Companies

Mercedes-Benz to hike prices of select models from October

Nandana James Mumbai | Updated on September 14, 2020 Published on September 14, 2020

Martin Schwenk MD and CEO Mercedes-Benz India

Cites weakening of rupee coupled with higher input costs as main reasons

Citing the weakening of the currency and a sharp increase in the input costs as reasons, Mercedes-Benz India on Monday announced an upward revision of the price of its select model range. The price correction would be up to the range of two per cent, varying across the select model range, and will be effective from the week of October.

The weakening of the Indian currency compared to the euro since the past six to seven months, combined with an increase in input costs have been exerting significant pressure on the overall operations, Mercedes-Benz, which is the largest luxury car maker in India, said in a statement.

“Mercedes-Benz also has been introducing new technologies and features like ‘Mercedes Me connect’ across its product portfolio, making them enhanced and updated. The combination of all these factors led Mercedes-Benz India to correct the prices of its select model range,” it added.

“The weakening of the currency since the beginning of the year, combined with a sharp increase in the input costs have been a matter of concern, creating significant pressure on our bottom line. To offset these costs and drive sustainable business, we have few options but to make some nominal yet necessary price adjustments. We as a customer-centric brand will be absorbing most of the impact, however passing on a portion of it up to two per cent, seems inevitable,” said Martin Schwenk, Managing Director & CEO, Mercedes-Benz India.

“Despite the nominal price revision, our specially designed financial programmes like Wish Box 2.0 and a host of service packages will enable the discerning customers to drive home their favourite Mercedes-Benz and enjoy the vehicle ownership associated with Mercedes,” added Schwenk.

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Published on September 14, 2020
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