Skoda India aims 10% growth in 2015, to enter used car business
Skoda Auto India, the fully owned subsidiary of Volkswagen Group India, sold 15,538 cars in 2014, which is a decline of 31.1% as compared to 2013 sales (22,563 units). For Q1 2015, Skoda India sold 4,100 cars, which is again a decline of 12.76% as compared to same period last year.
In spite of registering a decline in Q1 2015, Skoda India is hopeful of registering a minimum 10% annual growth this year. With no new cars planned for launch, one wonders how will this be possible. The answer is, Skoda India plans to enter used car business.
With some pilot projects currently being planned in Delhi and Mumbai, Skoda Auto India Director, Sales & Marketing, Ashutosh Dixit has revealed to PTI that the company is keen to venture into the used car business.
The entry into the used car business will not only enhance brand strategy in the country but will also enable the company to give a boost to sales with exchange offers being more enticing. Though Volkswagen entered the pre owned car business in India in 2013 with Das WeltAuto, Skoda Auto India being a part of the Volkswagen Group wishes to have its separate entry into this arena. The finer details are yet to be revealed, and it remains to be seen whether Skoda will enter the business as a separate entity or under the VW umbrella.
At start, Skoda India per owned car venture will set off in leading metros such as Delhi and Mumbai while depending on response received the company will be embarking on similar plans to other cities across the country.