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Tag: Luxury car manufacturers

  • BMW Marketing Strategy: How the Iconic Brand Reaches Its Target Market

    Bayerische Motoren Werke AG, or BMW, is a German multinational corporation that produces luxury vehicles, motorcycles, and engines. The company was founded in 1916 as a manufacturer of aircraft engines and later expanded into motorcycle and automobile production.

    BMW’s history is one of innovation, design, and performance. The company’s first car, the BMW 3/15, was released in 1929 and set the standard for engineering and design in the automotive industry. BMW continued to innovate, introducing the world’s first turbocharged production car in 1973 and the first full-electric production car, the BMW i3, in 2013.

    Over the years, BMW has achieved numerous milestones and accolades. In 1999, BMW acquired the British brands MINI and Rolls-Royce Motor Cars, expanding its reach in the global market. In 2001, the BMW Group introduced its first diesel engine equipped with a particulate filter, establishing a new benchmark for clean diesel technology. In 2016, BMW celebrated its centenary, marking 100 years of innovation and growth.

    BMW is a major player in the global automotive industry, consistently ranking as one of the top-selling luxury car brands. As of 2025, BMW sold 2.45 million vehicles in 2024, down 4% from 2023. BEV sales rose 13.5% to 426,594 units, making up 17.4% of total sales. China remained the top market, followed by the U.S. and Germany. In Q1 2025, BMW sold 586,117 vehicles, with BEVs up 32.4%. The brand remains the global premium segment leader.

    In recent years, BMW has made significant investments in research and development, particularly in the areas of electric and autonomous vehicles. The BMW iX, the company’s flagship electric SUV, was released in 2021 and features a range of over 300 miles on a single charge. BMW has also partnered with other leading automotive companies to develop self-driving technology and has announced plans to launch Level 3 autonomous vehicles by 2025.

    BMW’s commitment to innovation, performance, and sustainability has propelled the company to become a leader in the global automotive industry. With a rich history and a strong focus on the future, BMW continues to shape the way we think about cars and mobility. The marketing strategy of BMW focuses on emotional branding, premium positioning, and innovation, using the slogan “Sheer Driving Pleasure” to highlight the unique experience their vehicles offer.

    BMW Target Market
    BMW Marketing Mix
    BMW Marketing Campaigns
    BMW Marketing Strategy

    BMW Target Market

    BMW’s target audience is typically affluent individuals who value luxury, performance, and innovative design in their vehicles. This demographic includes both men and women, although men tend to make up a slightly larger proportion of BMW’s customer base.

    Geographically, BMW has a strong presence in Europe, North America, and Asia, with China being the largest market for the brand. However, BMW has also been expanding into emerging markets such as India and Brazil, targeting the growing middle and upper classes in these regions. BMW market segmentation targets premium customers by dividing the market based on demographics, lifestyle, income, and driving preferences to offer tailored luxury experiences.

    In terms of age, BMW’s target audience tends to be middle-aged or older, with a median age of around 50 years. However, the brand has also been making efforts to attract younger buyers through its sporty and innovative designs, as well as its investment in electric and autonomous vehicles.

    In terms of income, BMW’s target audience typically falls into the high-income bracket, with a median income of around $150,000 per year. This group values the prestige and status associated with owning a luxury vehicle and is willing to pay a premium for the quality and performance that BMW offers.

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    BMW’s target audience is a diverse group of individuals who share a common appreciation for luxury, performance, and innovation in their vehicles. Whether they are located in established markets or emerging regions, BMW aims to meet the needs of this audience by delivering high-quality products and exceptional customer service.

    BMW Marketing Mix

    Marketing mix refers to the set of tactics or tools that a company uses to promote its products or services to customers. BMW, being a leading automotive brand, has developed a comprehensive marketing mix that enables the company to maintain its position as a top luxury car manufacturer. The BMW marketing mix includes the four Ps of marketing: product, price, place, and promotion.

    BMW Marketing Mix
    Marketing Mix of BMW
    1. Product Strategy: BMW offers a range of luxury vehicles, including cars and SUVs, as well as motorcycles and engines. The company has a reputation for high-quality engineering and innovative design, with features such as efficient engines, advanced safety systems, and cutting-edge infotainment technology. BMW also offers a range of customization options, allowing customers to personalize their vehicles to meet their unique preferences and needs.
    2. Pricing Strategy: BMW’s pricing strategy is aimed at positioning the brand as a premium product in the market. The company’s prices are higher than those of many competitors, but this is in line with its focus on quality and innovation. BMW also offers financing options and special promotions to make its vehicles more accessible to a wider range of customers.
    3. Place Strategy: BMW has an extensive distribution network that includes dealerships in over 140 countries around the world. The company also sells its products online, allowing customers to customize and purchase their vehicles from the comfort of their own homes. Additionally, BMW has a strong presence in urban areas, with showrooms and flagship stores in major cities such as New York, London, and Tokyo.
    4. Promotion Strategy: BMW uses a variety of promotional tactics to reach its target audience, including advertising, events, and sponsorships. The company’s advertising campaigns focus on highlighting the quality and innovation of its products, while events such as the BMW Championship and the BMW International Open showcase the brand’s commitment to excellence in sports. BMW also sponsors high-profile events such as the Olympics and the Formula One World Championship, further strengthening its reputation as a leading brand in the automotive industry. The BMW promotion strategy includes high-impact advertising, sports sponsorships, digital campaigns, and exclusive events to reinforce its premium brand image and connect with its target audience.

    BMW Marketing Campaign

    BMW’s marketing mix is a comprehensive and effective strategy that allows the company to maintain its position as a top luxury car manufacturer. BMW is able to reach and engage its target audience while maintaining a strong brand image.

    BMW Marketing Campaigns

    BMW has launched several successful marketing campaigns over the years, each designed to promote the brand and its products in unique and memorable ways.

    One of the most iconic campaigns was the “Ultimate Driving Machine” campaign, launched in the 1970s, which emphasized BMW’s focus on performance and driving experience. Another notable campaign was the “Joy” campaign, which emphasized the emotional connection between drivers and their BMWs, and the sense of joy and freedom that comes with driving a luxury car.

