Luxury car makers in India are looking to tap into the potential of small Indian cities and towns in a bid to improve their sales. The tremendous demand for high end cars in these markets is making premiere manufacturers like BMW, Audi and Jaguar Land Rover (JLR) to set up exclusive dealerships in such cities.
Bhopal, the capital of Madhya Pradesh, is the host of the ongoing 4-day-long Auto Expo that is being attended by the likes of BMW, Jaguar, Renault, Toyota, Maruti Suzuki, Hyundai, Nissan and Mahindra & Mahindra. According to automotive giants, the demand for expensive cars in cities like Bhopal will be key driver of their growth in India.
Ramesh Sharma, who was checking out the brochure of BMW X-series, said, “I’ve got a car already, it’s a Civic. But I’m looking for something a little bigger, because it’s a bit cramped if you go away for the night.” The base model of the X-series begins at Rs. 26 lacs.
BMW Sales Consultant Nilesh Tiwari said, “Our target to begin with is to sell 20 cars, but if the current trend is anything to follow, we will exceed expectations (in 2012).” The German luxury car maker is gearing up to set up an exclusive service centre in Madhya Pradesh by mid-2012.
Jaguar Land Rover is seeking a dealer to sell its cars Madhya Pradesh. As per Sameer Ahsan, the sales manager of JLR, “Preliminary research indicated that customers from Madhya Pradesh purchase their luxury vehicles from other states. We are looking to fill this gap by creating a niche for our two brands, Jaguar and Land Rover.”
It has already sold two Land Rovers, whose base model costs Rs. 41 lacs, in the state, whereas it has received orders for 12 more cars of the brand even before its showroom in Indore has been opened. JLR has showcased a Jaguar that costs a steep Rs. 96 lacs at the ongoing auto fair in Bhopal.
Mitsubishi is selling more units of Pajero in Bhopal than the whole state. The Sports utility Vehicle (SUV) ranks among the favourites of the crowd, with excellent volumes despite its high cost. According to S. M. Sheikh, Assistant Manager of sales at the company, it sells eight Pajeros every month on an average, more than the number it rolls out in Nagpur. He added, “The market for SUVs and Pajeros has picked up significantly.” The company is looking forward to foray into Bhopal with its Lancer Evolution X (also called Evo 10) that bears a price tag of Rs. 50 lacs.
