Reference Auto

German luxury car maker Mercedes-Benz is making determined efforts to regain its market share in the country, which it lost to BMW, and besides drawing up plans to bring in its economical A and B Class cars, Mercedes is also revving up in the mid-luxury M-Class segment bringing in its third generation SUV, pricing it at Rs 56.9 lakh (ex-showroom Delhi).

The new M-Class SUV is 23 mm longer and 15 mm broader compared with the old car and its seats are 20 mm lower. These changes give the car a more dynamic look.

The interior of the SUV is also refurbished and is made of high-quality materials, has a beautiful instrument cluster and comes with a state-of-the-art entertainment system.

The M-Class SUV boasts of technologies like customised settings for engine performance, automatic transmission, anti-lock braking system, electronic stability programme and electronic traction system.

The mid-luxury segment in India is also witnessing a boom in sales (the growth of which could surge to over 80 per cent in the next few years) with rise in disposable income of middle class families in the upper end of the strata and Mercedes-Benz seems ready to make the most of it.

However, sales volume still remains a concern for Mercedes-Benz and other luxury car makers in the near term but could go up manifold in about five years time.

But another version of the new vehicle, the AMG edition, which was steeply priced at Rs 66 lakh, has been a big draw and was sold off during pre-bookings even before its roll out.

So, probably Mercedes-Benz has been buoyed by this response and is hoping that the new M-Class vehicle will sell well. Also, the SUV segment is steadily becoming a hit with Indian car buffs flocking for these adventure vehicles.

An upbeat Peter Honegg, managing director and chief executive of Mercedes-Benz, said, “At the beginning of this year, we had promised to bring in exciting new models into the market. We are proud to present the new M-Class.”

“We hope that the quality and the luxurious experience of the passenger will be a big hit and it will be warmly received in the country,” he added.

Mercedes-Benz has so far sold 1,500 units of the M-Class vehicle, launched in 2008, in the country. The latest model has witnessed a price cut of nearly 15 per cent (in a price-sensitive market like India) from its previous editions. This could spur its prospects compared with its competing vehicles like the BMW X5 and Audi Q5.

Mercedes-Benz thinks that the A-Class and B-Class cars could become game-changers once they enter the market. It has remained tightlipped so far as the prices of these two category cars go.

Mercedes-Benz will not be into price cutting in a big way as it knows that the luxury segment customers will pay for the M-Class SUV (unless it is grossly overpriced) but the German luxury car maker will create a new category when it brings in the A and B Class cars, which may help it upstage BMW from the number one slot.