    BMW Marketing Campaign

    BMW has also launched several innovative campaigns that incorporate technology and social media. The “Eyes on Gigi” campaign, for example, used eye-tracking technology to create an interactive driving experience featuring supermodel Gigi Hadid. The “BMW Art Journey” campaign, on the other hand, sponsored a series of art exhibitions around the world, showcasing the brand’s commitment to innovation and creativity. It is BMW’s most successful marketing campaigns.

    BMW’s marketing campaigns have been successful in promoting the brand’s values and products in memorable and engaging ways. By focusing on the unique qualities that make BMW stand out in the crowded luxury car market, these campaigns have helped to build and maintain the brand’s reputation as a leader in automotive innovation and design.

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    BMW Marketing Strategy

    BMW is a leading luxury car manufacturer that has managed to maintain its position in a highly competitive market by implementing effective marketing strategies. BMW marketing strategies include emotional branding, premium pricing, high-performance product offerings, and global promotions through events and sponsorships. Here are the top strategies that have helped BMW achieve success:

    Focusing on Innovation

    BMW has always been a brand that focuses on innovation and cutting-edge technology. The company invests heavily in research and development to stay ahead of the curve and bring new, exciting products to market. One of BMW’s key innovations in recent years has been the development of electric and autonomous vehicles, which is an area that the company is continuing to invest in.

    New BMW is a Cinema on Wheels | 2023 i7

    Offering Customization

    BMW understands that its customers have unique tastes and preferences when it comes to their vehicles. To cater to this demand, the company offers a range of customization options for its vehicles. Customers can choose from a variety of interior and exterior options, as well as optional extras such as upgraded sound systems and advanced safety features. This customization helps BMW stand out in a crowded market and gives customers a sense of ownership over their vehicles.

    Creating Emotional Connections

    BMW has been successful in creating emotional connections with its customers through its marketing campaigns. The company’s “Joy” campaign, for example, emphasized the sense of joy and freedom that comes with driving a luxury car. By tapping into the emotional desires of its customers, BMW has built a strong brand identity and loyal customer base.

    Joy is BMW 2009 commercial advert.

    Building Strong Partnerships

    BMW has partnered with other leading brands in various industries, such as fashion and sports, to build brand recognition and reach new audiences. By aligning with other brands that share its values, BMW is able to strengthen its brand identity and appeal to a wider range of customers.

    Emphasizing Performance

    One of BMW’s key selling points is its focus on performance and driving experience. The company has always been known for its high-performance vehicles, and it has made this a key part of its marketing strategy. By emphasizing the driving experience, BMW is able to appeal to customers who are looking for more than just a luxurious car.

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    Expanding Into Emerging Markets

    BMW has been successful in expanding into emerging markets such as India and Brazil. These markets present new growth opportunities, particularly as the middle and upper classes in these regions continue to grow. By targeting these markets, BMW is able to expand its customer base and reach new audiences.

    Leveraging Social Media

    BMW has been active on social media, using platforms like Instagram and Twitter to engage with customers and showcase its products. The company’s social media presence is carefully curated to showcase the brand’s values and appeal to its target audience. By using social media to build a strong online presence, BMW is able to reach a wider audience and build brand recognition.

    Providing Exceptional Customer Service

    BMW has a strong reputation for customer service, offering services such as extended warranties and maintenance plans to ensure that customers have a positive experience with their vehicles. By providing exceptional customer service, BMW is able to build trust and loyalty with its customers, which in turn helps to drive sales and grow the brand.

    Emotional Branding and Storytelling

    BMW is very good at emotional branding. Its ads and videos often make people feel excited, happy, and free. The brand connects with people’s feelings, not just their logic. The slogan “Sheer Driving Pleasure” shows this clearly, BMW focuses on the fun and thrill of driving, not just the features of the car.

    Audi Marketing Strategy 2025: Target Market, Brand Positioning & Advertising Insights
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    Conclusion

    BMW has established itself as one of the world’s premier luxury car manufacturers through a combination of exceptional engineering and innovative marketing strategies. BMW’s advertising strategy focuses on showcasing innovation, performance, and luxury through emotional storytelling and visually striking campaigns across digital and traditional media. By placing a strong emphasis on performance, customization, and emotional connections with its customers, BMW has managed to build a loyal fan base and stay ahead of its competitors. The company’s focus on innovation and expansion into emerging markets has positioned it for continued success in the future.BMW’s commitment to quality and innovation has made it a true icon of the automotive industry.

    BMW has shown us that a well-rounded approach is key to success. Apply these strategies to our own businesses. Whether it’s building emotional connections with customers or leveraging social media to reach new audiences, we can all learn from BMW’s approach and drive our businesses to the next level.

    FAQs

    What is the full form of BMW?

    Bayerische Motoren Werke AG is the full form of BMW.

    What is BMW target audience?

    BMW’s target audience is individuals who value luxury, performance, and innovative design in their vehicles. This demographic includes both men and women, although men tend to make up a slightly larger proportion of BMW’s customer base.

    What are the top marketing strategies of BMW that helped it to achieve success?

    Here are the top marketing strategies of BMW –

    • Focussing on Innovation
    • Offering Customization
    • Creating Emotional Connections
    • Building Strong Partnerships
    • Emphasizing Performance
    • Expanding Into Emerging Markets
    • Leveraging Social Media
    • Providing Exceptional Service

    How does BMW market their products?

    BMW markets their products by focusing on luxury, performance, and innovation. They use emotional branding to connect with customers, highlighting the joy and thrill of driving. BMW promotes its vehicles through high-quality advertising, sponsorships of major sports events like Formula One and the Olympics, and exclusive brand experiences. They also offer customization options and use both dealerships and online platforms to reach customers worldwide.

  • Audi Marketing Strategy 2025: Target Market, Brand Positioning & Advertising Insights

    Audi is a German car company that designs, engineers, manufactures, markets, and distributes luxury vehicles. It is a member of the Volkswagen Group and has its roots in Ingolstadt, Bavaria, Germany. Audi-branded vehicles are produced in nine production facilities worldwide. The origins of the name Audi are uncertain, but one theory is that it is derived from the Latin translation of “hark!” or “listen.”

