German luxury car maker Audi has said that over the past years, increasing individual market share in India was possible only with aggressive pricing, but now it has stopped focussing on discounts and looks for sustainable growth with better margins.
“The target is a holistic target...we are not chasing or hunting for rankings and sales records. We really look at the complete business case-- how the brand performs, how is the customer satisfaction level and what the profitability looks like. That is how we measure success. The numbers will follow automatically,” Alexander von Waldenburg-Dresel, Director - Region Overseas, Audi, told BusinessLine.
He said, the company has not set a goal in numbers, but as the luxury car market is growing in India, Audi’s numbers will rise and profitability for all parties, including the dealers too. would increase
“The future models will contribute automatically (to growth). We have to grow and we have been growing. Last year, we grew by 101 per cent and this year by 49 per cent already (year-on-year). But, we are not chasing any particular number that we have to reach. What we are chasing is sustainable business for us and our dealers,” he said.
Audi India has sold 1,765 cars in the first half of this calendar year compared to 1,181 units in the same period last year. BMW India also recorded the best-ever half-yearly sales with 5,570 cars and 3,114 motorcycles sold between January and June this year. Market leader Mercedes-Benz India retailed 7,573 new cars, a growth of 56 per cent as compared with 4,857 units in January-June last year.
According to Balbir Singh Dhillon, Head, Audi India, in the first half this year, around 17,000 luxury cars have been sold in the domestic market, and if all goes well, the market may get better than the first half taking the total up to 37,000-38,000 units this year.
“The highest-ever the industry has done was 40,000 units in 2018, so we are getting close to that level and there is no doubt that next year we will cross 40,000 units as an industry,” he said adding that by 2030 the numbers will surely grow and so will Audi with better market share.