By T Murrali  

Crossing very significant milestones and achieving stellar sales performance made 2019 very special for Mercedes-Benz in India. The German car maker celebrated 25 years of operations of its local entity Mercedes-Benz India that began with a local assembly facility based at the Tata Motors (then TELCO) premises, and the tenth anniversary of the independent Mercedes-Benz plant in Pune.

The year was also record-making for the company in defying the slowdown and selling more than 600 cars within a week during the festive season of 2019 bucking the automotive slowdown in the country since September 2018. This was over and above its outstanding sales performance a month ago when it delivered more than 200 cars in Maharashtra, especially in Mumbai, and Gujarat. It has also sold off the current GLE models about three months ahead of plan and has opened bookings for the upcoming new generation GLE scheduled to be launched before the Auto Expo 2020.

Mercedes-Benz India sold more than 10,500 units till October 2019. The year 2018 was the best ever as it sold 15,538 units with 1.4 percent growth over the previous year. It was the second year in a row that the company crossed sales of 15,000 units. In 2019 the company recorded its highest ever Q4 selling 3,871 units, thus registering a 3.3 percent y-o-y growth for Q4, and was able to achieve sales growth in a challenging market. Amidst strong macro-economic headwinds, Mercedes-Benz India sales volumes in Q4 also grew by 15.41 percent from Q3 2019 and the overall sales volume remained at 13,786 units from January-December 2019.

With its slogan ‘Best Never Rest’ the company carries forward the rich learning and experiences of the past 25 years to embark on a new journey towards reinventing itself for the future. As the inventors of automobile globally, Mercedes-Benz is highly confident of leading the luxury automotive industry which it pioneered in India, by not resting on past laurels and accolades but by striving to achieve excellence in the future.

The company’s factory in Pune makes nine different models including the sedans of the C-Class, E-Class, S-Class and CLA Coupé as well as Maybach S-Class and the SUVs GLA, GLC, GLE and GLS. The plant in India has been one of the first local assemblies of Mercedes-Benz to implement Virtual Reality technology, starting with the body shop training. As the implementation of Virtual Reality in the training process of the Indian plant has been a huge success, it is being implemented in other Mercedes-Benz assemblies around the world.

The Managing Director and CEO of Mercedes-Benz India, Martin Schwenk, is very upbeat about the future course of the company. When told that he is the only car company CEO in India to have roaring sales, he told this publication that the festive season had been satisfactory for the company as it saw overwhelming response to its products from across markets. This has made him even more confident. He said his company’s plans would be well implemented, especially to launch new products; it was obvious that he was being both practical and optimistic.

During a recent interaction Schwenk said that the company works with its dealers to see how it can increase their profitability by looking into their inventory and stock levels, using its product offerings and ‘wish-box’ initiatives to raise the numbers. But about the order book position he said that “it is business as usual.”

On Growth Track

From the overall sentiment among customers and the availability of finance in the market Schwenk expects the industry to grow again. “I can see, when I follow numbers, that everyone is carefully and prudently managing the situation. Inventory management is taking up a big portion of every OEM’s activity. The BS-IV to BS-VI change will create some kind of distortion. Bigger the distortion, bigger will be the inventories at that point in time. Retail numbers being higher than wholesale makes me believe that the market is getting more receptive now. If there is good awareness among all, we can move forward as an industry. Turbulence will be there but it should not be a major irritation. From the second half of 2020 this transition period will be over and we would probably see a normal growth scenario. Until then the market might behave in a way that is hard to assess depending on inventory levels, pricing, discounting and whatever is necessary. I would expect some distortion where we won’t be able to easily ascertain the natural growth momentum. But with the efforts taken by Government and industry we could expect things coming back to normal soon.”

On the transition to BS-VI he said, “Our change from BS-IV to VI usually goes with new models. We have a strategy which is basically built on major model upgrades and new models. That’s why our transition started with the S-class (last year) where we had a new model with all the technology and features in it. For our brand I don’t expect any pre-or-post-buy triggered by BS replacement.”