    The company’s history is complicated, beginning in the early twentieth century and the founding firms (Horch and the Audiwerke) formed by engineer August Horch (1868-1951), as well as two additional manufacturers (DKW and Wanderer), which led to the establishment of Auto Union in 1932. The contemporary Audi period began in the 1960s when Volkswagen purchased Auto Union from Daimler-Benz. [9] Following the reintroduction of the Audi brand in 1965 with the release of the Audi F103 series, Volkswagen combined Auto Union with NSU Motorenwerke in 1969, resulting in the current shape of the corporation.

    Globally, the Volkswagen Group, which includes Audi, remained the second-largest automaker in 2024, selling approximately 9.03 million vehicles, with Audi contributing around 1.67 million units. As of 2024, Audi delivered approximately 1.67 million vehicles globally, marking a 12% decline from its 2023 figure after selling about 1.9 million units. In the United States, Audi sold 196,576 units during 2024, down 14% from the previous year, reflecting its continued position as a top-10 premium brand in the U.S.

    Audi’s history can be traced back to 1899 when August Horch founded the company A, Horch & Cie in Cologne, Germany. His first car was the Audi Type A 10/22 hp (15 kW) sports car, which he produced from 1901 to 1904. In 1909, Horch was forced out of the company he had founded, and he started a new firm to build cars under his own name. The first car from Horch to bear the Audi name was the Audi Type B 10/28 hp (13 kW) model, produced from 1910 to 1913.

    The automobile industry is experiencing a fundamental shift, but it is also going through a difficult period. Aside from increased rivalry, demographic shifts, and innovative technical innovation, coronavirus has made the drive difficult for automotive businesses. Despite these hurdles, the automobile industry is preparing to enter a new age of sustainable transportation. Audi has also devised a strategy to develop toward sustainable mobility and gradually expand its fleet of environmentally friendly vehicles. It is also one of the best-selling premium automobile brands in various key regions, including China. In August 2018, Audi announced a new all-electric vehicle, the Audi e-Tron SUV.

    Audi Target Market
    Audi Marketing Mix
    Audi Marketing Strategies

    Audi Target Market

    Audi’s target market is the wealthy class of modern city consumers. Audi’s customers are highly qualified, tech-savvy, and contemporary individuals who value style and quality as well as performance and rider safety. Audi manufactures luxury vehicles aimed at the upper end of the market. Its vehicles are well-liked by both male and female riders. The business has created a good lineup of vehicles aimed at tech-savvy millennial buyers.

    Audi Target Audience
    Audi Target Audience

    Audi has positioned itself as a luxury vehicle for affluent urban users. Its goods have a distinct premium feel that appeals to current consumers who value performance combined with design and quality. Its special appeal stems from a combination of product design, quality, and innovation. Audi provides a distinct riding experience that meets the requirements of affluent urban riders who like elegant driving. Audi offers a sporty and adventurous appeal, as well as a strong touch of elegance and comfort.

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    Audi Marketing Mix

    Marketing tactics include product innovation, price strategy, promotion planning, and so on. These business methods, based on the Audi marketing mix, aid in the brand’s market success.

    Audi’s marketing strategy assists the brand in establishing a competitive market position and achieving business goals and objectives.

    Let us have a look at the 4Ps of the marketing strategy of Audi:

    Audi Marketing Mix
    Audi Marketing Mix

    Product Mix

    Audi has a luxury brand image because of its cars, which are distinctive. The firm offers a variety of items to the market, and its vehicles evolve in tandem with technological advancements. Audi produces attractive vehicles with excellent power. Audi’s marketing mix includes a diverse variety of luxury vehicles such as sedans, SUVs, and sports cars. A8 is a design and technological milestone. It sees technology as a premium brand and targets its clients appropriately. The company invests in scientific and innovative breakthroughs and creates solutions of exceptional quality.

    Interior of the Audi A8
    Interior of the Audi A8 

    The company presently provides several products, including the A series (A4, A6, A8), Q series (Q2, Q3, Q5, Q7), TT, E-TRON, S5, RS5, and R8. Audi also has a wide choice of sports vehicles. Audi has a dedicated consumer base as a result of the popularity of its products throughout the years. Ducati and Lamborghini are also part of the main corporation.

    Place Mix

    Audi is a major brand that serves people all around the world. The headquarters of Audi is in Germany. The corporation has manufacturing operations in nine different countries. They are also looking for prospective customers in untapped markets. As a result, Audi has made global investments and continues to expand in the Asian market. Audi’s presence is built and maintained through an exclusive network of dealerships and after-sales service centers. Audi employs a channel that extends from the production to the distributor to the wholesaler to the dealer to the client. Audi employs cutting-edge technology in its manufacturing facilities as it strives for customer happiness with the goal of being the world’s most successful luxury brand.

    After Sales Service - Audi
    After Sales Service – Audi

    Price Strategy

    Audi adopts a premium pricing approach to capitalize on its brand image. Because it is a competitive business, the price strategy in the Audi marketing mix is mostly based on premium vehicle manufacturers’ competitive pricing. Audi has strong brand equity. In Audi dealerships, the company offers high-quality items, allowing customers to conveniently access the brand. Audi vehicles start at $35,000 on average, and luxury sports variants may cost up to $1.5 million. Audi Finance provides a unique finance alternative to assist customers in purchasing products with convenience.

    For current customers who want to use optional features in their automobiles, an optional pricing structure is used. For example, Audi Bang, sound system, and navigation system are optional additions in a car that the buyer voluntarily purchases. Audi pricing variances are also influenced by a country’s geographical location and economic conditions.

    How Audi Gave BMW a Run for its Money

    Promotion Strategy

    The cornerstone of Audi’s advertising endeavors is its logo. Audi’s four overlapping rings instantly generate a brand picture in the minds of customers. Audi actively supports a variety of sporting endeavors. Audi uses celebrities to support its products in addition to broadcast, print media, and internet marketing. Audi carefully selects marketing opportunities to match its image. Because of its premium brand image, Audi does not believe in the mass market. Audi invests in a variety of sponsorships, including the Olympics and football teams. The brand has also had product placements in Marvel films and video games. Audi cultivates its brand image by conveying the impression that Audi is driven by celebrities. As a result, the Audi marketing strategy and mix study is complete.

