This year, luxury carmakers have also rolled out offers to woo buyers during the festive season, including attractive EMIs and interest rates, partial road tax waivers, and assured buyback guarantees. Analysts feel that overall sales of luxury cars may be lower this festive season compared to the previous year.
Audi India, for example, is offering discounts on service plans, accessories, and other benefits for the first time during the festive season as it celebrates a milestone of selling 100,000 Audi cars on Indian roads with its ‘100 Days of Celebration’ campaign. The company, for the first time, is offering discounts on service plans, accessories, and extended warranties, along with exclusive finance and exchange benefits. Audi’s best-selling models, including the Audi A4, Q5, and the newly launched Q8, are driving robust demand.
Balbir Singh Dhillon, head of Audi India, stated, “We have curated exclusive benefits for our esteemed customers, which include 10 per cent off on service plans and comprehensive service value plans, 20 per cent off on Audi genuine merchandise and collections, and 10 per cent off on extended warranty and Audi genuine accessories.”
Santosh Iyer, managing director and chief executive officer of Mercedes-Benz India, pointed out that their ‘Dream Days Campaign’ is receiving a good response. “This festive season, we have curated an innovative ‘Dream Days Campaign’ enabling customers to fulfil their aspirations of buying a cherished Mercedes-Benz. The campaign is receiving a very good response, as customers are availing lower EMIs, complimentary insurance, depreciation benefits, corporate offers, and trade-in benefits. Our battery electric vehicle (BEV) customers can avail of benefits ranging from 50 per cent road tax reduction to exclusive recyclable benefits, enticing them further towards sustainable mobility.”
He claimed that they are seeing “better customer sentiment this year owing to a strong market, better corporate earnings,” and the launch of exciting new products, with more upcoming. There is no discount from Mercedes as such, but some festive offers.
Its German peer, BMW Group India, has kicked off the season with its ‘BMW JOY Days’ campaign, offering customers a range of financial packages. Interest rates start at 7.75 per cent per annum, which is 40 per cent lower than the standard rate and applicable on the 3 Series, which ranges between Rs 41.40 crore and Rs 52.90 lakh; BMW 2 Series Gran Coupe, which ranges between Rs 43.90 lakh and Rs 46.90 lakh (ex-showroom); and X1, which ranges between Rs 49.50 lakh and Rs 52.50 lakh (ex-showroom), with slight variations in rates for other models. BMW is offering attractive EMI options to woo customers. The EMI plans start at Rs 49,999, which include BMW Service Inclusive and registration charges, and are applicable to the BMW 2 Series Gran Coupe and X1. For some models, the assured buyback value goes up to 74 per cent based on a 2-year loan tenure and annual mileage of 10,000 km, the company said.
According to industry analysts, luxury car sales have remained steady, with a slight uptick in vehicle values driving overall revenue growth. Anurag Singh, managing director of Primus Partners, notes that as the average value of vehicles increases, the overall revenue is also growing. The luxury and super luxury segments have done well in the April-August 2024 time frame, hence a number of good deals are available to customers as original equipment manufacturers (OEMs) and dealers have ready inventory.
“Luxury carmakers have been offering discounts on financing, service plans, merchandise, and extended warranties for many years. In fact, passenger vehicle (PV) sales during the festive season in 2023 (October-November) were 11 per cent higher compared to 2022. The 2024 festive sales are expected to fall somewhere between the 2022 and 2023 figures,” Singh explained.
Not just new cars, but pre-owned luxury cars are also gaining traction. Big Boy Toyz, a pre-owned luxury car dealership, is offering extended warranties and complimentary service packages during the festive season. “We’re not just selling cars; we’re offering exquisite experiences,” said Jatin Ahuja, founder of Big Boy Toyz.
Despite some inventory buildup and slower retail sales in certain segments, industry insiders remain optimistic about the festive season.
First Published: Sep 29 2024 | 5:05 PM IST
