Petrol Stop - Mercedes eyes growth in Tier-II & III cities

Mercedes eyes growth in Tier-II & III cities

Friday, 29 January 2010

29 Jan 2010;dailypioneer.com:Rakesh Bihari Jha:New Delhi: Luxury car maker Mercedes Benz on Thursday said Tier-II and III cities are rapidly emerging as the powerhouse of the new India, as a result, the company will be extending its networks to these cities in a big way. “There is a significant movement in the Tier II and III cities and Surat is a shining example. We sold 17 cars in December there,” Mercedez Benz India MD and CEO Wilfried Aulbur told The Pioneer. “As we see great growth in these kind of cities compared to bigger ones, we will be opening our dealerships there. The company will extend its networks to Goa and Orissa very soon,” added Aulbur. Mercedes is undertaking a pan India dealer upgradation exercise, which entails an investment of up to Rs 200 crore, to be borne by both dealers and the company. When asked about what the company will do to get back its No. 1 position from its arch rival BMW, Aulbur said: “We don’t want to focus on leadership. We want to have a profitable growth so that we can reinvest in the country,” said Aulbur, adding, “Mercedes has been profitable for the last 10 years in the country.” Mercedes sold 3,247 units in 2009 as against 3,625 units in 2008 in India, while BMW sold 3,619 units in 2009. The company on Thursday launched all new S350 L and the S 350 CDI L BlueEFFICIENCY in the range of Rs 80.50 lakh to Rs 82 lakh (ex-showroom Delhi). “‘In India, the S-class is the clear leader with over 53 per cent market share. The new models will further carry the S-class leadership in this segment,” said Aulbur.