Luxury car makers in India are wooing the Indian customer by offering hefty discounts on their models. Most of the car makers have also come up with low interest car loans from their own financing arm rather than asking the customer to source the finance through the banks or other financial institutions.
Luxury cars, those priced above Rs 20 lakh, posted a 34% growth in sales last fiscal to 8,313 units, the highest among all car segments. The companies are now busy launching new models in the Indian auto market by the end of this year. Some of their best-selling luxury cars, such as Mercedes E class, the BMW X5 and the Audi A6, come bundled with interest-free loans. Swedish car maker Volvo is offering 6% interest rate on its entire range of cars and SUVs.
The German luxury car maker Porsche is also ready to spread its operations in the Indian market and is now developing strategies especially aimed at expanding their presence in the country. "Our dealers have already enjoyed considerable interest in the car and have received forward orders prior to the launch. We are working on a simultaneous launch of the car in India as well and are hopeful of welcoming the car in India by late September-early October 2009," Precision Cars India Managing Director Rod Wallace said.