German luxury car maker Mercedes-Benz clocked its highest-ever annual sales in India during the calendar year 2023 with a growth of 10% in volume on a year-on-year basis. The growth came on the back of a robust uptick in sports utility vehicles, sedans, and electric vehicles.
Mercedes-Benz India sold 17,408 units in 2023, against 15,822 units sold in 2022. Sports utility vehicles accounted for 55% of the volume, buoyed by high demand for the newly launched GLC, GLE, and existing products like GLA and GLS. The sedan segment also remained strong with A-Class, C-Class E-Class, and S-Class comprising 45% of sales.
“There is an immense desire for Mercedes-Benz brand, driven by superior products, introduction of Top-End Vehicles (TEV), elevated customer experiences, and customised solutions developed specifically for the Indian market. All these have resulted in our ‘best year ever’ not only in terms of sales but also drastic improvement in customer satisfaction parameters,” Managing Director and Chief Executive Officer Santosh Iyer said.
During the year, Mercedes-Benz India launched the new GLS. The company noted that all three segments: entry, core, and top end performed favorably throughout the year, and LWB E-Class remained the single highest-selling model in 2023. Electric vehicle sales grew by three times during the year, contributing 4% of the total volume. Mercedes-Benz’s electric vehicle portfolio comprises the EQB SUV, EQE SUV, and EQS sedan.
With the Indian economy rising and growth in high-net-worth individuals, the Indian luxury car market continued to outpace the mass market passenger vehicles last year with a growth of 20%. Favorable changes in perception towards luxury cars and a growing economy are expected to keep driving the luxury market to new heights. Mercedes-Benz has projected India’s luxury car market to double to over 80,000 units by 2030 from 2022.
Autocar Professional had earlier reported that Mercedes-Benz India had almost doubled its net profit during the financial year 2022-2023, crossing the $100 million mark or Rs 841 crore for the first time. A 65% jump in revenue on the back of 16,497 car sales drove strong profit growth.