BMW plans to launch 20 cars this year

Luxury car-maker targeting double-digit growth this year

BMW, India's second largest luxury car-maker, is targeting double-digit growth this year, for which it has lined up over 20 new car launches this calendar year in Asia's third biggest economy.

“This year our strategy is in place aimed at double-digit growth. We are launching 20 new cars to create market excitement and sales strategies,” Vikram Pawah, president at BMW Group India told Financial Chronicle.

He said “the worst is behind us and we are now in the recovery mode at a higher rate” and new car launches would give fillip to sales.

“Our sales have not yet touched pre-Covid era but we have reached 90 per cent and we expect the demand for luxury cars to come back,” Pawah pointed out.

He said India was a strategic and growing market for the German parent company, which continues to invest money in various businesses for growth. At its factory near Chennai, BMW has an installed capacity to produce 14,000 cars annually with 50 per cent localisation, which helps reduce prices.

Vikram Pawah

On Thursday the German car-maker launched its second product, the new BMW 3 Series Gran Limousine priced between Rs 51.50 lakh and

Rs 53.90 lakh at pan-India showroom.

BMW 3 Series Gran Limousine is the second car launch this year and the first out of the 20 new cars for this year was the BMW 2 Series 220i M Sport petrol variant introduced in the first week of this month.

BMW’s new product offensive is higher compared to the market leader and its compatriot archrival Mercedes-Benz, which plans to bring out only 15 new cars this year.

Audi, Jaguar Land Rover, Swedish Volvo Cars and Lexus are other luxury brands in the country, which experienced a steep decline in sales last year due to Covid-induced dull market.

Pawah said sales at BMW had dropped only by about 35 per cent to 6,604 units in calendar year 2020 while the luxury car market had slumped much higher between 40 and 50 per cent. Mercedes sold 7,893 cars last year, which is a 42.7 per cent drop compared to 2019.

But Pawah is confident the economy would bounce back and sales volumes would be stronger than before due to pent-up demand. “And we are confident to outperform the luxury segment in India,” he said.