NEW DELHI: One of India’s leading luxury carmakers -- Audi -- had an eventful first nine months of calendar year 2022. The German carmaker registered a 29% growth in its sales despite facing supplyside constraints. Going ahead, Audi expects robust demand for its model, especially for the newly-launched- updated Q3 SUV, as YOLO attitude and rise in disposable income has come as boon for country’s luxury car market.
However, it is still waiting demand to reach at a certain threshold to invest more in India. In an exclusive interaction with TNIE, Balbir Singh Dhillon, head of Audi India, discussed Audi’s plan for India, new trends in luxury car market, regulatory hurdles and more. Edited Excerpts:
Are you satisfied with the sale’s performance in the first 9 months of CY22. How has been the ongoing festive season for Audi?
We have witnessed a 29% growth with 2,947 units retailed in January-September 2022 period. In addition to growth for new cars, Audi Approved: plus (our pre-owned car business) has grown by 73% in the first nine months of 2022. Having said that, the ongoing semiconductor shortage along with other supply chain constraints continues to restrict supply. The demand in the last few months has grown steadily and we expect this to continue in the period ahead.
With the ongoing festive season, we are expecting good growth on the back of sustained demand for our best-sellers including the Audi A4, Audi A6, Audi Q5, Audi Q7 and Audi Q8. We are also witnessing strong demand for products including our RS models and the segment-leading Audi e-tron. In addition, we launched our best- seller, Audi Q3 with lucrative ownership benefits for the first 500 customers. Deliveries for the new Audi Q3 will begin towards the end of this year.
Post easing of Covid, how has India’s luxury car market recovered? What sort of growth potential do you see from the local market in next few years?
Post-covid, the YOLO (you only live once) attitude has given rise to the indulgence quotient when it comes to buying luxury goods, including cars. In addition to new cars, the pre-owned luxury segment has witnessed growth in last 2-3 years. At Audi India, we have seen a 73% growth in our pre-owned car business in the first nine months of 2022. . From the Audi A4, which is our entry-level sedan right up to the RS e-tron GT, is our top-end electric car that costs upwards of Rs 2 crore – we have seen a rise in young buyers over the last two years.
Any plans to increase localisation or invest more in India in capacity expansion? Policy wise, what can be done to give a boost to the luxury car segment?
Currently, Audi A4, Audi A6, Audi Q5 and Audi Q7 are locally assembled in India. To assemble more models locally, we need to reach the full potential of the luxury car market. As of now, we have enough capacity to cater to the current demand.