    Audi's Logo
    Audi’s Logo

    Audi Marketing Strategies

    Audi’s competitors in the premium and costly automobile category are numerous, and they all target the same upper-class socioeconomic group. When it comes to technology, speed, and pricing, BMW, Jaguar, and Mercedes-Benz are constantly neck and neck. Audi, on the other hand, maintains a solid market position thanks to a strong brand image and worldwide purchasing power from the Volkswagen Group. The Audi advertising strategy focuses on showcasing luxury, innovation, and sustainability through high-impact campaigns across TV, digital platforms, and sponsorships.

    Let’s examine how Audi’s marketing approach works to maintain its market share after more than a century.

    Uphold The Brand’s Image

    Audi does not merely launch an advertising campaign to see what happens. They carefully pick the message based on the company’s values, and when it connects with the audience’s understanding, they pursue it further. It is all about consistency once more. This premium automaker’s success is driven by a great brand with a positive brand image.

    The German carmaker has already built the foundation to succeed in the new market as it transitions to more electric vehicles. With the slogan “Vorsprung durch Technik,” which translates to “Lead by technology,” the Audi brand advertises itself as a well-engineered premium brand.

    Customers with high budgets were able to consider Audi as the technologically cutting-edge, aesthetically appealing, and premium build quality option among other vehicle companies because of the brand’s consistent image.

    Persistent Marketing Strategy

    Audi is extremely consistent in their approach to advertising, which is something consumers will notice right away. For instance, TV commercials for Audi frequently resemble billboard and print advertisements. The Audi brand positioning focuses on delivering premium mobility solutions that combine cutting-edge technology, sophisticated design, and sustainable innovation.

    Audi Billboard Ads | Audi Marketing Strategy
    Audi Billboard Ads | Audi Marketing Strategy

    There will still be some minute variations and twists, but the commonalities across the various channels are very apparent. The entire marketing system functions flawlessly as a single unit. This makes for powerful, comprehensive advertising campaigns that leave an impression on the audience.

    Pricing Strategy

    An Audi automobile costs among the top prices, or a premium price. This is supported by the great quality of the cars that one may own and the brand reputation. People desire to display their social status by driving a nice vehicle with the four interlocking rings emblem because they enjoy the company’s reputation.

    Audi Marketing Campaign

    Audi’s marketing efforts frequently promote the idea that its cars are driven by famous individuals to support the cost justification. Famous actors, soccer players, and singers are all options, but Audi also picks its marketing partners very carefully. Audi doesn’t rely on mass marketing because of the specialized market; instead, it places ads in the luxury category specifically for the target demographic.

    Smart Target

    Currently, 91,477 people work for Audi, which has automobiles available in over 100 markets. However, they concentrate their efforts on Asia rather than just any random nation. In nations like China, India, and the United States, where lifestyles are quickly changing and the luxury market is growing quickly, Audi has had record sales every year. Audi’s marketing tremendously accelerated the brand’s global growth.

    In the luxury and supercar segments, Audi has been a symbol for decades. Nearly everyone on Earth can instantly recognize the four-ring logo. Despite the difficult market, the business has continued to develop successfully over the years, and innovative marketing tactics have played a big part to play in that.

    Focus on Sustainability and Innovation

    Sustainability is an important part of Audi’s marketing. The company focuses on cutting carbon emissions and promoting eco-friendly travel. Audi’s ads often show these efforts, helping build its image as a smart and responsible brand.

    When Audi launched the e-tron, its first all-electric SUV, it ran a big marketing campaign. This included TV ads, online ads, and social media posts. The campaign highlighted the e-tron’s advanced tech and eco-friendly features. Audi showed the e-tron as both stylish and green, attracting customers who care about the environment and proving its focus on innovation.

    Audi Marketing Strategy | Audi Marketing Campaign

    Conclusion

    Hope this article helps you craft a strategy for your luxury brand. A brand’s continued market growth depends on consistent marketing and a strong brand image. Great prices should correspond to high quality and standout qualities. Creative marketing techniques may convey a strong message without detracting from the brand’s image (calling out your competitors is a fun way, too).

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    FAQs

    What is Audi target audience?

    Audi’s target market is the wealthy class of modern city consumers. Audi’s customers are highly qualified, tech-savvy, and contemporary individuals who value style and quality as well as performance and rider safety.

    What is Audi pricing strategy?

    The Audi pricing strategy follows a premium pricing model, reflecting the brand’s luxury image and high-quality features. Prices typically start around $35,000 and can go up to over $1.5 million for high-end sports models. Audi also uses optional pricing for add-ons like sound systems or navigation, and offers financing options through Audi Finance.

    What is Audi brand strategy?

    Audi’s brand strategy focuses on luxury, innovation, and sustainability. It positions itself as a premium carmaker with advanced technology, sleek design, and a commitment to electric mobility. The brand aims to offer a progressive and eco-friendly driving experience while maintaining strong emotional appeal and performance.

  • Why Luxury Car Sales Are Booming in India in 2022?

    The Indian market has always been an attractive lure for international business houses. Its deep history with the luxury and lifestyle goods industry is showcased in history through the Maharajas of yesteryears who were the ultimate consumers of luxury consumer goods. Be it fashion, accessories, beauty, health or automotive, various brands have found tremendous success within their folds.

    When the deadly virus struck in 2019, everything came to a standstill for a few months. Industries suffered and the global economic scenario was grim. As the world inched towards normalcy, the following months were uncertain and fraught with worry.

    A couple of years later, the world post the Covid-19 pandemic has returned with a vengeance. The luxury car segment has reached its pre-pandemic sales levels and is, in fact, set to grow even further. Valued at USD 1.06 billion in 2021, the Indian Luxury Car Market is set to reach USD 1.54 billion by 2027 registering a 7% CAGR growth.

    “We have entered 2022 with a very strong order book. From what we have seen in the first five months, the trend looks positive,”  says Lamborghini India Head Sharad Agarwal.

