But will the price fall in the used car market help them or push down the Nano fever? Dealers and analysts have come up with predictions. An analyst from Angel Broking said: "The Nano will cannibalise used-car sales by exerting more downward price pressure."
Ankit Sharma, of Patliputra Automart India admits saying: "With the small car contributing 70 per cent of our sales, used-car dealers might have to refocus their business on high-end cars."
