Luxury car brands set shop in AP as Vehicle Registrations up 62% In April-Oct Period

booming business in andhra

Business is booming in Andhra Pradesh

In an indication that the united state’s affluent hail mainly from Andhra Pradesh as compared to Telangana, luxury car makers are bracing themselves to expand in that state in a big way .

While Mercedes Benz already has an outlet in Vijayawada apart from Hyderabad, Volvo has opened shop in Visakhapatnam and is scouting for a showroom in Vijayawada. In the meantime, BMW’s showroom, the second after the one in Hyderabad, is coming up in the Mangalagiri area.The Regional Transport Authority (RTA) defines any four-wheeler costing over Rs 10 lakh as falling in the luxury category . The vehicles manufactured by Benz, BMW and Volvo cost anywhere between Rs 35 lakh to Rs 1.86 crore.“In all, 1,931 luxury vehicles were registered in the 13 districts of Andhra Pradesh between April and October 2013. During the same period this year, the number shot up to 3,129, an increase of 62 per cent. Whereas in Telangana, as against 4,162 vehicles last year, the April-October 2014 period saw an increase to 5,088, which amounts to only a 22 per cent growth,“ AP joint transport commissioner S A V Prasad Rao told TOI.The luxury car makers seem to endorse this trend. “I cannot disclose the exact numbers.But we have registered a 40 per cent increase in sales, especially in the C and E models which cost between Rs 50-60 lakh, in the last few months. We have also seen a rise in the sale of the GL category, which costs upto Rs 1.36 crore,“ Mercedes Benz Vijayawada showroom sales manager Nori Vasu said.Benz had set up shop in the Gudavalli area of Vijayawada in 2008. Audi and Volvo have already opened showrooms in Visakhapatnam and Volvo is scouting for a showroom in Vijayawada that it wants to throw open by January next year. “We are searching for a site close to the highway ,“ Yeraamsetty Vishwanath, as sistant sales manager, Volvo, said. “We opened our second showroom in Vizag after Hy derabad exactly a year ago.Post bifurcation, we expect a higher sale of the sports util ity vehicles that cost between Rs 42 lakh and Rs 1 crore in AP as compared to Telangana,“ he added. “Until now, majority of the luxury car makers had their authorized showroom and service centres only in Hyderabad. Post bifurcation, we expect Vijayawada and Vi zag to better Hyderabad in the sale of luxury cars,“ claimed Muralikrishna, president of AP chamber of commerce in Vijayawada, who himself owns a Mercedes Benz.

Source : Times of India, Hyderabad edition

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One thought on “Luxury car brands set shop in AP as Vehicle Registrations up 62% In April-Oct Period

  1. Pingback: Business is Booming – New capital and Vijayawada city status reports from Deccan chronicle | Andhra Nation

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