Indian Luxury Car Market

8/12/2019 Indian Luxury Car Market

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Indian Luxury Car Market An InsightThe recent growth in the luxury car market in India is much more than mere market dynamics in aparticular car segment. It is a reflection of the changing lifestyle of the affluent class in the country. InIndia, the luxury car segment (Average Price 25-30 Lakh) has been growing at an average rate of 20% orabove during recent years; it seems to be least affected by the global financial crisis. During worst

recession period when world was facing low market demand trends, Indian luxury car segment grew at23% to 6,671 vehicles according to the Society of Indian Automobile Manufacturers (SIAM) despite a0.5% decline in passenger car sales, to 11.04 lakh vehicles (April-December 2008 Report). But financialyear ended March 2010 has shown growth of automotive sector up by 25% to 15.26 lakh vehicles. Thisindicates optimistic sign of recovery of sector. While the Indian auto industry is expected to grow at 17%to 19% on an average, sales of luxury and super-luxury cars are expected to grow exponentially.Luxury car segment accounts only for 3-4% of total car sales in India. But what lures the internationalmajors is the fact that this segment is growing at 25%-plus (2009 sales), much higher than 15-17%growth registered by the small passenger car segment over the past few years. This growth of luxury carsales is driven majorly by increased wealth-creation within average Indian population and the desire ofindividuals to join the millionaire-club by flaunting their wealth.Growth of Indian economy has been faster than other emerging economies during recent times. Globally,India had the highest growth-rate (22.7%) of millionaire population during the year 2007. India added

23,000 millionaires from 2006 to 2007, taking total figure to around 123,000 millionaires; wealth asmeasured in US Dollars (Merrill Lynch Cap Gemini Report). However, during recession, the countrynoticed a decline of 31.6% in number of millionaires. But post-recession recovery was much fastercompared to other economies. These numbers are expected to grow up to 1,40,000 by the year 2010.This robust growth in the number of millionaires in the country, being one of the highest globally, pavesthe way for further growth of the luxury car market. The recent growth in the luxury car market in India ismuch more than mere market dynamics in a particular car segment. It is a reflection of the changinglifestyle of the affluent class in the country. In India, the luxury car segment (Average Price 25-30 Lakh)has been growing at an average rate of 20% or above during recent years; it seems to be least affectedby the global financial crisis. During worst recession period when world was facing low market demandtrends, Indian luxury car segment grew at 23% to 6,671 vehicles according to the Society of Indian

Automobile Manufacturers (SIAM) despite a 0.5% decline in passenger car sales, to 11.04 lakh vehicles(April-December 2008 Report). But financial year ended March 2010 has shown growth of automotive

sector up by 25% to 15.26 lakh vehicles. This indicates optimistic sign of recovery of sector. While theIndian auto industry is expected to grow at 17% to 19% on an average, sales of luxury and super-luxurycars are expected to grow exponentially.Luxury car segment accounts only for 3-4% of total car sales in India. But what lures the internationalmajors is the fact that this segment is growing at 25%-plus (2009 sales), much higher than 15-17%growth registered by the small passenger car segment over the past few years. This growth of luxury carsales is driven majorly by increased wealth-creation within average Indian population and the desire ofindividuals to join the millionaire-club by flaunting their wealth.Growth of Indian economy has been faster than other emerging economies during recent times. Globally,India had the highest growth-rate (22.7%) of millionaire population during the year 2007. India added23,000 millionaires from 2006 to 2007, taking total figure to around 123,000 millionaires; wealth asmeasured in US Dollars (Merrill Lynch Cap Gemini Report). However, during recession, the countrynoticed a decline of 31.6% in number of millionaires. But post-recession recovery was much fastercompared to other economies. These numbers are expected to grow up to 1,40,000 by the year 2010.This robust growth in the number of millionaires in the country, being one of the highest globally, pavesthe way for further growth of the luxury car marketThe recent growth in the luxury car market in India ismuch more than mere market dynamics in a particular car segment. It is a reflection of the changinglifestyle of the affluent class in the country. In India, the luxury car segment (Average Price 25-30 Lakh)has been growing at an average rate of 20% or above during recent years; it seems to be least affectedby the global financial crisis. During worst recession period when world was facing low market demandtrends, Indian luxury car segment grew at 23% to 6,671 vehicles according to the Society of Indian



