German luxury carmaker Mercedes-Benz has announced that it will increase the price of its cars in India by up to 3 per cent from January 2020.
The automaker attributes the price hike to reasons like increase in commodity prices and the rise in input costs. Price hike of the cars will be varied across models of the brand.
Commenting on this decision, Martin Schwenk, Managing Director & CEO, Mercedes-Benz India, said, “We have been reviewing the various cost escalations, including the rise in the commodity and input costs that have been exerting pressure on our bottom line."
He also said, "To run a sustainable business and protect our customers’ investment in the brand, there is a need to offset the impact of these rising costs through a moderate price correction. Though we have been absorbing the majority of these, we are left with few options but to pass on some of the additional costs to our customers.”
Schwenk further added, “Despite this moderate price revision, the innovative and tailor-made financial offerings from Mercedes-Benz Financial Services like Star Agility+, Wish Box, Star Finance etc that are specially curated for our discerning customers will support them in bringing home their cherished Mercedes-Benz. 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 will further elevate the customers’ overall ownership experience” he concluded.