Merc rolls out new E-Class at Rs 64.5 lakh

NEW DELHI: Mercedes Benz is on a roll in India. The company has managed to regain lost ground from BMW in 2010, spurred by new launches.

With a massive 79% rise in sales in the first seven months of 2010, Mercedes on Tuesday drove in the cabriolet version of its E-Class — a four seater convertible with soft top — priced at Rs 64.5 lakh (ex-showroom Delhi). The company's aggressive stance can be gauged by the fact that it has launched more than a dozen new cars since January this year, including variants of its C, E and S-Class models.

"The Indian economy is growing rapidly and so are the aspirations... people want to invest in luxury and cars," said Wilfried Aulbur, MD, Mercedes Benz India. The company launched SLS-AMG sports car last month with a hefty Rs 2 crore price tag and managed to sell ten units despite the steep price. The E-Class cabriolet is another aspirational product and Aulbur said these products go a long way in strengthening the brand. Rival BMW has already launched its 650i convertible in India.

Aulbur said demand for luxury cars is expected to remain strong and the market could grow manifold from its current 10,000 units. "The purchasing power of all income groups is going up and will drive the growth in luxury cars. The confidence of the Indian industry has increased, there is growth in real estate and stock market, finance is readily available and the exposure to luxury products is high."

The company has been ramping up production to meet demand. It sold 2,921 units in the January-July period against 1,629 units in the same period last year.