Lexus may be launched in India
12-03-07, 02:19 PM
#1
Lexus Champion
Thread Starter
Lexus may be launched in India
http://economictimes.***************/...ow/2593202.cms
Alfa Romeo, Hummer & Lexus to hit Indian roads
MUMBAI: India’s big bucks are beckoning autoville’s global premium makes. Car majors Fiat, General Motors and Toyota are planning to test-mark their luxury marquees, the Alfa Romeo, Hummer and Lexus, respectively, in the next 12-15 months on the back of rising consumer spends and the rapidly growing premium car market.
The car majors are, currently, doing the feasibility studies and the products are being adapted to suit the Indian market. Since these luxury brands will be brought in through the CBU (completely built unit) route, pricing will be at the higher end and the numbers will be initially small. The customs duty for imported cars stands at over 110%. Car makers want to showcase their hi-end brand technology through the launch of these models.
[...]
Japanese car maker, Toyota does not rule out the possibility of launching its high end Lexus brand. Although the volumes will be low, even at that price point we will require a dedicated dealer network, Toyota Kirloskar deputy MD KK Swamy said.
The luxury car segment is still a very small fraction of the entire Indian car market with players like BMW and DaimlerChrysler selling 134 units and 251 units, respectively, in the April-October period.
With many more auto players planning to launch products in the luxury segment, this segment is likely to see much more numbers in the coming months, industry sources said.
MUMBAI: India’s big bucks are beckoning autoville’s global premium makes. Car majors Fiat, General Motors and Toyota are planning to test-mark their luxury marquees, the Alfa Romeo, Hummer and Lexus, respectively, in the next 12-15 months on the back of rising consumer spends and the rapidly growing premium car market.
The car majors are, currently, doing the feasibility studies and the products are being adapted to suit the Indian market. Since these luxury brands will be brought in through the CBU (completely built unit) route, pricing will be at the higher end and the numbers will be initially small. The customs duty for imported cars stands at over 110%. Car makers want to showcase their hi-end brand technology through the launch of these models.
[...]
Japanese car maker, Toyota does not rule out the possibility of launching its high end Lexus brand. Although the volumes will be low, even at that price point we will require a dedicated dealer network, Toyota Kirloskar deputy MD KK Swamy said.
The luxury car segment is still a very small fraction of the entire Indian car market with players like BMW and DaimlerChrysler selling 134 units and 251 units, respectively, in the April-October period.
With many more auto players planning to launch products in the luxury segment, this segment is likely to see much more numbers in the coming months, industry sources said.
12-03-07, 02:49 PM
#2
Moving to India may not be profitable enough for Toyota/Lexus to do it.
But then again, if Lexus becomes iconic in India just like any Italian or German marque, perhaps just having it present in the market may give it enough brand name recognition to evolve nicely in the future.
But then again, if Lexus becomes iconic in India just like any Italian or German marque, perhaps just having it present in the market may give it enough brand name recognition to evolve nicely in the future.
12-03-07, 03:35 PM
#3
Lexus Test Driver
I think Toyota's thinking ahead for India (if they decide to launch)
as an emerging market with a HUGE base of intellectuals--India could and probably will be the next silicon valley...
as an emerging market with a HUGE base of intellectuals--India could and probably will be the next silicon valley...
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12-03-07, 07:56 PM
#8
Lexus Test Driver
Judging from the gaining popularity of Lexus in Pakistan (imported by private companies), I'm sure there will be a market in the bigger economy next door. Even if they just set up in Mumbai and New Dehli, I think they could sell at least 2-300 cars a year off the bat.
12-03-07, 08:09 PM
#9
True story, there is no official dealership network in the country, and the only way to get a Lexus is to hit up other parts of Asia, or more likely import one from the Middle East.
11-28-11, 06:35 PM
#11
2013
New Delhi: Encouraged by the demand for luxury cars in India, Japanese car maker Toyota Motor Corp. is set to introduce the Lexus brand in the country in 2013, according to 2 people familiar with the plan.
Top officials from the company’s Indian subsidiary are in Japan for a briefing about the project. They were not available for comment. A spokeswoman couldn’t be reached on her phone.
Shekar Viswanathan, deputy managing director (commercial) at Toyota Kirloskar Motor India Pvt. Ltd, said, “We want the Lexus brand to come to India, but I cannot give you any time frame.”
According to a person directly involved in the discussions, an announcement was likely to be made in Japan on Monday. The person did not want to be named. There was no announcement at the time of going to press.
The Lexus range of luxury sedans and sport utility vehicles (SUVs), which have a strong following in India, will have its own dealership network.
“We will be following the global practice as far as dealerships are concerned,” said another person familiar with the development. “The company does not want to dilute the brand quotient.”
While the Lexus models to be sold in India will be completely built-up units, it is unclear what models will be launched in the country.
Globally, the brand competes with Bayerische Motoren Werke AG (BMW), Mercedes and Audi AG.
Launched in 1989 in Japan, Lexus soon became America’s best-selling brand of luxury motor vehicles.
While the Indian luxury car market forms less than 1% of the total car market, increased income levels saw the segment growing 70% in 2010. In 2011, most luxury car makers have defied the slowdown that has hit the rest of the industry and have surpassed the previous year’s numbers.
Around 15,000 luxury cars were sold in India in 2010, and 20,000 units are expected to be sold this year.
According to BMW India president Andreas Schaaf, the Indian luxury car market is set to increase 10 times to 150,000 units by 2020.
“They will have to look at it from a long-term perspective. The sales numbers in the 1st year of operations may not be good, but this segment will continue to grow in future,” said Abdul Majeed, auto practice leader, PricewaterhouseCoopers, a consultancy firm. “They can’t ignore the market. It is better to come to India as soon as possible and start building the brand.”
Toyota is also considering a finance arm to boost its sales in India.
“With Toyota Financial Services coming in, the company should be able to ramp up sales of all its brands in India,” said the person quoted in the 2nd instance.
Volkswagen AG, Mercedes-Benz India Pvt. Ltd and BMW India have finance arms, although they also have pacts with banks and other financial institutions.
11-28-11, 08:12 PM
#12
Moderator
Wow, Lexus entering Mexico and now India. Lexus is dead serious on taking on the world...congrats to Lexus and may India and Mexico enjoy Lexus...
.... indians love their Lexi! (I would know! 
11-29-11, 04:54 AM
#15
Lexus Champion
I think Lexus boosting its international presence is obviously a good thing. With increasing economic growth in India, this translates to more money in pockets of the locals hence more spending power.
Though I loled when they mentioned Hummer in India. I mean, how can such a huge mammoth vehicle navigate through narrow roads filled with people, cars, 50-year old taxis, two-wheelers.......and cows
Though I loled when they mentioned Hummer in India. I mean, how can such a huge mammoth vehicle navigate through narrow roads filled with people, cars, 50-year old taxis, two-wheelers.......and cows