BMW, Audi, Mercedes-Benz are eyeing higher sales this April
What's the story
Luxury car manufacturers such as Mercedes-Benz, BMW Group, and Audi are hopeful that the recent ceasefire in West Asia will improve market sentiments in India. The companies believe that this development could encourage customers who had previously postponed their purchases to return to showrooms and finalize their orders. To mitigate supply chain pressure, these luxury carmakers have started stocking up on parts and kits.
Market influence
BMW expects customer return for higher-value purchases
Hardeep Singh Brar, President and CEO of BMW Group India, stressed the importance of the ceasefire from a luxury buyer's perspective. He said many customers are influenced by global market trends. Brar added that if this issue is resolved, they expect many customers who postponed their purchases in Q1 to return for higher-value purchases.
Market recovery
Mercedes-Benz saw strong order intake in March
Santosh Iyer, Managing Director & CEO of Mercedes-Benz India, also echoed Brar's sentiments. He said March saw one of the best ever order intakes but there were postponements due to the West Asia war. However, Iyer is optimistic about April and beyond being good months for business, especially with festive seasons in some regions of India.
Business outlook
Audi welcomes ceasefire as step toward certainty
Audi India's Brand Director Balbir Singh Dhillon welcomed the ceasefire as a step toward more certainty. He noted that many customers are business owners who feel the impact of such events directly. Dhillon believes this development will improve sentiment and readiness for spending, especially with a strong passenger car market expected in 2026.
Supply management
Luxury carmakers are stocking up parts and kits
Iyer acknowledged that geopolitical situations have caused some delays in parts and kits supplies. However, he assured that the company has enough buffer stock to manage these variances. Brar also said BMW India has stocked up on kits and parts from Munich due to higher lead times. He warned that while they are sorted for this quarter, prolonged disruptions could impact future supplies.