Volvo lays out plans to set up base in India to cash in on the luxury car segment

India has recently opened up to an array of global car and bike manufacturing giants. It has led to cut throat competition and intense marketing. It is suddenly the land of opportunities and has got the auto world betting big on the Indian soil. After the German and the American car makers, Japanese and Dutch bike makers, it’s time for the Swedes’ to join and cash in on the big leagues. Swedish auto making giants have been on Indian turf for some time now, and not until recently had they declared themselves as worthy competitor, one amongst the top contenders.  The company is making its presence felt through its brainchild, the Volvo. Volvo is one of the most stylized and beautifully engineered cars in the modern era, a top notch product from the Swedish factory line.

The company has laid its grounds, got a platform and are finally making a resounding launch of their product. It took them some time to acclimate themselves to the Indian market, but it seems that now they are good to go. Last year they belted out around 320 units of their product from their manufacturing line and are expecting on exponential increase in sales in the next couple of years.  The Volvo is trying to make a name in the luxury car segment in India. And they are expecting a growth amounting to 800 car sales in this year, 2012.

Volvo lays out plans to set up base in India to cash in on the luxury car segment

The Volvo Auto India, which is a wholly owned subsidiary of the company, is planning on introducing a global model by the end of the first quarter of next year. This is being taken up urgently by the company since they recognize India as a hotbed for making sales.  With their headquarters now keeping a close eye on the progress of things, it does seem Volvo means business and is going to aggressively take to marketing in India in the coming years.

The company is planning on a 15 percent growth in sales by 2020. This is a rough estimate based on the current sales and the prospects of growth and expansion in the coming years. Volvo is expecting a production demand of 20000 units per year, till 2020. This would enable to live up to the 15 percent growth plan. And the company is keeping the estimated tally of number of cars sold by 2020 to about 1.5 lakh.

Volvo seems to have played its move quite well and have timed it to perfection. Not only has it grabbed the chance to make an impact when the auto industry and the market has just skyrocketed but also they are with a winning chance to take on the German auto makers, who seem to be losing the impact on world automobiles market.

Even with the German impact lessening, the Volvo would still have to face stiff competition from the likes of BMW, Mercedes Benz and Audi in the luxury car segment.

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