    “Post Covid we have seen a huge comeback from the market. Our demand currently is one of the best ever demands we have seen in our existence in India. During the first quarter we did close to 4,000 cars and now an order bank of around 5,000 cars we have moving forward. This kind of a strong booking, order bank, we have never seen in the past,” said Santosh Iyer, vice president, sales and marketing, Mercedes-Benz India

    Luxury Cars and the Indian Market
    Why Did Luxury Car Sales Surge in India?
    Future of the Luxury Cars in India

    Luxury Cars and the Indian Market

    India welcomed its first luxury car brand Mercedes-Benz into the market in 2004. It enjoyed a market monopoly till 2006 when BMW made its appearance in India, followed quickly by Audi in 2007.

    Over the years, these three companies have vied for that top spot in terms of sales volume and have replaced each other a few times. The primary reason for this was new product launches, particularly in the smaller and more affordable models.

    2010 was the year when these top three companies saw a high surge in sales numbers and recorded YOY growth of almost 82%. This was due to the rise in the affluent population. The Indian economy was surging and so was the disposable income. This marked an increase in consumer confidence and the willingness to splurge on a premium car.  

    The biggest setback to the automobile industry came in the year 2016. The primary reason? Demonetization. Of course, the curb on the sale of diesel vehicles in the first half of the year had also contributed to it. So, the industry saw a marked drop in sale volume for the first time in a decade.

    2017 saw the Indian government revising its GST structure that was applicable to luxury cars. Despite this and the fact that the overall sale volume growth was slow, the luxury car industry bounced back and the sales number was back on track. 2017 became the best year for all the players of luxury cars in the Indian market.

    Why Did Luxury Car Sales Surge in India?

    Over the next decade, while the industry saw ups and downs, the broader optimism persisted showcased via sales numbers. Even the average age of buyers dropped from 45 years to the mid-30s.

    A new India was emerging with a new breed of entrepreneurs. Companies had begun offering higher and healthier pay packets to individuals passing out from top colleges and institutes.

    All this added to the pool of ever-increasing high-net-worth individuals creating a bigger pool of prospective buyers. The economic growth and development in tier 2 and tier 3 cities of the country meant an increase in demand for luxury cars within these cities as well.

    There is a strong reason for this surge in demand and the confidence in continued growth and demand for luxury vehicles in India.

    • Currently, India is adding the second highest number of billionaires to the world.
    • The buyers of today are first-generation entrepreneurs as opposed to the third or fourth generations before.
    • The customer base has expanded greatly.
    • Luxury car brands have increased the localisation of production, manufacturing and assembling to avoid high import duties.
    • This has greatly reduced the total cost of these cars making them attractive to the price-sensitive Indian market.
    • Pre-owned luxury cars have also found a large niche within the market.

    The other segment within the luxury car market that is making waves with the new generation is the launch of electric vehicles. The advanced technology that supports electric vehicles makes it an attractive buy. Most luxury car brands are venturing into the electric car segment and also making plans to localise their units to make their prices attractive to their buyers

    Luxury Car Sales in India
    Luxury Car Sales in India

    Future of the Luxury Cars in India

    As a market, India is price sensitive and it is no different even in the premium luxury segment. Luxury car brands have studied, understood and addressed the concerns of the Indian market.

    There is a huge scope of growth for this segment within the Indian market as currently the penetration of these brands only stands at 1%. With the fast-paced growth of the Indian economy and the quick rise of a new generation of billionaires, the future looks bright.

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    Conclusion

    The luxury car market is expected to see new entrants with every new launch and product. The growth of this segment looks remunerative driven by network expansion, deeper penetration into other markets with new and pre-owned car dealerships and expansion into complementary functions including car financing and customisation.

    FAQs

    Which luxury car is sold the most in India?

    Mercedes-Benz E-Class is the most sold luxury car in India. The luxury carmaker sold 2,839 units in FY22.

    What has happened to the demand for luxury cars in India?

    The demand for luxury cars was impacted due to the covid 19 lockdown but the demand drastically increased in 2022.

    Is the luxury car market growing?

    The luxury car market was valued at USD 1 billion in 2021 and is expected to reach USD 1.54 billion in 2027.

  • Bugatti – Manufacturer of Fastest Cars in the World

    Company Profile is an initiative by StartupTalky to publish verified information on different startups and organizations. The content in this post has been approved by Bugatti.

    We have all grown up seeing pictures of various luxury cars. We have admired them, fascinated them and wished to own them someday. They are not such easy-buy vehicles. The price they come at is not affordable for the majority of our country’s population. This is one of the main reasons that we are unable to locate any of such premium brand cars on our roads. Another primary reason is the infrastructure facilities in our country.

    Certain brands like Rolls-Royce, Audi, Benz, BMW, etc. are being designed suitably for the Indian market. But some premium car models and brands are either not affordable or banned from running on Indian roads. One such premium luxury car brand is Bugatti.

    Though Bugatti’s presence in the Indian market is minimal or almost nil, the company’s cars are popular in the Middle East and other parts of the world. Bugatti has more than a century-long history that dates back to the early 1900s. This article covers the complete story of Bugatti right from even before its inception in 1909, its growth, change of ownership, competition and its current status in the world market.

    Bugatti – Company Highlights

    Company Name Bugatti
    Headquarters Molsheim, France
    Industry Automotive
    Founded 1909
    Founder Ettore Bugatti
    CEO Mate Rimac
    Owner Volkswagen (1998-2021), Rimac Automobili (2021-Present)
    Website bugatti.com

    Bugatti – About
    Bugatti – Industry
    Bugatti – Founder and Team
    Bugatti – Startup Story
    Bugatti – Name and Logo
    Bugatti – Challenges Faced
    Bugatti – Mergers and Demergers
    Bugatti – Growth and Timeline
    Bugatti – Competitors
    Bugatti – Future Plans

    Story of Bugatti

    Bugatti – About

    Bugatti is a luxury car manufacturer that was established in 1909 in Molsheim, France. The artistic designs and engineering of automobiles are what Bugatti is known for. Besides, it is also well-known for its sports cars. These cars were extraordinarily well-performing and gained a reputation as one of the most successful racing car brands in the world.

    The Bugatti Type 35 model held the crown in the sports car category in the mid-1920s. The Bugatti Veyron model, which gained huge popularity in the early 2000s, remained the fastest car in the world with a speed of 410 kmph for many years. Bugatti is extremely focused on its design and speed which remains uncompromisable for anything.

