Mercedes-Benz India has strived to maintain its leadership position in the market of luxury vehicles because it records its best-ever sales of about 15,330 units in 2017, even though facing a setback because of the upward revision in the GST rates.
By selling 13,231 units in 2016, the German-based luxury vehicle brand has increased their sales growth by 9.9% and even, the progress was made on selling E, C, GLE, and GLC classes with the double-digit growth in SUV, AMG, and Sedan segment.
Through this stellar performance, the key rivals including Audi, Volvo, Jaguar Land Rover, and BMW were beaten by the Indian subsidiary and achieved a comfortable lead. At the same time, Audi India has struggled to get traction because it spotted moderate growth of volumes by just 2% to 7,876 units. So, the German Luxury automaker is referred to the GST cress hike due to its poor performance.
But, Audi was the one and only company, which was not able to respond to the impact of GST. Though it was referred as the highest selling luxury carmaker in the country in 2014, it struggled to sustain its position with other German rivals.
When it comes to the overall standings, BMW India has placed second with the registering sales of around 9,379 units. By joining hands with the Mini, the BMW Group sold 9,800 units and in turn, shown a significant growth of 25%. As far as performance is concerned, the BMW was able to attain successful development because of their all-around strategy, though the automobile industry was found to be poorly affected by many different policy fluctuations.
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Being the Indian wing of British automaker, Jaguar Land Rover has become the fastest developing luxury brand by selling 3,954 units in 2017 and earned a massive growth of 49% over 2016. This growth was due to the upbeat performance of some key models such as the Discovery Sport, F-Pace, and XE diesel.
GST was considered to be the lost opportunity for the Indian government to increase the long-term growth potential of the luxury car industry. With a considerable jump in the sales growth of 28%, the Swedish automaker Volvo has closed 2017 by selling 2,029 units in India as compared to the previous year. In the recent days, Volvo has launched XC60 series in India. This simply means that the company is gearing up with an intention to double its network of dealership in the upcoming years.
Generally speaking, Volvo was not affected by the GST because the tax revision has no effect on its sales growth. The initial burst in sales was eventually balanced out by a trivial impact on volumes because of uncertainty after the revised rates.
German car brand Porche has seen a 10% increase in the sales of 435 vehicles in 2017. The reason behind this growth was none other than the performance being done by the second-generation Cayenne that seems to be found in its run-out phase. Further, the company is all set to launch the brand-new SUV around the month of June. The Cayenne plays a key role in achieving the ambition of Porsche of expanding its sales in India.