Monday, July 18, 2011

Mercedes Benz sells 90 cars to Carzonrent fleet service



The luxury car makers are still divided over bulk dealing and sales as some believe that it erodes the brand while some like Mercedes Benz defend their actions. The debate began when the German automaker struck a deal of 150 cars in Aurangabad, Maharashtra. Now, Mercedes Benz has once again brought to light the times of the past. This time the car maker has sold 90 cars to a fleet service in Delhi.

In fact, the automaker is now eyeing fleet operators and lease businesses in a bid to capture the top spot among luxury car makers in India. Mercedes Benz lost out to BMW in terms of sales and now the company wishes to get to the top once again. The company sold 90 cars on Monday to Carzonrent, a New Delhi-based fleet service operator with an aim to increase their overall sales.
The company aims to generate 8-10 percent of total sales through such bulk deals. As Mercedes Benz looks to increase its foothold in the Indian luxury segment, BMW India is growing at a rapid pace. In the month of June, BMW sold 890 units while Mercedes Benz could only manage 565 units. For BMW, the 5-Series was the best seller while the E-Class clocked 231 units in the same month.
Mercedes Benz will also start leasing cars to companies by the end of this year. This is part of a global strategy that the company adopts which the automaker hopes to revive its sales with. Meanwhile, Jaguar-Land Rover have already started assembling CKD units at the Chakan plant. We hope to see the Jaguar XF coming to India through CKD routes soon. At present the Jaguar sedan is a CBU.

The prices of the Jaguar XF will come down as a result and the car will be ready for an all-out battle with the titans of the Indian luxury segment. Hence, it is vital for Mercedes Benz to get their act together before losing out to the other brands that are entering the Indian market.

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