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sector up by 25% to 15.26 lakh vehicles. This indicates optimistic sign of recovery of sector. While theIndian auto industry is expected to grow at 17% to 19% on an average, sales of luxury and super-luxurycars are expected to grow exponentially.Luxury car segment accounts only for 3-4% of total car sales in India. But what lures the internationalmajors is the fact that this segment is growing at 25%-plus (2009 sales), much higher than 15-17%growth registered by the small passenger car segment over the past few years. This growth of luxury carsales is driven majorly by increased wealth-creation within average Indian population and the desire ofindividuals to join the millionaire-club by flaunting their wealth.Growth of Indian economy has been faster than other emerging economies during recent times. Globally,India had the highest growth-rate (22.7%) of millionaire population during the year 2007. India added23,000 millionaires from 2006 to 2007, taking total figure to around 123,000 millionaires; wealth asmeasured in US Dollars (Merrill Lynch Cap Gemini Report). However, during recession, the countrynoticed a decline of 31.6% in number of millionaires. But post-recession recovery was much fastercompared to other economies. These numbers are expected to grow up to 1,40,000 by the year 2010.This robust growth in the number of millionaires in the country, being one of the highest globally, pavesthe way for further growth of the luxury car marketThe recent growth in the luxury car market in India ismuch more than mere market dynamics in a particular car segment. It is a reflection of the changinglifestyle of the affluent class in the country. In India, the luxury car segment (Average Price 25-30 Lakh)has been growing at an average rate of 20% or above during recent years; it seems to be least affectedby the global financial crisis. During worst recession period when world was facing low market demand

trends, Indian luxury car segment grew at 23% to 6,671 vehicles according to the Society of IndianAutomobile Manufacturers (SIAM) despite a 0.5% decline in passenger car sales, to 11.04 lakh vehicles(April-December 2008 Report). But financial year ended March 2010 has shown growth of automotivesector up by 25% to 15.26 lakh vehicles. This indicates optimistic sign of recovery of sector. While theIndian auto industry is expected to grow at 17% to 19% on an average, sales of luxury and super-luxurycars are expected to grow exponentially.Luxury car segment accounts only for 3-4% of total car sales in India. But what lures the internationalmajors is the fact that this segment is growing at 25%-plus (2009 sales), much higher than 15-17%growth registered by the small passenger car segment over the past few years. This growth of luxury carsales is driven majorly by increased wealth-creation within average Indian population and the desire ofindividuals to join the millionaire-club by flaunting their wealth.Growth of Indian economy has been faster than other emerging economies during recent times. Globally,India had the highest growth-rate (22.7%) of millionaire population during the year 2007. India added

23,000 millionaires from 2006 to 2007, taking total figure to around 123,000 millionaires; wealth asmeasured in US Dollars (Merrill Lynch Cap Gemini Report). However, during recession, the countrynoticed a decline of 31.6% in number of millionaires. But post-recession recovery was much fastercompared to other economies. These numbers are expected to grow up to 1,40,000 by the year 2010.This robust growth in the number of millionaires in the country, being one of the highest globally, pavesthe way for further growth of the luxury car marketThe recent growth in the luxury car market in India ismuch more than mere market dynamics in a particular car segment. It is a reflection of the changinglifestyle of the affluent class in the country. In India, the luxury car segment (Average Price 25-30 Lakh)has been growing at an average rate of 20% or above during recent years; it seems to be least affectedby the global financial crisis. During worst recession period when world was facing low market demandtrends, Indian luxury car segment grew at 23% to 6,671 vehicles according to the Society of Indian


sector up by 25% to 15.26 lakh vehicles. This indicates optimistic sign of recovery of sector. While theIndian auto industry is expected to grow at 17% to 19% on an average, sales of luxury and super-luxurycars are expected to grow exponentially.Luxury car segment accounts only for 3-4% of total car sales in India. But what lures the internationalmajors is the fact that this segment is growing at 25%-plus (2009 sales), much higher than 15-17%growth registered by the small passenger car segment over the past few years. This growth of luxury carsales is driven majorly by increased wealth-creation within average Indian population and the desire ofindividuals to join the millionaire-club by flaunting their wealth.Growth of Indian economy has been faster than other emerging economies during recent times. Globally,India had the highest growth-rate (22.7%) of millionaire population during the year 2007. India added