The V-class Elite was launched in 90 countries. In India the company registered three-digit sales of its V-class and he is happy with the growing demand though the volumes are very low. “Every time we start something fresh we are keen to ensure it gets adequate returns. We try to upgrade based on what the customers tell us. The V-class does give an element of luxury; you will feel the difference when you sit in it. We are happy that we were able to open a segment where nobody had been before.”

The fact that the V-class is in 90 countries shows that it has developed well. This model, unlike its predecessors, is very much a passenger car, almost like an SUV. This has boosted sales in many markets. The global company has seen substantially higher numbers than expected, in most of the markets, he said.

The model launched in India is the same as the model Mercedes-Benz sells in other markets. It is totally imported but it is configured according to what a particular market needs and the prospective customer demand. “We have used all the feedback generated to create an offering that fits very well in the market here. The pricing of the upper-end V-class range goes up from INR 68 lakh to INR 1.1 crore. That is a wide span where you have the V-class for many different purposes in that series.”

Schwenk said the economic slowdown has definitely impacted his company with the entire industry slowing down by at least 20 percent. “We don’t have full transparency as not many manufacturers are disclosing their numbers. It’s not always easy for us to estimate what the market is doing but we believe the luxury market is down by 15 to 20 percent. However, we have maintained our market share of 40 percent in the luxury segment.”

On the customer preference for diesel vis-a-vis petrol, he said it has not triggered too much of a question. “What the customers expect is that we give them the latest technology in any engine and meet the highest standards available. Customers are not too concerned about whether we go for BS-IV or BS-VI. They are more bothered about the features in the car, the styling, design and, of course, the price. In the smaller segment we do get questions on the type of engine used, petrol or diesel. Our diesel share is unchanged in the larger SUVs and bigger sedans. Our diesel engines are highly efficient; they not only follow BS-VI norms but also are 20 percent more fuel efficient and better in CO2 emissions. If you look at the whole mix, diesel does come out as a clean fuel with the introduction of BS-VI.”

However, not all models are uniform in giving fuel efficiency; it varies from model to model. In the E-Class vehicles, engine fuel efficiency in diesel would be more by 15-20 percent. It meets all the BS-VI norms; NOX and carbon emissions are much reduced. It is very competitive with the petrol engine.

Electric Vehicles

About electric vehicle (EV) he said, “We would also develop EVs; we have already made slow entries into the market but I think we are still in the early phase of seeing what the right set-up is for the electric. From a framework and infrastructure perspective there is still some work to be done while from the customer demand angle it is not really hot. But the electric trend will certainly grow.”

“Our company has quite a few cars lined up at the global level; by 2022 we will have 10 pure electric vehicles worldwide. We would also have plug-in hybrids that we consider specifically for countries like India with about 20 models coming within the next two years. Electric will definitely have its space though we have not introduced any model in India. Based on our global portfolio and how the market develops here we would take a call on this. We are not in a rush because there should be the right momentum to get it on the road. Considering our overall strategy for 2019 we have decided to begin with connectivity as Indians are very much into their mobile devices. That’s why ‘Mercedes Me Connect’ was launched, which connects not only the new cars but also cars that go back to 2007,” Schwenk said. (MT)

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Maruti Suzuki India (MSIL), the country’s largest passenger vehicle manufacturer, has further expanded its product portfolio with the launch of the Victoris SUV.

The Victoris is being made available in multiple powertrain options, including petrol with strong hybrid, Allgrip Select (4x4) and factory-fitted S-CNG with an underbody tank design. Bookings are now open at INR 11,000.

The SUV can be had with a 1.5-litre hybrid powertrain with EV mode and e-CVT transmission, a multi-terrain 4x4 system with four drive modes and a CNG variant with dual ECUs.

The Victoris will join the Brezza, Ertiga, Fronx, Grand Vitara and Jimny to further expand its play in the SUV segment.