    Bugatti – Industry

    The automotive industry involves the manufacturing and marketing of engines, motor vehicles and other related components. It is highly competitive and is one of the largest industries in the world in terms of revenue. As per the statistical reports, China has always led the automotive industry in production and distribution. This industry was on consistent growth in the pre-covid era. In 2017, automobile sales were at a peak and a total of 80 million units were sold during the year. But, the Covid pandemic has stumbled the industry, including China, and is now slowly recovering from its fall.

    Bugatti – Founder and Team

    Bugatti has been under various leaderships over its 113 years of existence. There have been several people who played a significant role in the growth of the company. The following are the founder and a few other key people of Bugatti during its early stages and present times:

    Ettore Bugatti

    Ettore Bugatti - Founder of Bugatti
    Ettore Bugatti – Founder of Bugatti

    Ettore Bugatti was an automobile Engineer and the founder of Bugatti. Ettore Arco Isidoro Bugatti is his full name and was born on 15 September 1881, in Milan, Italy. His interest in automobile designing and engineering came from his father who was a designer himself in the field of jewelry and furniture and his grandfather who happened to be an architect and a sculptor. He started building prototypes for automobiles right from his late teens and finally established the brand Bugatti in 1909. Ettore Bugatti passed away in August 1947 in France.

    Jean Bugatti

    Jean Bugatti is the eldest son of Ettore Bugatti and was born in Cologne on 15th January 1909. It was the year of the establishment of Bugatti and the family moved to Molsheim soon after he was born. He naturally got imbibed into the company. Jean served as the test engineer and designer for most of Bugatti’s cars between 1926 and 1939. He created some exceptional designs along with his father and laid a fantastic pathway for the company’s growth. Jean Bugatti died in August 1939 in an accident that occurred while test driving one of the automobile prototypes.

    Stephan Winkelmann

    Stephan Winklemann was the CEO of Bugatti automobiles, between 2018 and 2021, when the company remained a subsidiary of Volkswagen Group. He was born in 1964 and is a graduate of Political Science. Winklemann started his career as a sales representative of Mercedes Benz and worked in a couple of automobile companies in higher positions. His experience and knowledge in the automobile sector made him the President and CEO of Lamborghini in 2005. He served this position for 11 years before becoming the CEO of Audi in 2016. Stephan Winklemann was again made the Chairman and CEO of Lamborghini in 2020.

    Mate Rimac

    Mate Rimac is a young entrepreneur from Croatia who is the founder of an electric sports car company named Rimac Automobili. His entrepreneurial and innovative skills attracted many big companies like Porsche, Camel Group, Hyundai, etc. to invest in his company. He recently made an affiliation between his company and Porsche to bring in Bugatti under their joint venture Bugatti Rimac. Mate Rimac is currently the CEO of this new company.

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    Bugatti – Startup Story

    The seed for Bugatti automobiles was sown with the birth of Ettore Bugatti in 1881. His artistic family background engulfed him in the areas of designing and engineering. As a result, Ettore entered an apprenticeship program in a bicycle company named, Prinetti & Stucchi in 1898. He was captivated by the technology and engineering behind motors. This encouraged him to develop a motor tricycle and even participate in some races with those developments.

    Then, Ettore Bugatti started making cars and exhibited them at the Milan International Exhibition in 1901. He won an award for his Type 2 Model which he joined hands with the Gulinelli brothers to make it. But the rights to manufacture the model were lost due to the death of one of the Gulinelli brothers and Ettore was too young to sign a deal. Later, he gained his way into the firm that earlier got the rights for manufacturing Ettore’s cars in 1902. Since he was underage, all the agreements were signed by Ettore’s father Carlo Bugatti.

    Ettore later designed cars for various manufacturers in the next few years and finally decided to start his own company in 1909. As a result, Bugatti Automobiles was born in 1909 with the support of Pierre de Vizcaya and Darmstadter Bank. The company’s first project was to manufacture five airplane engines and ten cars.

    Bugatti Logo
    Bugatti Logo

    The name ‘Bugatti’ was derived from the name of its founder Ettore Bugatti. It is the surname of the family. The logo of Bugatti comes in a red oval with ‘BUGATTI’ written in the middle. This oval is surrounded by a white outline that comprises 60 red dots in it. This logo was designed by Ettore’s father Carlo Bugatti who is a jewelry designer. The logo itself looks like a fine jewel. It also carries the symbol ‘EB’ with an inverted E that represents Ettore Bugatti.

    Bugatti – Challenges Faced

    The following are the challenges faced by Bugatti over the years:

    1. The first major challenge faced by Bugatti after WW1 was a labor strike in 1936. Ettore Bugatti always used to take good care of his employees and hence, he considered this labor strike a personal insult. The issue was resolved but Ettore started distancing himself from the workers and the Molsheim factory.
    2. The next big hit happened in 1939. Jean Bugatti, who played a key role in the company, was killed in an accident during a test drive. The entire company was stunned by his death as there was none left to take the company forward after Ettore. To make this worse, WW2 began a few days later and Bugatti was forced to be sold to an entrepreneur from Germany by the government. Bugatti automobiles were never the same after the above two incidents.
    3. Even after the war, when Ettore Bugatti got the company back, he couldn’t re-establish the business due to insufficient funds. The issues made his health deteriorate and he died in August 1947.
    4. The appointed Managing Director took over the company after Ettore but couldn’t run it efficiently. As a result, the production of Bugatti came to a halt in 1956.
    5. Later, the company was taken over by a Spanish automobile maker. Even then, Bugatti was forced to cease its operation in 1995 due to unsaid reasons and later was acquired by Volkswagen in 1998.

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    Bugatti – Mergers and Demergers

    Bugatti Automobiles went through different management and mergers over the years. The first of those came in 1948, right after the death of Ettore Bugatti. Ettore’s heirs appointed Pierre Marco as the Managing Director of Bugatti. But, within three years, another son of Ettore, Roland Bugatti, took over the management.

    In 1963, a Spanish-based automobile manufacturer Hispano-Suiza purchased the company. It was later renamed as Messier-Bugatti and continued production.

    Romano Artioli, a car dealer and entrepreneur, acquired the rights for the trademark of Bugatti in 1987 and operated it under the name ‘Bugatti Automobili S.p.A. But this company ceased operations in 1995 and the rights for the production of the sports car EB 110 were acquired by Dauer Racing GmbH.

