Mercedes-Benz Expands Presence in Tier-2 Cities.

German luxury carmaker Mercedes-Benz is set to expand its footprint in India by increasing its presence in tier-2 cities. The company plans to open 10 new service centers in these smaller markets by the end of 2024, aiming to tap into the growing demand from these regions.

Santosh Iyer, Managing Director & CEO of Mercedes-Benz India, highlighted the significance of mini-markets, stating that some, like Raipur and Nashik, have shown remarkable growth compared to the previous year. However, he noted that the bulk of the company’s growth still comes from major metro cities such as Mumbai, Delhi, and their suburbs. "We will continue to grow in mini-markets and go deeper into the market as higher penetration attracts more customers. Our focus will be on service first rather than sales in these areas," said Iyer.

In addition to expanding its service network, Mercedes-Benz is also exploring the localization of some of its accessories to better cater to Indian consumers. This year, the company will transform 25 of its retail outlets into luxury boutiques. These smaller, experience-focused retail formats will feature design studios, private consultations for top-end vehicle customers, and customization options.

Mercedes-Benz also plans to enhance its customer service experience. Previously, the company offered a premium service with a three-hour turnaround time for routine maintenance. Now, Iyer stated that if a vehicle under warranty remains in the workshop for more than three days, the company will provide a courtesy car to the customer.

The carmaker recently launched the Mercedes-AMG GLC 43 4MATIC Coupé and CLE 300 Cabriolet AMG in India and is set to introduce its first electric Maybach EQS 680 SUV in September.

HBL