Mercedes-Benz India has said it is witnessing an accelerated growth in sales of its top-end cars priced above Rs 1 crore, having sold 68 percent more such vehicles in the first nine months of 2022.
According to the company’s Vice President – Sales and Marketing – Santosh Iyer, the company, which sold 11,469 units in the January-September period this year surpassing what it sold in the whole of 2021, has seen 30 per cent of its sales coming from its top-end vehicles.
Mercedes-Benz India had sold a total of 11,242 units in 2021.
“If I look at it internally, we are seeing 68 percent growth in our TEV segment, which is our top-end luxury segment, compared to the overall growth of 28 percent. Today, 30 percent of our sales are in top-end vehicles, cars above Rs 1 crore price. So, that shows again the maturity of the Indian luxury car market,” Iyer told PTI.
Earlier, the luxury car market was more driven by entry level cars but today the mix is changing and the maturity is much higher, said Iyer, who has been designated to take over as Managing Director & CEO of Mercedes-Benz India with effect from January 1, 2023.
“It also shows a very strong consumption ability by the luxury customer,” he added.
While the Rs 1 crore-plus cars account for 30 per cent of total sales, Iyer said, “the demand will be around more than 40 percent” as the company has an overall 7,000 units of pending orders in total across its product range.
Mercedes-Benz India’s portfolio of cars priced above Rs 1 crore includes premium SUVs and sedans such as GLE 450, GLE400d, GLS, GLS Maybach along with sedans such as S-Class, S-Class Maybach, G-Class, AMG E53 and E63 AMG along with electric sedans EQS and EQS53 AMG.
The newly launched electric sedan EQS has already received over 300 confirmed bookings.
Asked if the share of the top-end vehicles in its total sales can grow further this year, he said it will depend on supplies.
“The availability of some of these top-end vehicles is also a challenge in terms of supply. We have to wait and see, but clearly the strategy in India and globally is to increase our top-end vehicle share. We are highly focused on being a true luxury brand to push those segments much higher,” Iyer said.
GLS, S-Class Maybach, G-Class and GLS have a waiting period of nine months, while the other car lines are three to four months, he added.
On the overall sales growth of the company for 2022, Iyer said Mercedes-Benz India is maintaining its forecast of a double-digit growth while also targeting to do better than its record of 15,538 units sold in 2018.