    Finally, in 1998, Volkswagen purchased Bugatti and brought it under its portfolio. It was then the company launched some of its successful models like Veyron, Chiron and Divo. But Bugatti left Volkswagen in November 2021 to join hands with Rimac Automobili and Porsche to form a new company ‘Bugatti Rimac’. Rimac controls 55% of the shares while Porsche has the rest in this new venture. All its future operations are expected to happen under this new management.

    Bugatti – Growth and Timeline

    Bugatti Growth | Number of Deliveries of Bugatti Cars
    Number of Deliveries of Bugatti Cars | Bugatti Growth

    Though the company was established only in 1909, Ettore Bugatti entered the industry in 1901 with the Type 2 model. He later built the first race car, Type 5, in 1903 which was a chain-driven model with a tubular chassis frame. Ettore started making advanced modeled cars from the previous versions for Mathis and Deutz in 1905 and 1907 respectively. Then came the birth of his own brand Bugatti in 1909 in Molsheim, France.

    As the years passed, Bugatti came up with new and advanced models of cars at regular intervals. The company kept innovating and enhancing its automobiles and took part in various international motor car races. In 1913, Peugeot Bebe, a four-cylinder car was launched by Bugatti that reached a top speed of 60 kmph. It is one of the largest produced cars by the company in terms of units at that time. It was followed by ‘Type 13 Brescia’ which remained successful until 1926.

    By 1915, Bugatti started manufacturing airplane engines as a result of the First World War. The company broke and created many records in various Grand Prix races in the next couple of decades. With the launch of every new model, there came some enhancement and advanced technological inducement in the vehicles.

    1926 marked the dream-come-true moment for Bugatti when it launched its first most luxurious car named ‘Royale’. The company then entered the manufacture of high-speed trains and launched its prototype in 1932. The trial run was made by Jean Bugatti and a record was created at a speed of 166 kmph.

    Beginning in 1939 Bugatti faced a series of struggles and changes in management until the end of the 20th century. Except for some race victories and a few models the company faced a severe downfall. It was only in 2001, after the launch of the Bugatti Veyron prototype, that the brand started regaining its image. It refurbished its head office in Molsheim, renamed it ‘The Atelier’ and started manufacturing Veyrons. It turned out to be the fastest car in the world. Now, ‘Bugatti Chiron’ is the most popular, fastest and most successful model of the company.

    Despite the struggles Bugatti faced after WW2, it has never lost its brand reputation. The company has always stuck to its quality, design, innovation and speed under any circumstance. They have played a major role in Bugatti’s growth and will continue its streak in its new joint venture ‘Bugatti Rimac’.

    Bugatti – Competitors

    There are many premium and elegant car manufacturers in the market around the world. Therefore, there is plenty of competition available for Bugatti. Here are some of the top competitors of the company:

    Maserati

    Maserati is a luxury automobile manufacturer based in Modena, Italy. This company is known for its reliability, luxury and speed. Maserati was started in 1914 during the beginning of WW1. It was earlier a subsidiary of Ferrari and is currently owned by Stellantis since 2021. Ghibli and Alfieri are some of the popular models produced by Maserati.

    Ferrari

    Ferrari is another company based in Italy that was established in 1947. It manufactures luxury road and sports cars that have a fantastic brand reputation from the people. Ferrari manufactures elegant and expensive cars that have taken part in and won various racing events like Formula One.

    Rolls-Royce

    Rolls-Royce Motor Cars is a subsidiary of BMW that manufactures extreme luxury road cars. The company is based in the UK and has a history that dates back to 1906. Rolls-Royce Ghost and Phantom series cars are very popular and are known for their astounding looks and sophisticated experience.

    Bugatti – Future Plans

    Since Rimac is a manufacturer of electric vehicles, Bugatti Rimac is on a path towards electric and hybrid cars. The CEO Mate Rimac announced that the successor of Bugatti Chiron would be all-electric. He also said that the company is into the production of Bugatti Bolide which might be released later in 2022. A teasing image describing all the above announcements was released by the company. Since it is a newly formed venture, its long-term plans and goals related to various aspects of the business are yet to be announced.

    FAQs

    When was Bugatti founded?

    Bugatti was founded in 1909 in Molsheim, France.

    Who is the owner of Bugatti?

    Rimac Automobili is the owner of Bugatti.

    Who is the founder of Bugatti?

    Ettore Bugatti is the founder of Bugatti.

    What are the top models of Bugatti?

    Top models of Bugatti are:

    • Bugatti Chiron
    • Bugatti Veyron
    • Bugatti La Voiture Noire
    • Bugatti Divo
    • Bugatti Centodieci

    Who are the top competitors of Bugatti?

    Top competitors of Bugatti are:

    • Maserati
    • Ferrari
    • Rolls-Royce

    What is the revenue of Bugatti?

    Revenue for Bugatti is estimated to reach $89.79 million in 2022.

  • The Journey of Volkswagen Polo: How it Became the World’s Most Loved Hatchback Car?

    One of the most timeless and iconic cars from the Volkswagen portfolio, the stylish Polo hatchback has completed over a decade in a fierce, competition-packed segment. Over the past ten years, this hatchback has set a higher than usual benchmark in safety. With a Global NCAP crash rating of 4-stars, the hatchback was one of the first and most-loved cars in the Indian market to offer airbags and ABS as standard in all its cars across all trim levels.

    Volkswagen Polo has come a long way to becoming peoples’ favorite and loved hatchback. Since its launch, it has also appealed to an incredibly diverse audience by providing as many as eight engine options. Let’s look at its cherished history to understand how the vehicle started on its journey.

    Volkswagen Polo’s History
    What Made Volkswagen Polo World’s Most Favorite Hatchback?

    Volkswagen Polo Features

    Volkswagen Polo’s History

    Volkswagen Polo
    Volkswagen Polo

    Volkswagen Polo is among the best hatchbacks available today. This fun-to-drive car has sold over 14 million units to date. The most well-known Polo ever seen on roadways was Polo Mk 2, produced between 1981 and 1994. Over 2.7 million units of this beast model were sold globally. MK2 was available in three distinct body styles: a 3-door hatchback, a sedan with a 2-door known as the Polo Classic, and a 3-door hatchback.

