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More luxury car dealerships to be seen in smaller towns

Published On Feb 22, 2011 03:41 PM By Meenal for Lamborghini Murcielago

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Luxury car dealers are now not only restricted to Ahmedabad as they are trying to establish new bases in districts like Surat, Rajkot etc. The three major car dealers in Ahmedabad, viz. Parsoli's BMW, Benchmark Cars' Mercedes and Audi Ahmedabad  are also planning to upgrade their dealership to sell used cars and this upgradation cost is estimated to be somewhere around 100 crores  with each showroom calling for somewhere around 25-30 crores. The city is going to witness huge expansion plans in the near future.

Earlier this month BMW dealer Parsoli Motors opened their new sales and service showroom at Surat and they are in a process of accessing feasibility to open new showrooms across the state. The managing director of Parsoli Motors Mr. Talha Sareshwala said  that he has plans to come up with one showroom each in the North, South, East and West corners of the state. He specified that Surat is a very vibrant and booming market for luxury cars. The company has started off with Surat and other showrooms can be opened at places like Rajkot among others. He also mentioned about the huge market for luxury cars in Vapi, Bharuch, Rajkot, Jamnagar, Bhavnagar in Gujarat. Sareshwala informed that the dealership has sold over 300 units of BMW in 2010 which was 40 percent of the market share with the total share for all premium cars being 90-95 percent. Within a year they are also planning to come up with a BMW premium selection showroom which will be a pre-owned car showroom as BMW Ahmedabad is witnessing a 40-45 precent annual growth rate.

Meanwhile Mercedes Benz – the German luxury car maker has been present in the Indian auto market for over a decade now and has more than 300 thousand cars on road. Mercedes Benz has initiated a Proven Exclusivity Program which is again a pre owned cars section in which it is planning to procure cars less than 6 years old , re-innovate them and further sell these through their outlets. Executive director of Benchmark Cars, Mr Paras Somani said that they are expecting around 10 per cent net sales from the pre owned cars segment as they enjoy a 40 per cent market share in Gujrat which is their 3rd largest market after Delhi and Mumbai. The company is also planning to come up with another showroom in Surat followed by a service center in Vadodara.

Another luxury car maker Audi which has recently launched  Audi A8 L sedan is also in the process of entering Surat along with a pre owned car service in Ahmedabad. Samir Mistry, managing director, Audi Ahmedabad said that they are coming up with a new showroom at Surat by the end of April ,while they are also upgrading the showroom in Ahmedabad to 20,000 square feet by February 2012. He mentioned that they have plans to start a pre-owned cars service in Ahmedabad soon as Audi has sold 285 cars in Ahmedabad in 2010 which is 60 per cent more than 2009.

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