BMW AG has put in Rs.5.3 billion for the expansion of its Indian subsidiary. This amount is twice the money that was put in for the same purpose in the year 2010. A new Customer Interactive Centre has been also set up at the BMW Financial Services India. The possibility of BMW employing 80 more new staff for its headquarter in Gurgaon has increased with it. In 2010, the BMW Financial Services was introduced in India to provide loans through its dealers to purchase cars and automobile insurance in India for the consumers. It happens to be a 100 per cent subsidiary of the BMW AG and it works as the Non-Banking Finance Company authorised from the Reserved Bank of India.
This new BMW Customer Interactive Centre is to aid the current as well as the prospective BMW consumer to receive the lavish experience of the BMW Brand. Professional executives equipped this centre provides financing leasing to the customers with asset management and insurance for the cars. It also gives the information of car pool to the consumers and dealer financing.
This added investment is to help the BMW to improve its product line and value added services in the subcontinent of India. With this the firm intends to take the leadership of BMW in India at a higher notch. BMW has recently made Mercedes-Benz dethrone from its current position in the segment of luxury cars. As per the sales graph BMW is currently the globe’s largest luxury car manufacturer and rolls out the genteel models, 7-Series, 5-Series and 3-Series range of the luxury sedans. It also has its range of SUV for the Indian automobile market such as X3 and X5.
The luxury car market in India is booming at a rapid rate as the volume of millionaires is increasing. The luxury cars are not only bought for the comfort but also as a status symbol in India. The expensive the car, the wealthier the owner is considered. BMW, Mercedes-Benz, Audi, Porsche are few of the luxury car brands operating in the Indian Automobile Industry for this niche segment. Initially the international brands were a bit apprehensive about venturing into the automobile market of India with their expensive line of cars but once they got in, they want to take over this particular segment. The entry of new companies and brands in the luxury car segment of India is the evidence of this latest emerging phenomenon.
With this fresh investment BMW will give its operations in India a boost to compete with the existing luxury brands of other international firms. The Indian firms like Tata Motors and Hindustan Motors are also getting into this race in an absolute manner after sometime offering some affordable luxurious models for the Indian consumers. If that happens then it would be very advantageous for the firm, the consumer as well as the economy of the nation for the revenue generated will stay in the nation.