Mercedes-Benz India, the largest luxury carmaker in the country, has announced total sales of 5,007 units in the January-September 2020 period. This number constitutes a 49.5% year-on-year decline over the 9,915 units sold in January-September 2019. However, the third quarter of 2020 indicates a revival in numbers and the carmaker has reported as strong comeback in Q3 sales.
Buoyed by a strong performance in September, the company’s monthly sales reached pre-lockdown levels for the first time, indicating a reviving customer sentiment due to the upcoming festive season. This market performance is despite facing ongoing market challenges which are influenced strongly by the COVID-19 pandemic. The September 2020 sales underline early signs of a gradual recovery influenced by a rejuvenated product portfolio, which is led by the new SUVs.
Sales in Year to Date
January-March 2020: 2,386
April-June 2020: 563
SUVs the growth drivers
SUVs remain the most preferred vehicles of choice for Mercedes-Benz customers with 48% penetration in September 2020 sales, followed by sedans and AMG & Dream Cars. The GLC remains the highest-selling SUV in the company’s portfolio.
The volume drivers remain the GLC, GLE and GLS SUV along with the C-Class and E-Class sedans. Meanwhile, the E-Class sedan continues to remain the single highest selling model for Mercedes-Benz in 2020, followed by the C-Class sedan. The A-Class Limousine is to be launched in Q4 2020.
Martin Schwenk: “We are glad to witness a strong comeback in the course of the last quarter, with a significant increase from month to month within the third quarter."
Commenting on the numbers, Martin Schwenk, Managing Director and CEO, Mercedes-Benz India said, “We are glad to witness a strong comeback in the course of the last quarter, with a significant increase from month to month within the third quarter. This performance is a result driven by our exciting product introductions, rolling out of attractive financial packages, combined with the gradual pick-up in business and economic activities that has positively influenced customer sentiment. We are confident, the upcoming festive season will deliver further momentum for the recovering our sales development. We remain optimistic for the fourth quarter as the current demand situation and the feedback of the customers for our products is very positive.”
Online bookings contribute up to 20% of sales in Q3 CY2020
Like most automakers, in view of the current situation, Mercedes-Benz India has strengthened its online offering. As part of its online sales focus, Mercedes-Benz India has been offering a complete online customer journey experience and collaborating closely with its retail partners to offer the best customer experience.
In the July-September 2020 period, Mercedes-Benz India online car booking contributed up to 20% of sales volume, underscoring the growing prominence of online sales platforms and the changing consumer preference for online shopping.
Mercedes-Benz India expects a significant part of its total sales to be completely online by 2025. Customers can avail new as well as pre-owned Mercedes-Benz cars online. All dealers in the country, are already part of the portal and enabling customers in their online buying journey, including delivery and complete customer services support.