Chandigarh: Swedish car maker Volvo on Tuesday said the size of luxury car market in India is expected to grow by over 50% to 20,000 units in current year against last year’s market size.
“I feel the size of luxury cars (priced over Rs 20 lakh) here (in India) is expected to be 20,000 units in 2011, against 13,000 units in last year,” Volvo Auto India MD Paul de Voijs told reporters today during the launch of its S60 version.
Describing India as a potential market for luxury cars, Voijs said the luxury car market would account for 3% of total passenger cars here by 2020 with expected volume of 1.50 lakh units.
“During last five years, the luxury segment here grew from 0.16% of total car market to 0.60% in 2010. And now it has grown to 0.70% in till February this year,” he said while emphasising on steady growth in luxury car market in India.
Volvo sold 130 units in Indian market last year, he said while refusing to share detail regarding company’s expectation in terms of volume from the market this year.
Volvo, which entered India three years ago, has plans to expand its dealership network in five cities, aimed to strengthen its position in the luxury segment here. “We will open new dealerships in Bangalore, Chennai, Kolkata, Jaipur and Ahmedabad this year,” he said.
The company presently has network in Delhi, Mumbai, Chandigarh, Coimbatore, Hyderabad, Kochi and Pune.
“New Delhi, NCR are the biggest market for us, followed by Mumbai and Hyderabad,” he said.
Volvo has currently four premium models XC90, XC60, S80 and S60.