 Key features of a Luxury Vehicle are –

Greater equipment, performance, construction precision, comfort,

design ingenuity, technological innovation or features that convey
brand image, cachet, status, or prestige etc.
 The most common element in all the luxury vehicles is the High Price
Element hence making it a Status Symbol.
 The definition of Luxury is very variable as it would mean different
things for each individual.
 Luxury Cars generally have state of the art technology and interiors
like anti-lock brakes, electronic stability control, leather upholstery
etc.
 Few reasons why the Indian Automobile Sector is growing is the
robust economic growth, favorable demographics, higher
disposable income, changing lifestyle and positive industrial eco-
system.
 BMW, Mercedes-Benz and Audi are the top 3 Luxury Car Brands in
the country.
 BMW also known as Bayerische Motoren Werke AG was founded in
1913.
 Mercedes-Benz were able to manufacture motors for land, sea and
air hence their logo signifies their excellence in these three spaces.
 Audi was earlier 4 separate companies and hence their logo is 4
rings representing the coming together of four companies to form
one automobile giant.
 The luxury car segment is a constant growing space.
 To determine the scope of luxury cars in
India.
 Growth opportunities of luxury cars in
India.
 To identify and analyse the factors
influencing the purchase of cars.
 To determine the demographic variables
of the customers of different brands of
cars.
 The aim is to study brands like BMW, Mercedes-Benz and Audi to get
a general picture on the Luxury Car Segment in India.

 The research process has been carried out in four steps namely:
1. Formulation of problem
2. Collection of data
3. Making sampling plan
4. Research limitation

 The primary data has been collected by means of exploratory

research.

 The secondary data has been collected by information from various

books, websites and internet.
 LIMITATIONS OF RESEARCH
 The scope of research study is Mumbai.

 So the population considered may not

be the actual representative of the
population of the nation.

 The respondents can be biased

 Frequency of usage, in the question that

asks for highly consumed brand.
 A Brand is the association of a product/service with its experience.
 A Brand is simply the perception of an individual for a companies
product/service.
 Betra, Lehman and Singh suggest that the personality of a brand is
created over time, by the entire marketing mix of the brand- its
price (high or low, odd or even), retail store location (imaginary
association),and product form (solid/liquid.etc) benefits, packaging
details (colour, size, material, shape), symbol used in all phases of
the brand communication, sales promotion, and media advertising.
 Car Manufacturers associate brand personality with the cars each
individual uses.
 A car, in India, helps build up social esteem value. The advertising
would also vary according to the segment which one is targeting.
 Brand image is not driven by good advertising alone but is
significantly impacted upon by the cars performance and design,
quality, and the cost of ownership. Among the three, product
quality has the highest correlation with brand image.
 BMW India was set up as a sales subsidiary in Gurgaon in 2006 to
spearhead the formation of its dealer network, and followed it
closely by setting up a state-of-the-art assembly plant in Chennai in
January 2007.
 The entry level BMW luxury car was the 3 series range.
 Mercedes-Benz officially came to India in 1994 in collaboration with
Telco .
 The C Class Sedan is the entry level sedan in the luxury segment fro
Mercedes.
 Audi India began operations in 2007 as a division of Volkswagen
Group Sales India Pvt. Ltd. based in Mumbai. Audi cars in India are
fully imported or assembled at the Aurangabad plant of Skoda
Auto( Also owned by the Volkswagen Group).
 The Audi A4 is the entry level luxury car.
 Primary data was collected through questionnaires from 50
customers and inferences were made.
 Data has been analysed by using pie charts and bar diagrams-
 Secondary data is data collected by
someone other than the user. Common
sources of secondary data include
censuses, surveys, organizational records
and data collected through qualitative
methodologies or qualitative research.

 It has been shown that cities like Delhi,

Ludhiana, Jalandhar display high car
sales pattern.
 Mumbai ranks second in the purchase of
luxury cars.
 The advancing demand of luxury cars across the globe represents a
promising trend to the growth of the automobile industry.

 There has been a 200 % growth in the automobile industry in India,

especially in the luxury segment and the sports car segment.

 Increase in disposable income of the people has led to a different

lifestyle.

 The luxury car segment in India has been growing at a CAGR of 30%, for
the past decade. But this year the rate would not be able to touch
double digits. Rise in excise duty, depreciation of the rupee and the
rising petrol prices, are some of the factors driving consumers away.

 The Indian premium car market (experts opinion) would take another 3-4
years to mature and in the meanwhile the real competition would be
fought in the 30 lakhs to 1 crore segment in India.
THANK YOU