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Automobile Manufacturers (SIAM) despite a 0.5% decline in passenger car sales, to 11.04 lakh vehicles(April-December 2008 Report). But financial year ended March 2010 has shown growth of automotivesector up by 25% to 15.26 lakh vehicles. This indicates optimistic sign of recovery of sector. While theIndian auto industry is expected to grow at 17% to 19% on an average, sales of luxury and super-luxurycars are expected to grow exponentially.Luxury car segment accounts only for 3-4% of total car sales in India. But what lures the internationalmajors is the fact that this segment is growing at 25%-plus (2009 sales), much higher than 15-17%growth registered by the small passenger car segment over the past few years. This growth of luxury carsales is driven majorly by increased wealth-creation within average Indian population and the desire of

individuals to join the millionaire-club by flaunting their wealth.Growth of Indian economy has been faster than other emerging economies during recent times. Globally,India had the highest growth-rate (22.7%) of millionaire population during the year 2007. India added23,000 millionaires from 2006 to 2007, taking total figure to around 123,000 millionaires; wealth asmeasured in US Dollars (Merrill Lynch Cap Gemini Report). However, during recession, the countrynoticed a decline of 31.6% in number of millionaires. But post-recession recovery was much fastercompared to other economies. These numbers are expected to grow up to 1,40,000 by the year 2010.This robust growth in the number of millionaires in the country, being one of the highest globally, pavesthe way for further growth of the luxury car marketThe recent growth in the luxury car market in India ismuch more than mere market dynamics in a particular car segment. It is a reflection of the changinglifestyle of the affluent class in the country. In India, the luxury car segment (Average Price 25-30 Lakh)has been growing at an average rate of 20% or above during recent years; it seems to be least affectedby the global financial crisis. During worst recession period when world was facing low market demand


23,000 millionaires from 2006 to 2007, taking total figure to around 123,000 millionaires; wealth asmeasured in US Dollars (Merrill Lynch Cap Gemini Report). However, during recession, the countrynoticed a decline of 31.6% in number of millionaires. But post-recession recovery was much fastercompared to other economies. These numbers are expected to grow up to 1,40,000 by the year 2010.This robust growth in the number of millionaires in the country, being one of the highest globally, pavesthe way for further growth of the luxury car marketThe recent growth in the luxury car market in India ismuch more than mere market dynamics in a particular car segment. It is a reflection of the changinglifestyle of the affluent class in the country. In India, the luxury car segment (Average Price 25-30 Lakh)has been growing at an average rate of 20% or above during recent years; it seems to be least affectedby the global financial crisis. During worst recession period when world was facing low market demand


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trends, Indian luxury car segment grew at 23% to 6,671 vehicles according to the Society of IndianAutomobile Manufacturers (SIAM) despite a 0.5% decline in passenger car sales, to 11.04 lakh vehicles(April-December 2008 Report). But financial year ended March 2010 has shown growth of automotivesector up by 25% to 15.26 lakh vehicles. This indicates optimistic sign of recovery of sector. While theIndian auto industry is expected to grow at 17% to 19% on an average, sales of luxury and super-luxurycars are expected to grow exponentially.Luxury car segment accounts only for 3-4% of total car sales in India. But what lures the internationalmajors is the fact that this segment is growing at 25%-plus (2009 sales), much higher than 15-17%growth registered by the small passenger car segment over the past few years. This growth of luxury carsales is driven majorly by increased wealth-creation within average Indian population and the desire ofindividuals to join the millionaire-club by flaunting their wealth.Growth of Indian economy has been faster than other emerging economies during recent times. Globally,India had the highest growth-rate (22.7%) of millionaire population during the year 2007. India added23,000 millionaires from 2006 to 2007, taking total figure to around 123,000 millionaires; wealth asmeasured in US Dollars (Merrill Lynch Cap Gemini Report). However, during recession, the countrynoticed a decline of 31.6% in number of millionaires. But post-recession recovery was much fastercompared to other economies. These numbers are expected to grow up to 1,40,000 by the year 2010.This robust growth in the number of millionaires in the country, being one of the highest globally, pavesthe way for further growth of the luxury car marketThe recent growth in the luxury car market in India ismuch more than mere market dynamics in a particular car segment. It is a reflection of the changing

