Luxury car industry in India has been severely affected in the past few months due to pandemic
Mercedes-Benz India has delivered 2,948 new cars in H1 2020, a period that’s gone from no activity to staggered operations in the last 3 of 6 month. Sales fell 55.06 percent from 6,561 units sold in H1 2019. For Mercedes-Benz India, SUVs remain a preferred vehicle segment with 57 percent penetration in June 2020 sales.
Mercedes Benz India Q1 2020 sales was reported at 2,386 units, a decline of 38.58 percent from 3,885 units sold in Q1 2019. While the first quarter of the year was for the most part untouched by lockdown, Q2 2020 has been an altogether different story.
With no production and sales activity through April 2020, and ops only just starting to get underway through May, Mercedes-Benz India has sold 562 units through Q2 2020, down 78.99 percent from 2,676 cars sold in Q2 2019. Below is a detailed report of Mercedes Benz India sales performance over the last few Q2 and H1 periods of respective year.
Mercedes Benz Q2 2020 sales / H1 2020 sales
While COVID-19 related challenges are forthcoming, Mercedes-Benz reports momentum witnessed in June 2020 sales, which signals a gradual recovery. Newly launched GLS accounted for 22 percent of June 2020 sales. In June, the company launched its new GLE 450 4MATIC LWB at a price of Rs 88.80 lakhs and GLE 400 d 4MATIC LWB at Rs 89.90 Lakhs (ex-sh, India, except Kerala). It also launched the new GLS 400 d 4MATIC and GLS 450 4MATIC at a price of Rs 99.90 lakh (ex-sh, India, except Kerala). C-Class, E-Class, GLC remain key volume drivers.
While unavailability of BS4 volume models through BS6 transition period proved to be a challenge in H1 2020, sales growth is expected in H2 with availability of BS6 volume products. Furthermore, the company has launches scheduled, and operations and sales is being ramped up as permissible by local authority directives. Under current unlock protocol, priority remains on safety and health of employees, customers and suppliers. Mercedes-Benz’ digital services have generated 8,000+ leads through its online sales platforms in Q2 2020.
Martin Schwenk, Managing Director & CEO, Mercedes-Benz India commented, “We remain cautiously optimistic as we gradually ramp up our sales amidst the prevalent market challenges triggered by the pandemic. We are glad to witness a slow movement from previous months and we expect this trend to gather momentum.
However recovery will be slow and we currently expect customer sentiments to revive going forward, though the market conditions would continue to remain challenging. Our focus remains on generating demand and support the customer on their purchase decision with innovative financial solutions like WishBox 2.0.”