Hyundai sees normalcy after April

New Delhi: With retail sales picking up again in December after taking a hit due to the demonetisation of Rs 500 and Rs 1000 notes, Hyundai Motors India expects normalcy to return in the first quarter of the new year.

The company, which capped a “landmark year” in 2016 with domestic sales crossing the five lakh unit mark, is looking to build on the momentum this year.

“Demonetisation impacted consumer sentiment creating a challenge. Walk-ins at showrooms were down by around 40 per cent while overall retail sales were down by 24-25 per cent immediately after the note ban,” Hyundai Motor India Ltd senior vice-president, sales and marketing, Rakesh Srivastava, said.

The company’s domestic sales (wholesales) declined 8.32 per cent to 40,016 units in November 2016 compared with 43,651 in November 2015.

He, however, said things have started to improve in December, and with the company also launching a slew of promotional offers, “retail sales in December were up 5 per cent as compared with the same month last year”.

Asked how long it could take for normalcy to return, he said: “The situation is improving. It may take a quarter to normalise.”

Hyundai had given 10 per cent extra discount in December to offset the note ban impact.