India’s largest luxury carmaker Mercedes-Benz India today announced an upward revision of the price of its entire model range effective from September 1, 2018. The price correction would be up to the range of a moderate 4% varying across the model range. The rising inflation due to geo-political dynamics, coupled with rising input costs and increasing forex rates has been exerting significant pressure on overall operations. While the INR has depreciated by more than 5% against the Euro in last 8 months, the Repo rate has gone up by 0.5% in last couple of months. The combination of all these factors led Mercedes-Benz India to upwardly revise the prices of its entire model range and also the retail finance rates.
Roland Folger, Managing Director & CEO, Mercedes-Benz India commented,
As the leading luxury automobile maker in India, we have been relentlessly working on offering the best of products and industry benchmark customer service and ownership experience. This is the very philosophy that led us to maintain our steady price positioning over the last few months. However, a steady rise in input costs against the backdrop of an unfavorable forex rate and high inflationary cost together, have had a significant impact in the recent past. We have been watching this trend cautiously and avoided any price changes in the recent past. Considering the rapid depreciation of the rupee against the major currencies in last few days, we were left with fewer options, but to make some necessary price adjustments to our product range at the moment.
However, despite this moderate price revision, the innovative and tailor-made financial offerings from Mercedes-Benz like STAR Agility, STAR Finance, STAR Lease, Corporate STAR Lease etc. are specially designed for our discerning customers to drive home their dream Mercedes. These unique solutions provide benchmark value proposition, enabling a hassle free purchase. Similarly, our service programmes like STAR Ease, STAR Care, STAR Care Plus and On Road Assistance programmes further elevate the customer’s overall ownership experience.
Mr. Folger added.
The company’s STAR Finance schemes give tailor made financial solutions, while ‘STAR Supersonic’ scheme also provides extremely fast loan approval in merely 30 minutes. STAR Agility is another unique and innovative product from Mercedes-Benz Financial Services, which offers 35 to 40% lower EMI than regular finance products, thus enhancing the flexibility and affordability of owning a Mercedes-Benz. Different aspects of the vehicle ownership ranging from finance, leasing and insurance to roadside assistance, cost of service, repairs and even residual value have been optimized under our financial solutions. One of the highlight offerings is the unmatched interest rate starting from 7.99% for the New Generation Cars.
Mercedes-Benz India also offers highly affordable service packages and Extended Warranty Programmes, which are industry benchmark. Under the STAR CARE programme, warrantable repairs up to 3 years are free of cost without any mileage limitations. This is offered standard with ever purchase. Star Care Plus offers 4th year extended warranty, which further enhances the resale value. STAR EASE covers essential jobs related to periodic service along with coverage for brake pads, brake discs, wiper blades, wheel alignment and balancing for the contracted period. Mercedes-Benz India is the only luxury carmaker to offer the On Road Assistance (ORA) Package as a standard offering for 3 years. This can be purchased for a 4th and 5th year individually. Customers will also be delighted with the introduction of a host of new service programmes. The objective behind the new customized packages for different models of cars will ensure that the ownership experience is hassle free and guarantees complete peace of mind.