Maruti Suzuki S-Presso: Maruti Suzuki has shaken up India’s entry-level car market with its latest round of price cuts. The SUV-styled S-Presso has now surpassed the Alto to become the country’s most affordable car, thanks to these reductions combined with GST 2.0 benefits. This marks the first time in over a decade that the Alto has lost its cheapest car title. The move is aimed at reviving the struggling small car segment and attracting first-time buyers, especially two-wheeler owners seeking an upgrade.
Price Cuts Reshape the Small Car Segment
Maruti Suzuki announced new prices across its entry-level lineup including the S-Presso, Alto, Wagon R, and Celerio. This decision comes alongside the GST rate reduction on sub-4-metre petrol cars, which has dropped from 28% to 18%. The revision, coupled with Maruti’s additional discounts, has resulted in the biggest price overhaul the small car segment has seen in decades.
Highlights of the price cuts include:
- S-Presso: The base STD variant is now priced at Rs 3.49 lakh, down from Rs 4.26 lakh. The top trims have seen reductions of up to Rs 1.3 lakh, making it the most aggressively discounted model in Maruti’s lineup.
- Alto: Once India’s cheapest car, the Alto now starts at Rs 3.69 lakh, with price reductions ranging up to Rs 1.08 lakh.
- Celerio: The hatchback gets a new starting price of Rs 4.69 lakh, reflecting a drop of nearly Rs 94,000.
- Wagon R: Prices now begin from Rs 4.98 lakh, after a reduction of Rs 79,600.
The entry-level car market, which suffered a 35% drop in sales for Maruti’s mini-segment (S-Presso and Alto combined) between April and August this year, is now expected to regain traction thanks to these significant revisions.
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S-Presso vs Alto: A Strategic Battle
The rivalry between the S-Presso and the Alto has been a defining one for Maruti Suzuki. With these latest revisions, the S-Presso has gained the edge in terms of affordability, but the Alto continues to appeal with its reputation and updated safety features.
Price Comparison (Ex-showroom India)
| Model | Old Price (Rs) | New Price (Rs) | Difference (Rs) |
|---|---|---|---|
| S-Presso STD | 4.27 lakh | 3.50 lakh | 77,000 |
| Alto K10 STD | 4.23 lakh | 3.70 lakh | 53,000 |
| S-Presso LXI | 5.00 lakh | 3.80 lakh | 1,20,000 |
| Alto K10 LXI | 5.00 lakh | 4.00 lakh | 1,00,000 |
The numbers show that the S-Presso is now positioned below the Alto K10 across variants. However, while the S-Presso continues with just two airbags, the Alto K10 and Celerio have received a recent safety upgrade to six airbags as standard. This difference highlights Maruti’s two-pronged approach: positioning the S-Presso as the cheapest offering, while maintaining slightly higher prices for safer alternatives.
Reviving the Entry-Level Market
Maruti’s pricing gamble aims to solve some of the biggest challenges plaguing the small car market in India. Rising vehicle costs, higher down payments, and steep EMIs had deterred first-time buyers and slowed sales. By introducing aggressive price cuts on top of GST relief, Maruti is directly targeting two-wheeler owners seeking affordable upgrades.
The company has also stated that this special pricing will be available for a limited period and will be reviewed by the end of December. Channel partners are being compensated for any impact from the GST revisions, while broader industry bodies are addressing concerns over compensation cess with the government.
Interestingly, this marks a cultural shift too. For the first time, the cheapest car in India carries an SUV-inspired design rather than a traditional hatchback. The S-Presso’s tall stance and crossover appeal are designed to attract younger buyers who value road presence alongside affordability. Even though the S-Presso’s design is sometimes polarizing, its high-riding look offers a new narrative for budget-friendly mobility.
Final Verdict
Maruti Suzuki has reshaped India’s small car market by slashing prices and using GST 2.0 benefits to make the S-Presso the country’s cheapest car. This move ends the Alto’s decade-long reign as the most affordable option. Although the Alto now offers six airbags for added safety, the S-Presso stands out with its lower price and SUV-inspired design, appealing to budget-conscious buyers. Maruti’s strategy aims to revive the shrinking entry-level segment, and time will tell if it succeeds in boosting sales.