    The first Polo, the 5th generation model, debuted in 2010 and was given an update in 2012. Then, in 2013, GT models of the Polo were released along with the Cross Polo. The Cross Polo was a rugged version of the Polo powered by 1.2-liter petrol and diesel engines. It later received the 1.5-liter diesel engine.

    The GT versions were a completely different ball game. There’s a 1.2-liter GT TSI petrol model with 105 horsepower and connected to a seven-speed DSG gearbox. The 1.5-liter GT TDI was a delight too. It’s safe to claim that GT models were among the initial hot hatches to be able to operate on Indian roads.

    Then in 2014, Volkswagen added the 1.5-liter TDI engine to the refreshed Polo. Fast forward to 2017, the engine came to India. In a surprising decision, Volkswagen launched the monster of a vehicle named the Polo GTI. Polo GTI equipped with a 1.8L TSI engine produces the power of 192 PS and is coupled to a DSG gearbox.

    Polo isn’t only a car that can transport people. Volkswagen’s Motorsports division has used its performance to the fullest extent. Polo has been part of Volkswagen’s Motorsports division since its beginning in 2010. Polo has also been a participant in the Indian National rally championship and has won the POLO WRC award three times from 2013 until 2016.

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    What Made Volkswagen Polo World’s Most Favorite Hatchback?

    The journey of Volkswagen Polo shared above must have given a hint behind its success, but there’s a lot behind it. To help people understand its growth journey, we’ve listed the reasons behind its success. So let’s look at the factors or reasons behind its growth.

    Impeccable Safety Features

    One of the most striking and appealing advantages of having Volkswagen is its commitment to security. Volkswagen Polo is one of the most secure hatchbacks available. It has an NCAP rating of four stars, which isn’t attainable by all contemporary hatchbacks. Equipped with the latest in occupant safety, the vehicle includes two airbags for passenger and driver anti-lock brake Systems (ABS) and an electronic Anti-theft immobilizer.

    Classic and Timeless Design

    Volkswagen Polo will never disappoint you if the appearance of a car matters the most to you. The Polo is among the very few hatchbacks made in India that has improved in appearance over time. This Volkswagen Polo sported a clean and swept-back headlamp design. The headlamps opposite side were a horizontal grille, with the triple chrome slat pattern highlighted by a massive Volkswagen logo in the middle.

    The design of the Volkswagen Polo features minimal creases and body lines that give the Polo a muscular appearance. From the sides, the Polo did a great job by imparting a look identical to a rugged machine that has elevated suspension and higher floor clearances of 168 millimeters. Volkswagen equipped the Polo with sporty alloy wheels to create a more aggressive design.

    Big on Space

    The Polo was among India’s top compact hatchbacks when it first came out. In the face of competition, one aspect that made Polo more comfortable was its spacious cabin and a slack stance. With a wheelbase of 2456 millimeters in its first years and then increasing to 2470 mm with the facelifts, the Polo is larger than many competitors.

    With the broader diameter of its wheelbase, Polo also allowed for comfortable seating for passengers in the front and rear ends. As a well-constructed and spacious hatchback that is spacious and well-built, this Polo is ideal for many first-time car buyers.

    Durable Construction Quality

    Another thing that makes the Volkswagen Polo a competent, compact hatchback is its sturdy build quality. When it was first introduced in the market, it was known that the Polo was built on the same platform that was used to make the Audi A1 back then, which itself is a testimony to the excellent build quality of the Polo. It is built using an elegant German design.

    A Wide Variety of Efficient Engines

    One factor that makes Volkswagen Polo a vehicle worth purchasing is its diverse engine options. In its initial years, Polo was available with the 1.2-liter gasoline engine, mated with a five-speed manual that returned 16.47 kmpl. The diesel engine available as a 1.2-liter TDI diesel engine mated to a manual five-speed that produced 22.08 kilometers per liter of fuel. In the second quarter of 2010, the Volkswagen Polo was released with a 1.6-liter petrol engine, much more potent than the previous engine.

    In 2013 the Polo received a 1.2-liter turbocharged TSI engine mated to a seven-speed DSG auto. Volkswagen also gave the vehicle the 1.6-liter TDI diesel engine mated to a five-speed manual and the sports mode in the same year. In 2019 the Polo was subjected to BS6 modifications. It then returned with the 1.0-liter naturally-aspirated petrol engine and a 1.0-liter turbo-petrol TSI engine.

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    Conclusion

    Polo has come a long way in its journey of winning people’s hearts, and for all the right reasons. Be it the engine or safety features, timeless design, or spacious and stylish interiors; many factors have contributed to Polo’s journey to become the world’s best hatchback. In addition to the features, the manufacturer’s efforts in constantly upgrading the vehicle with time contributed massively to Polo’s success. It is not just a hatchback but a dream vehicle for many. Those willing to invest in a safe, stylish, and comfortable car should choose Volkswagen Polo over other hatchbacks.

    FAQs

    Which is the best hatchback car?

    Volkswagen Polo is the most reliable hatchback car in the world. Some other hatchback cars are:

    • Volkswagen Polo
    • Ford Fiesta
    • Ford Focus
    • Volkswagen Golf
    • Mini Cooper
    • Mercedes Benz A-Class
    • Vauxhall Corsa
    • BMW 1-series
    • Vauxhall Astra
    • Audi A3

    When was Volkswagen Polo launched in India?

    Volkswagen Polo was launched in February 2010 in India.

    Which are the top competitors of Volkswagen Polo?

    Top competitors of Volkswagen Polo are:

    • Ford Fiesta
    • Vauxhall Corsa
    • Skoda Fabia
    • Peugeot 208
    • Renault Clio
    • Seat Ibiza
    • Mini 5-door Hatch
    • Dacia Sandero
    • Hyundai i20
    • Toyota Yaris Hybrid

    What is the price of Volkswagen Polo in India?

    Volkswagen Polo price in India ranges between INR 6.49 Lakh and INR 10.25 Lakh.

    How are the Volkswagen Polo sales in India?

    There were 728 Volkswagen Polo sold in May 2022 in India.