Carzonrent India, a personal transportation solutions company, on Thursday said it has acquired 120 C-Class luxury sedans from Mercedes-Benz in a single purchase worth Rs 40 crore. The company has earmarked another Rs 60 crore to buy more luxury cars in the current fiscal, said Rajiv Vij, managing director, Carzonrent.
Speaking to FE, he said after the purchase of 120 cars from Mercedes-Benz on Thursday, the company's luxury fleet strength has gone up to 800.
"We will be buying more luxury cars of different makes in the current fiscal to enhance our luxury car fleet strength to over 1,000, which will cater to all major cities/metros."
He said the car rental market has been growing at 15% per annum and, within that, the luxury car rental market is scheduled to grow at 25% per annum over next few years. "We have set a target to have a 30,000-strong fleet strength with an estimated investment of Rs 1,200 crore in next three years."
According to him, the company was looking at a turnover of Rs 1,200 crore in next three years against Rs 360 crore last fiscal. This fiscal it hopes to achieve a turnover of Rs 400 crore, he added.
Vij said the demand for luxury car rentals was stemming from the increasing affluence of young Indians, coupled with the emergence of the young aspirational customer groups who want the highest levels of comfort and luxury. The emergence of such a trend has given an impetus to customer-focused companies such as Carzonrent, which has witnessed robust demand for luxury travel from their high net worth clients, he added.