Mercedes expects big things from the Indian market
Mercedes is looking forward to double-digit growth figures from the Indian car market this year and plans to target tier two and tier three cities to achieve this, according to news recently released by company chiefs.
Mercedes-Benz India MD and CEO Eberhard Kern said that growth figures for 2013 had reached 32%; however, in the period to June 2014, the manufacturer had already reached 25%, which has given the company cause for optimism.
Figures from Mercedes highlight that 4,717 cars were sold in the first six months of this year, which beats the 3,765 units sold in the same period in 2013.
New car dealerships are planned for tier two and tier three cities, which will offer first-class service to Mercedes customers. Mercedes achieves 55% of its sales from small towns and 45% of business from the country's largest cities such as Mumbai and Delhi.
Mr Kern was happy with the way in which sales were increasing in the Kerala market, with luxury car sales growing at a healthy 35%. Answering questions about recent tax changes in the state for luxury cars, he added: "Taxes in India are the highest in the world. We can't do anything about it. We have to accept and live with it. It might affect business."
The Mercedes executive was in the Keralan state of Kochi to open a new 22,000 square feet showroom.