lifestyle of the affluent class in the country. In India, the luxury car segment (Average Price 25-30 Lakh)has been growing at an average rate of 20% or above during recent years; it seems to be least affectedby the global financial crisis. During worst recession period when world was facing low market demandtrends, Indian luxury car segment grew at 23% to 6,671 vehicles according to the Society of Indian



trends, Indian luxury car segment grew at 23% to 6,671 vehicles according to the Society of IndianAutomobile Manufacturers (SIAM) despite a 0.5% decline in passenger car sales, to 11.04 lakh vehicles(April-December 2008 Report). But financial year ended March 2010 has shown growth of automotivesector up by 25% to 15.26 lakh vehicles. This indicates optimistic sign of recovery of sector. While theIndian auto industry is expected to grow at 17% to 19% on an average, sales of luxury and super-luxurycars are expected to grow exponentially.Luxury car segment accounts only for 3-4% of total car sales in India. But what lures the internationalmajors is the fact that this segment is growing at 25%-plus (2009 sales), much higher than 15-17%growth registered by the small passenger car segment over the past few years. This growth of luxury car


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sales is driven majorly by increased wealth-creation within average Indian population and the desire ofindividuals to join the millionaire-club by flaunting their wealth.Growth of Indian economy has been faster than other emerging economies during recent times. Globally,India had the highest growth-rate (22.7%) of millionaire population during the year 2007. India added23,000 millionaires from 2006 to 2007, taking total figure to around 123,000 millionaires; wealth asmeasured in US Dollars (Merrill Lynch Cap Gemini Report). However, during recession, the countrynoticed a decline of 31.6% in number of millionaires. But post-recession recovery was much fastercompared to other economies. These numbers are expected to grow up to 1,40,000 by the year 2010.This robust growth in the number of millionaires in the country, being one of the highest globally, pavesthe way for further growth of the luxury car marketThe recent growth in the luxury car market in India ismuch more than mere market dynamics in a particular car segment. It is a reflection of the changinglifestyle of the affluent class in the country. In India, the luxury car segment (Average Price 25-30 Lakh)has been growing at an average rate of 20% or above during recent years; it seems to be least affectedby the global financial crisis. During worst recession period when world was facing low market demandtrends, Indian luxury car segment grew at 23% to 6,671 vehicles according to the Society of Indian

Automobile Manufacturers (SIAM) despite a 0.5% decline in passenger car sales, to 11.04 lakh vehicles(April-December 2008 Report). But financial year ended March 2010 has shown growth of automotivesector up by 25% to 15.26 lakh vehicles. This indicates optimistic sign of recovery of sector. While theIndian auto industry is expected to grow at 17% to 19% on an average, sales of luxury and super-luxurycars are expected to grow exponentially.

Luxury car segment accounts only for 3-4% of total car sales in India. But what lures the internationalmajors is the fact that this segment is growing at 25%-plus (2009 sales), much higher than 15-17%growth registered by the small passenger car segment over the past few years. This growth of luxury carsales is driven majorly by increased wealth-creation within average Indian population and the desire ofindividuals to join the millionaire-club by flaunting their wealth.Growth of Indian economy has been faster than other emerging economies during recent times. Globally,India had the highest growth-rate (22.7%) of millionaire population during the year 2007. India added23,000 millionaires from 2006 to 2007, taking total figure to around 123,000 millionaires; wealth asmeasured in US Dollars (Merrill Lynch Cap Gemini Report). However, during recession, the countrynoticed a decline of 31.6% in number of millionaires. But post-recession recovery was much fastercompared to other economies. These numbers are expected to grow up to 1,40,000 by the year 2010.This robust growth in the number of millionaires in the country, being one of the highest globally, pavesthe way for further growth of the luxury car marketThe recent growth in the luxury car market in India is

much more than mere market dynamics in a particular car segment. It is a reflection of the changinglifestyle of the affluent class in the country. In India, the luxury car segment (Average Price 25-30 Lakh)has been growing at an average rate of 20% or above during recent years; it seems to be least affectedby the global financial crisis. During worst recession period when world was facing low market demandtrends, Indian luxury car segment grew at 23% to 6,671 vehicles according to the Society of Indian

