Volkswagen the German car maker has plans for a long term innings in India. Currently Volkswagen operates from Bandra-kurla complex in Mumbai.
According to Economic Times, Volkswagen has picked up over 1 lakh sq ft office space in Andheri suburb of Mumbai. As per the source this is one of the largest commercial lease transactions in India this year.
This shows Volkswagen’s commitment to India in the long run. The operations will be handled from this new office including auto finance , used car business and major brands like Porsche, Audi, Lamborghini will be housed in the 1,05, 000 sq ft space.
Volkswagen group has a presence in over 150 countries and has posted an annual turnover of 159.3 billion Euros. But in India its presence is still very small. The annual sales figures for India is less than 1, 00,000 units. Volkswagen has less than 3% market share in India, though Volkswagen’s premium brand Audi is the country`s fastest growing luxury brand with a number 2 position.
Following table shows the market share of each car manufacturer in India:-
| Manufacturer name | Market share |
|
Maruti Suzuki |
40% |
|
Hyundai Motors |
14% |
|
Tata Motors |
13% |
|
Mahindra & Mahindra |
8% |
|
Toyota |
6% |
|
Honda Siel cars |
4% |
|
Ford |
3.30% |
|
Volkswagen India |
3% |
|
Nissan |
<2% |
|
Skoda |
<2% |
|
Rest of the manufacturers |
5% |
The company has recently entered the used car market with DasWelt Auto and automobile finance space.
All in all Volkswagen has big plans for India and is eyeing for a bigger share in the Indian car market. To ensure this Volkswagen is planning to launch a small hatchback (possibly Up!) and a compact SUV in the future to fight back the competition.
Through our exclusive scoop, we also know that Volkswagen are preparing a CNG version of Vento.
Eshwar Prasad
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Source: Economic Times
