Mahindra has reduced the XUV 300’s prices for a competitive edge over its rivals in the compact SUV category. To compete more aggressively, petrol variants get a price cut of up to ₹72,000 and diesel variants get a price cut of up to ₹39,000.
The price revision, that has made the XUV 300 more affordable than before, was carried out silently from Mahindra’s side owing to the launch of the new Kia Sonet, we believe.
With the price reduction, the XUV 300 petrol variants now range between ₹7.95 lakh (W4) and ₹11.12 lakh (W8-O), ex-showroom Delhi. The top trim W8 (O) gets the biggest drop in price, whereas the mid-spec volume sales trim W6 gets the lowest reduction of just ₹17,000 in prices. The diesel variants of the XUV 300 now range between ₹8.70 lakh (W4) and ₹12.30 lakh (W8-O AT), ex-showroom Delhi. The base variant (W4) along with W6 and W6 AT actually see a small hike in prices of up to ₹20,000. The consequent variants W8, W8 AT, W8(O) and W8(O) AT get the expected price reduction with the top trim level getting the most affordable.
The revised prices put the Mahindra XUV 300 somewhere in the center of the competition, with the most economical top trim variant in petrol (W8). However, the diesel lineup gets costlier models as compared to most of its competitors, which can be justified with the availability of AT in diesel variants which the other rivals lack.
Interestingly, Mahindra has reduced the prices considerably only for the higher trim levels, with the base models either getting nominal or no price reduction at all. This hints at constant sales figures for the cheaper, economical variants which do not need a price reduction to sell models, and a dip in the sales of the higher trims which require a discount to move units across the showroom floor.
With the rejigging of the price list for the XUV 300, Mahindra is hoping to increase the sub-4-meter SUV’s sales deliberately in the Indian markets which sees a heavy competition from a number of rivals.