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The Honda Jazz is not only helping it get valuable feedback from hatch buyers which it feels would be essential when designing the global compact car, but also resulting in boost of Honda City sales!

OK, we find this one a hard pill to swallow.

The Jazz is also helping the company gather key market inputs for the global small compact car scheduled to be launched during 2011-12.

Honda Official -

“Our market research tell us that there are a considerable number of customers who come in to have a good look at the Jazz and end up buying the City”

Does this mean a person who is bent on purchasing a Honda vehicle find the Jazz less VFM or worthy than the City?

Honda continues to support the Jazz’ ‘tall’ pricing, shall we call it? – the official remarks with its premium feel and high level of features, it is “unlike run-of-the-mill small cars” in India.

The Jazz is a sub-4 meter hatchback and has a 1.2-liter engine which is spec-enough to avail benefits extended to small cars in the country. The car is pitched at the country’s younger generation and women who are on the lookout for a car.

The Jazz shares 60% of its parts with the City. In fact, one Honda’s staff charged with customer relations tells us Honda does not term or market this car as a hatchback or a close relative to the City. All the family matters end at the production line and in the showroom, the situation both cars in resemble an exam hall atmosphere.

Initial market feedback indicated the age profile of the Jazz user is five years younger to the typical City user – hinting Honda has succeeded in addressing a younger audience with this car.

True, but how many youngsters today in India, a country that looks for value, features and comforts more than anything else, afford a 7-lakh product? Honda says these people will be offered the more cheaper global small car scheduled for 2011-12.

Here’s a quick fact – Almost 45 per cent of Jazz buyers are existing Honda customers! cars, that is. This is a very encouraging sign which Honda believes is going to play a major role when introducing the small car. The brand is addictive, and the small car is going to recall all these people again in the future, it says.

Peugeot-Citroen is planning a global sub-compact car for India, Brazil, China and Iran as well. Peugeot is deciding to build a plant for manufacturing this car either in Tamil Nadu or Andhra Pradesh

The company was present earlier in India from 1994-97, shut shop due to labor trouble and left to pursue interests overseas. But this time around, the company has better plans and ideas.

It is rumored that Brazil and Iran will first get this car in 2012 followed by India and China in 2013. Before the introduction of this compact, the company would sell cars imported from Europe. It would arrive in the form of CKDs and CBUs, but right now, things are still in the planning stage.

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