Automobile Manufacturers (SIAM) despite a 0.5% decline in passenger car sales, to 11.04 lakh vehicles(April-December 2008 Report). But financial year ended March 2010 has shown growth of automotivesector up by 25% to 15.26 lakh vehicles. This indicates optimistic sign of recovery of sector. While theIndian auto industry is expected to grow at 17% to 19% on an average, sales of luxury and super-luxurycars are expected to grow exponentially.Luxury car segment accounts only for 3-4% of total car sales in India. But what lures the internationalmajors is the fact that this segment is growing at 25%-plus (2009 sales), much higher than 15-17%growth registered by the small passenger car segment over the past few years. This growth of luxury car

sales is driven majorly by increased wealth-creation within average Indian population and the desire ofindividuals to join the millionaire-club by flaunting their wealth.Growth of Indian economy has been faster than other emerging economies during recent times. Globally,India had the highest growth-rate (22.7%) of millionaire population during the year 2007. India added23,000 millionaires from 2006 to 2007, taking total figure to around 123,000 millionaires; wealth asmeasured in US Dollars (Merrill Lynch Cap Gemini Report). However, during recession, the countrynoticed a decline of 31.6% in number of millionaires. But post-recession recovery was much fastercompared to other economies. These numbers are expected to grow up to 1,40,000 by the year 2010.This robust growth in the number of millionaires in the country, being one of the highest globally, pavesthe way for further growth of the luxury car marketThe recent growth in the luxury car market in India is


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Automobile Manufacturers (SIAM) despite a 0.5% decline in passenger car sales, to 11.04 lakh vehicles(April-December 2008 Report). But financial year ended March 2010 has shown growth of automotivesector up by 25% to 15.26 lakh vehicles. This indicates optimistic sign of recovery of sector. While theIndian auto industry is expected to grow at 17% to 19% on an average, sales of luxury and super-luxurycars are expected to grow exponentially.Luxury car segment accounts only for 3-4% of total car sales in India. But what lures the internationalmajors is the fact that this segment is growing at 25%-plus (2009 sales), much higher than 15-17%growth registered by the small passenger car segment over the past few years. This growth of luxury carsales is driven majorly by increased wealth-creation within average Indian population and the desire ofindividuals to join the millionaire-club by flaunting their wealth.Growth of Indian economy has been faster than other emerging economies during recent times. Globally,India had the highest growth-rate (22.7%) of millionaire population during the year 2007. India added23,000 millionaires from 2006 to 2007, taking total figure to around 123,000 millionaires; wealth asmeasured in US Dollars (Merrill Lynch Cap Gemini Report). However, during recession, the countrynoticed a decline of 31.6% in number of millionaires. But post-recession recovery was much faster

compared to other economies. These numbers are expected to grow up to 1,40,000 by the year 2010.This robust growth in the number of millionaires in the country, being one of the highest globally, pavesthe way for further growth of the luxury car marketThe recent growth in the luxury car market in India ismuch more than mere market dynamics in a particular car segment. It is a reflection of the changinglifestyle of the affluent class in the country. In India, the luxury car segment (Average Price 25-30 Lakh)has been growing at an average rate of 20% or above during recent years; it seems to be least affectedby the global financial crisis. During worst recession period when world was facing low market demandtrends, Indian luxury car segment grew at 23% to 6,671 vehicles according to the Society of Indian






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Luxury car segment accounts only for 3-4% of total car sales in India. But what lures the internationalmajors is the fact that this segment is growing at 25%-plus (2009 sales), much higher than 15-17%growth registered by the small passenger car segment over the past few years. This growth of luxury carsales is driven majorly by increased wealth-creation within average Indian population and the desire ofindividuals to join the millionaire-club by flaunting their wealth.Growth of Indian economy has been faster than other emerging economies during recent times. Globally,India had the highest growth-rate (22.7%) of millionaire population during the year 2007. India added23,000 millionaires from 2006 to 2007, taking total figure to around 123,000 millionaires; wealth asmeasured in US Dollars (Merrill Lynch Cap Gemini Report). However, during recession, the countrynoticed a decline of 31.6% in number of millionaires. But post-recession recovery was much fastercompared to other economies. These numbers are expected to grow up to 1,40,000 by the year 2010.This robust growth in the number of millionaires in the country, being one of the highest globally, pavesthe way for further growth of the luxury car marketThe recent growth in the luxury car market in India ismuch more than mere market dynamics in a particular car segment. It is a reflection of the changinglifestyle of the affluent class in the country. In India, the luxury car segment (Average Price 25-30 Lakh)has been growing at an average rate of 20% or above during recent years; it seems to be least affectedby the global financial crisis. During worst recession period when world was facing low market demandtrends, Indian luxury car segment grew at 23% to 6,671 vehicles according to the Society of Indian


