Mahindra Logan prices cut up to Rs. 80,000, Mahindra to drop Renault tag
Mahindra & Mahindra have slashed the prices of Mahindra Logan sedan from Rs. 24,000 to Rs 80,000 (depending upon the model). A price cut was earlier introduced by Mahindra to the tune of Rs. 50,000 on the petrol version of Logan.
Mahindra earlier bought stake in Renault and decided to have a tie-up with the French automotive company Renault to manufacture and sell Logan in India. But it seems that the French connection is not working for the company.
But now the since Mahindra & Mahindra has now decided to drop the Renault tag and go for the major price slash, we expect a different scenario for the sedan’s sales.
Mahindra and Mahindra will be buying a 49% stake in Mahindra Renault Pvt. Ltd. which is going to operate and function as a wholly owned subsidiary of M&M. But till then M&M will be paying a royalty to Renault whose name continues to get associated with Logan till the end of this year on each unit sold and we will see the sedan only bearing Mahindra’s tag later on. The company might even go for a complete re naming of the car.
It is noteworthy that Mahindra and Mahindra has been suffering from a low sales graph of Logan and the average sales of this sedan has dropped dramatically from 2,500 units to 300-500 units a month. According to analysts this happened mostly due to uncertainties about the Joint Venture of Renault with Mahindra & Mahindra. And also due to the unstoppable Maruti Swift Dzire sales which still has a waiting period running into weeks and could very well manage a sale of 7,000 units per month.
M&M may soon start manufacturing a modified Logan which will be a shortened Logan and is most likely to hit the Indian roads very soon. M&M will sell this shortened Logan alongside the original one is yet to be decided and revealed by the company.