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The German Luxury carmaker, Mercedes Benz, is mulling a “fresh look” for its pre-owned car brand Proven Exclusivity, to widen the concept.
The company feels the dynamics of the used car space is changing fast in India, owing to various financing options available to customers.
The pre-owned segment is largely unstructured in India and with new financing options, customers could upgrade to newer models at ease by returning used cars, Mercedes Benz India Director (sales and network development) Boris Fitz told Business Standard here.
Proven Exclusivity concept was launched in India in June 2010 and it offers pre-owned cars for sale through authorised Mercedes Benz dealerships. The customers receive additional support such as financing, documentation and delivery of such vehicles.
According to an estimate, the domestic used car market is 1.3 times the new car market. Almost 60 per cent of used car transactions are done privately between individuals, while about 28-30 per cent of the segment is handled by local brokers in unorganised sector.
The organised players handle 10-12 per cent of used car segment.
Every certified ‘Proven Exclusivity’ vehicle is backed by evaluation and refurbishment criteria, scientific tools for audit and inspection as well as a manufacturer backed warranty depending upon the model and condition of the pre-owned car.
Fitz was in Lucknow to launch Mercedes A-Class, which carries price tag of Rs 23.80 lakh (ex-showroom Lucknow) for diesel variant. The petrol variant comes at Rs 24.75 lakh. The company has two dealerships in UP at Lucknow and Noida.
“We have received good response in UP and have overachieved our targets,” Lucknow dealership SRM Smart Hoops, MD, Neeraj Agarwal said.
During 2012 calendar, Mercedes sold 7,138 vehicles in India and during Jan-March 2013, it has done 2,009 units. “In 2013, we are targetting double digit growth in India,” Fitz informed.