sector up by 25% to 15.26 lakh vehicles. This indicates optimistic sign of recovery of sector. While theIndian auto industry is expected to grow at 17% to 19% on an average, sales of luxury and super-luxurycars are expected to grow exponentially.Luxury car segment accounts only for 3-4% of total car sales in India. But what lures the internationalmajors is the fact that this segment is growing at 25%-plus (2009 sales), much higher than 15-17%growth registered by the small passenger car segment over the past few years. This growth of luxury carsales is driven majorly by increased wealth-creation within average Indian population and the desire ofindividuals to join the millionaire-club by flaunting their wealth.Growth of Indian economy has been faster than other emerging economies during recent times. Globally,India had the highest growth-rate (22.7%) of millionaire population during the year 2007. India added23,000 millionaires from 2006 to 2007, taking total figure to around 123,000 millionaires; wealth asmeasured in US Dollars (Merrill Lynch Cap Gemini Report). However, during recession, the countrynoticed a decline of 31.6% in number of millionaires. But post-recession recovery was much faster



Luxury car segment accounts only for 3-4% of total car sales in India. But what lures the internationalmajors is the fact that this segment is growing at 25%-plus (2009 sales), much higher than 15-17%growth registered by the small passenger car segment over the past few years. This growth of luxury carsales is driven majorly by increased wealth-creation within average Indian population and the desire ofindividuals to join the millionaire-club by flaunting their wealth.Growth of Indian economy has been faster than other emerging economies during recent times. Globally,India had the highest growth-rate (22.7%) of millionaire population during the year 2007. India added23,000 millionaires from 2006 to 2007, taking total figure to around 123,000 millionaires; wealth asmeasured in US Dollars (Merrill Lynch Cap Gemini Report). However, during recession, the countrynoticed a decline of 31.6% in number of millionaires. But post-recession recovery was much faster


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Automobile Manufacturers (SIAM) despite a 0.5% decline in passenger car sales, to 11.04 lakh vehicles(April-December 2008 Report). But financial year ended March 2010 has shown growth of automotivesector up by 25% to 15.26 lakh vehicles. This indicates optimistic sign of recovery of sector. While theIndian auto industry is expected to grow at 17% to 19% on an average, sales of luxury and super-luxurycars are expected to grow exponentially.Luxury car segment accounts only for 3-4% of total car sales in India. But what lures the internationalmajors is the fact that this segment is growing at 25%-plus (2009 sales), much higher than 15-17%growth registered by the small passenger car segment over the past few years. This growth of luxury carsales is driven majorly by increased wealth-creation within average Indian population and the desire ofindividuals to join the millionaire-club by flaunting their wealth.Growth of Indian economy has been faster than other emerging economies during recent times. Globally,India had the highest growth-rate (22.7%) of millionaire population during the year 2007. India added







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lifestyle of the affluent class in the country. In India, the luxury car segment (Average Price 25-30 Lakh)has been growing at an average rate of 20% or above during recent years; it seems to be least affectedby the global financial crisis. During worst recession period when world was facing low market demandtrends, Indian luxury car segment grew at 23% to 6,671 vehicles according to the Society of Indian



trends, Indian luxury car segment grew at 23% to 6,671 vehicles according to the Society of IndianAutomobile Manufacturers (SIAM) despite a 0.5% decline in passenger car sales, to 11.04 lakh vehicles(April-December 2008 Report). But financial year ended March 2010 has shown growth of automotivesector up by 25% to 15.26 lakh vehicles. This indicates optimistic sign of recovery of sector. While theIndian auto industry is expected to grow at 17% to 19% on an average, sales of luxury and super-luxurycars are expected to grow exponentially.Luxury car segment accounts only for 3-4% of total car sales in India. But what lures the internationalmajors is the fact that this segment is growing at 25%-plus (2009 sales), much higher than 15-17%growth registered by the small passenger car segment over the past few years. This growth of luxury car