The new SUV features a 26.03 cm fully digital instrument cluster, 25.65 cm SmartPlay Pro X infotainment system with wireless Apple CarPlay and Android Auto, over-the-air updates and Alexa Auto integration. It also introduces a segment-first Infinity by Harman 8-speaker system with Dolby Atmos, 64-colour ambient lighting, ventilated seats, powered driver’s seat, wireless charging with cooling and a panoramic sunroof.

On safety, the Victoris comes with six airbags as standard, Level 2 ADAS with more than ten driver-assist features, all-wheel disc brakes, electronic parking brake, and a 360-degree camera. In fact, the Victoris has scored a 5-star Bharat NCAP safety rating for both adult and child occupants.

It comes with Maruti Suzuki India’s Arena Safety Shield, including ESP, ABS with EBD, hill hold control and a standard three-year/100,000 km warranty.

Hisashi Takeuchi, Managing Director & CEO, Maruti Suzuki India, said, “The new-age Indian customer is well-travelled, hyper-connected, socially aware, technologically progressive and environmentally responsible. To meet the aspirations of such customers, our new SUV the Victoris has ‘Got It All’. Victoris is a Latin word that means ‘victory’. We are confident the Victoris with its high technology, sleek design, intelligent and connected features, 5-star level safety and multiple environment friendly powertrains will win hearts in India. With Victoris we are strengthening our SUV portfolio and our overall market share.”

Partho Banerjee, Senior Executive Officer, Marketing & Sales, Maruti Suzuki India, said, “At Maruti Suzuki, we are always listening to our customers. Today’s young, and dynamic audience consider an automobile as a reflection of who they are – energetic, composed, confident and always moving forward. We gave this brief to our design and engineering teams for the all-new ‘Victoris’. SUVs may be the most loved segment today, but the SUV buyer has evolved. This new generation of young customers are ambitious, hyperconnected and value experiential living. The all-new Victoris is our answer to that shift - a progressive blend of tech, design and versatility. It is engineered with true SUV DNA and sets a new benchmark for what today’s automobiles can feel like. With the Victoris, we’re not just launching another SUV, we’re celebrating a new dimension to driving - one that’s ‘Got It All’.” 

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In celebration of India's dreamers and their aspirations, Mercedes-Benz India has announced the launch of its comprehensive festive campaign, ‘Dream Days’. Scheduled to run from 2nd September to 31st October 2025, the initiative is designed to make the ambition of owning a Mercedes-Benz more accessible than ever through a suite of tailored ownership benefits and experiential engagements.

The 360-degree campaign focuses on creating signature luxury experiences at every customer interaction. A core component is a range of innovative financial solutions aimed at empowering new and existing customers. For its entry and core model portfolios, Mercedes-Benz is introducing financial plans featuring exceptionally low monthly instalments, attractive interest rates and minimal down payments. First-time buyers will receive additional ‘Welcome Benefits’ when trading in their current vehicle.

Further enhancing flexibility, a unique ‘Seasonal Payment Plan’ allows customers to structure their payment schedules around periods of higher cash flow, such as bonus months, alleviating the burden of uniform monthly payments. A standout ‘Key to Key’ programme for select models like the S-Class enables customers to upgrade to a new vehicle after 24 to 36 months with zero down payment, effectively allowing them to own two new Mercedes-Benz cars within a four-year period.

Complementing these ownership advantages, Mercedes-Benz is elevating its customer service with nationwide ‘Service Clinics’. During these events, trained brand engineers will travel to various locations to provide personalised vehicle diagnostics and address owner concerns directly.

The campaign will culminate in the ‘Dream Days Festival’, a first-of-its-kind event touring six key cities: Chandigarh, Ahmedabad, Pune, Bengaluru, Chennai and Kochi. This two-day festival will offer participants hands-on driving experiences across specially designed tracks that demonstrate the capabilities of the brand’s sedans, SUVs, electric vehicles and high-performance AMG models. Attendees can also enjoy immersive brand experiences, such as the Burmester Sound Experience, fostering a deeper connection with the Mercedes-Benz brand.

