http://www.engineeringnews.co.za/article/auto-industry-2012-06-29

GM revises pricing for entry-level range

Published 06 Jul 12        By: Irma Venter
Following the recent price reduction on the now locally manufactured Chevrolet Spark, General Motors South Africa (GMSA) has announced similar revisions to other models in its entry-level range.

Both the Chevrolet Spark Lite and the Chevrolet Aveo are now the subject of price reductions with immediate effect.

“General Motors is conscious of the diffi- culty faced by first-time vehicle buyers to access affordable new vehicles, especially those from popular brands,” says GMSA sales and marketing VP Malcolm Gauld.

“This latest realignment of prices and models in our entry-level A- and B-segments will significantly ease access to new vehicles with a proud brand heritage and a very high level of both safety and comfort specifications.”

The Spark Lite will from now on only be available with a one-litre engine, with the smaller 0.8 ℓ-engined model discontinued.

The price tag on the Spark Lite 1.0 LS is cut by 12.7%, or R12 500, to R86 200, including Vat. This is marginally above the previous asking price for the 0.8 ℓ model.

Buyers get a small Chevrolet that includes safety items such as antilock brakes and dual airbags, as well as air conditioning and electric windows.

The Aveo hatch range is downsized from three variants to just one – the Chevrolet Aveo 1.6.

The recommended retail price of this model is now R117 300, including Vat, which is a saving of R19 100, or 14%.

The Aveo 1.6 Hatch is now the lowest-priced 1.6 ℓ passenger car in South Africa, says Gauld.

The price includes power steering, antilock brakes, driver’s side airbag, air conditioning, tilt-adjustable steering wheel and transponder key immobiliser system.

The Aveo sedan line-up remains unchanged with three variants: the Aveo 1.6, the Aveo 1.6 LS and the Aveo 1.6 LS A/T.

Again, prices have been revised downwards, with the Aveo sedan 1.6 now priced at R121 300 (down from R136 400), the Aveo sedan 1.6 LS manual positioned at R140 300 (down from R154 300) and the Aveo sedan 1.6 LS A/T priced at R152 300 (down from R166 400).

The Aveo Sedan LS specification level includes a height-adjustable driver’s seat, dual airbags, power-operated front windows, central locking and a radio/CD combination with MP3 compatibility and auxiliary input, notes Gauld.

“As with other models in the Chevrolet range, both the Spark Lite and the Aveo are covered by a five-year/120 000 km warranty, with roadside assistance for the full warranty period.”

But why these price cuts now?

“Ever mindful of the financial pressures exerted by current global economic conditions, we have worked together with our vehicle supply partners, General Motors, in Korea, where the Spark Lite and Aveo are built, to take costs out of vehicles in our entry-level range,” explains Gauld.
“Both the Chevrolet Spark and the Aveo are mature models in the global Chevrolet range that benefit from a high level of initial cost amortisation over their extended lives. This has enabled us to negotiate a more favourable pricing structure on these models, with this benefit passed directly on to our customers.”