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Automobile Manufacturers (SIAM) despite a 0.5% decline in passenger car sales, to 11.04 lakh vehicles(April-December 2008 Report). But financial year ended March 2010 has shown growth of automotivesector up by 25% to 15.26 lakh vehicles. This indicates optimistic sign of recovery of sector. While theIndian auto industry is expected to grow at 17% to 19% on an average, sales of luxury and super-luxurycars are expected to grow exponentially.Luxury car segment accounts only for 3-4% of total car sales in India. But what lures the internationalmajors is the fact that this segment is growing at 25%-plus (2009 sales), much higher than 15-17%growth registered by the small passenger car segment over the past few years. This growth of luxury carsales is driven majorly by increased wealth-creation within average Indian population and the desire ofindividuals to join the millionaire-club by flaunting their wealth.Growth of Indian economy has been faster than other emerging economies during recent times. Globally,India had the highest growth-rate (22.7%) of millionaire population during the year 2007. India added23,000 millionaires from 2006 to 2007, taking total figure to around 123,000 millionaires; wealth asmeasured in US Dollars (Merrill Lynch Cap Gemini Report). However, during recession, the countrynoticed a decline of 31.6% in number of millionaires. But post-recession recovery was much faster







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Luxury car segment accounts only for 3-4% of total car sales in India. But what lures the internationalmajors is the fact that this segment is growing at 25%-plus (2009 sales), much higher than 15-17%growth registered by the small passenger car segment over the past few years. This growth of luxury carsales is driven majorly by increased wealth-creation within average Indian population and the desire ofindividuals to join the millionaire-club by flaunting their wealth.Growth of Indian economy has been faster than other emerging economies during recent times. Globally,India had the highest growth-rate (22.7%) of millionaire population during the year 2007. India added23,000 millionaires from 2006 to 2007, taking total figure to around 123,000 millionaires; wealth asmeasured in US Dollars (Merrill Lynch Cap Gemini Report). However, during recession, the countrynoticed a decline of 31.6% in number of millionaires. But post-recession recovery was much fastercompared to other economies. These numbers are expected to grow up to 1,40,000 by the year 2010.This robust growth in the number of millionaires in the country, being one of the highest globally, pavesthe way for further growth of the luxury car marketThe recent growth in the luxury car market in India ismuch more than mere market dynamics in a particular car segment. It is a reflection of the changinglifestyle of the affluent class in the country. In India, the luxury car segment (Average Price 25-30 Lakh)has been growing at an average rate of 20% or above during recent years; it seems to be least affectedby the global financial crisis. During worst recession period when world was facing low market demandtrends, Indian luxury car segment grew at 23% to 6,671 vehicles according to the Society of Indian





Luxury car segment accounts only for 3-4% of total car sales in India. But what lures the internationalmajors is the fact that this segment is growing at 25%-plus (2009 sales), much higher than 15-17%growth registered by the small passenger car segment over the past few years. This growth of luxury carsales is driven majorly by increased wealth-creation within average Indian population and the desire ofindividuals to join the millionaire-club by flaunting their wealth.Growth of Indian economy has been faster than other emerging economies during recent times. Globally,India had the highest growth-rate (22.7%) of millionaire population during the year 2007. India added23,000 millionaires from 2006 to 2007, taking total figure to around 123,000 millionaires; wealth asmeasured in US Dollars (Merrill Lynch Cap Gemini Report). However, during recession, the countrynoticed a decline of 31.6% in number of millionaires. But post-recession recovery was much faster


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Automobile Manufacturers (SIAM) despite a 0.5% decline in passenger car sales, to 11.04 lakh vehicles(April-December 2008 Report). But financial year ended March 2010 has shown growth of automotivesector up by 25% to 15.26 lakh vehicles. This indicates optimistic sign of recovery of sector. While theIndian auto industry is expected to grow at 17% to 19% on an average, sales of luxury and super-luxurycars are expected to grow exponentially.Luxury car segment accounts only for 3-4% of total car sales in India. But what lures the internationalmajors is the fact that this segment is growing at 25%-plus (2009 sales), much higher than 15-17%growth registered by the small passenger car segment over the past few years. This growth of luxury carsales is driven majorly by increased wealth-creation within average Indian population and the desire ofindividuals to join the millionaire-club by flaunting their wealth.Growth of Indian economy has been faster than other emerging economies during recent times. Globally,India had the highest growth-rate (22.7%) of millionaire population during the year 2007. India added







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lifestyle of the affluen

Documents

Indian Luxury Car Market