Santosh Iyer, Managing Director & CEO, Mercedes-Benz India, said, "India is a nation built on dreams – from startup founders, entrepreneurs to seasoned executives, every dreamer deserves the luxury that they aspire for. This festive campaign, hence, underlines our commitment to fulfil the aspirations of our customers, offering flexible and curated financial solutions, supporting them with their purchase decision. We are confident these financial solutions will find immense value among customers, creating excitement and positive momentum in the market this festive season.”

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Hyundai Motor India (HMIL), one of the leading passenger vehicle manufacturers, has introduced the Creta King and Creta King Limited Edition to mark a decade of its popular Creta SUV in the domestic market. The company has also added new features to other Creta variants.

The Creta King includes features such as R18 diamond cut alloys, a driver power seat with memory function and a passenger seat with electric adjustments. It also comes with a dashcam, wireless Android Auto/Apple CarPlay and dual-zone automatic temperature control. The vehicle is available with a 1.5L petrol, 1.5L diesel and 1.5L turbo petrol engine. A new Black Matte colour is also being introduced.

The Creta King Limited Edition adds exclusive ‘King’ branding on elements like the seat belt cover, headrest cushion and key cover. This limited edition is available in Abyss Black, Atlas White and the new Black Matte colours.

The Creta King Knight, with its black design, also receives upgraded features including R18 matte black alloys, electric seat adjustments for the driver and passenger, a dashcam and dual-zone automatic temperature control.

Tarun Garg, Whole-Time Director and Chief Operating Officer, Hyundai Motor India, said, “At HMIL, we have always believed in delighting our customers with fresh choices and enhanced experiences. Ahead of this festive season, we are excited to introduce the Creta King and Creta King Limited Edition in our SUV, the Hyundai Creta. These additions, coupled with enriched feature offerings in the Creta line up will reinforce our commitment to offering products that blend style, performance, technology and safety. We are confident that these new introductions will add to the festive excitement and further strengthen the appeal of Hyundai’s most loved SUV among Indian customers.”

Additionally, new features have been added across other Creta variants, including a dashcam, dual-zone automatic temperature control and wireless Android Auto/Apple CarPlay. The Creta N Line also gets these new features.

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Honda Cars India has introduced a series of updates to its popular SUV, the Honda Elevate in time for the festive season. The enhancements include new interior colour options and exterior styling upgrades, aiming to give the vehicle a more premium and stylish feel.

The top-of-the-range Honda Elevate ZX grade now features a new Ivory interior theme, complete with ivory leatherette seats and soft-touch inserts on the doors and instrument panel. As an optional extra, customers can choose a new ‘Alpha-Bold plus Grille’ for a more commanding front profile, along with a 360-degree surround vision camera and 7-colour ambient lighting. With these additions, the Elevate ZX offers a choice of three distinct interior themes: Tan, Ivory and Black.

For the V and VX grades, Honda is introducing new black fabric upholstery, which replaces the previous shadow beige option. These variants also feature dual-tone interiors with ivory soft-touch inserts. The new Alpha-Bold plus Grille is available as an accessory for these models and the Crystal Black Pearl colour option is now offered across the V, VX and ZX grades.

Kunal Behl, Vice-President Marketing & Sales, Honda Cars India, said, “The Honda Elevate is a very successful model and has been greatly appreciated by customers for its versatility in both the domestic and export markets. With the introduction of the new ZX grade with ivory interiors and new enhancements across all grades, it is our endeavour to offer more choices to customers during the festive period and warmly welcome them into the Honda family.”

The Honda Elevate is powered by a 1.5L i-VTEC petrol engine and is available with a choice of a 6-speed manual or 7-speed CVT automatic transmission. The SUV continues to offer a range of safety features, including the Honda Sensing advanced driver-assist system in the ZX grade, which includes Collision Mitigation Braking and Adaptive Cruise Control.

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