Mercedes says luxury car segment growth to be flat this year
MumbaiL: German luxury car-maker Mercedes, which today entered the under Rs 25-lakh premium segment by launching the B-Class, said it expects a flat growth in the luxury car segment this year as the past eight months have not been encouraging.
"The growth in the luxury car segment has been flat in the first eight months of the year. We sold around 7,500 units last calendar year and this year too, we are likely to end up with the same numbers," Mercedes Benz India Director (Sales and Marketing) Debashis Mitra told reporters here.
He was speaking after launching the company's first under Rs 25 lakh model -- B-Class Sports Tourers.
The auto major has priced the petrol variants of the B-Class -- B 180 and B 180 Sport -- in the Rs 21.49-24.87 lakh (ex-showroom price, Mumbai) range.
At present, the luxury car market stands at 25,000 units per annum but is expected to touch 2.5 lakh units by 2020. Out of this, Mercedes commands 23 percent market share currently.
Mitra, however, said the recently announced measures to perk up the economy may change the situation a bit adding the luxe car market is all about sentiment.
He said the premium segment or the Rs 25-30 lakh segment has, however, clocked good growth and the segment has seen competition as well.
According to Mitra, the company will start assembling its M-Class range from October at its Pune plant which will be followed by GL-Class from next year.
Besides, the B-Class assembly may also commence from end 2013, he said.
Mercedes currently assembles its C, E and S class models at its Pune plant.