Despite 38% YoY volume drop, sales are back to pre-COVID levels: Mercedes-Benz India

A 38 percent drop in volumes in the third quarter nonetheless Mercedes-Benz, India’s largest luxury carmaker, stated that its sales have reached pre-COVID-19 levels with September recording the best growth for any month.

The Pune-based automaker sold 2,058 units during the July-September period, which was lower by 38 percent compared to 3,354 units sold in the same quarter last year. The January-March quarter also had recorded 38 percent drop in volumes.

The April-June (Q2) quarter was the worst-ever for the carmaker with sales crippling to just 563 units, a drop of 80 percent compared to the same period last year. Q2 also included the strict lockdown period of 40 days induced by the Covid-19 pandemic.

The company sold a total of 5,007 units during the January to September period, down 50 percent against 9,915 units clocked in the same period last year.

“Buoyed by a strong performance in September, the company’s monthly sales reached pre-lockdown levels for the first time, indicating a reviving customer sentiment due to the upcoming festive season”, said a statement from Mercedes-Benz India.

Martin Schwenk, Managing Director and CEO, Mercedes-Benz India said, “We are glad to witness a strong comeback in the course of the last quarter, with a significant month on month increase. This performance is a result driven by our product introductions, rolling-out of financial packages, combined with the gradual pick-up in business and economic activities that has positively influenced customer sentiment”.

Mercedes-Benz introduced one product, AMG GLE 53 during Q3. In the last few months the company opened the online medium to sell its cars in view of the customer’s anxiety to physically visit showrooms.

In Q3 Mercedes-Benz India online car booking contributed up to 20 percent of the sales volume, underscoring the growing prominence of online sales platforms and the changing consumer preference for online shopping.

“We are confident that the upcoming festive season will deliver further momentum for the recovering our sales development. We remain optimistic for the fourth quarter as the current demand situation and the feedback of the customers for our products is very positive”, added Schwenk.