By initiating the second shift in its Chennai facility, Mercedes Benz is making plans to offer new models. This comes in the wake of fierce competition in luxury car segment which is likely to increase by 50% this year. The company’s Director for sales and marketing said the new models- SUV and under performance models- will easily fill the vacuum in the market, reminding
16 models offered during the last 7 months. He anticipated the boost in the luxury car market in coming months, pushing aside the growth of standard car market(20%growth). He focused that the sale of luxury cars may get the new figure of 13000 units from the last year’s 8500 units.
The luxury car segment moves on the brand conception rather on price, he clarified and he set aside the claim that Mercedes is facing a task against BMW and Audi. He pointed out the sale figure- 2450 units during Jan-June 2010- which reflected the supremacy of Mercedes in the segment. However, Mercedes had to succumb to number two slot from the top after the sale volume of BMW increased in 2009. He cited the lack of brands in Mercedes E class , which gave 40$ share to its sale volume, as the main reason for it. BMW took advantage by selling 300 more units than Mercedes Benz. Mercedes has been regaining its share- sale of 1023 units during the first six months after the launch of new models under E class. Sale of other models too pricked up, 995 units of C-class, 266 units of S-class, 93 units of M class, 47 units of GL and 25 other units. To enable the smooth flow of its vehicles in the market, Mercedes will offer financial assistance to the customers through its finance wing from its apex body.