BMW India on Thursday launched its pre-owned car business, BMW Premium Selection, offering ‘carefully selected' and ‘comprehensively examined' luxury cars starting at Rs.16 lakh. “The pre-owned car business will play an important role in the success of the company in India...we expect the used car business to be about 10 per cent of new car sales,” BMW India President Andreas Schaaf told journalists here.
“Till October, we have sold 8,042 cars in India, accounting for 40 per cent of the luxury car market.
With the BMW Premium Selection, we are looking to enhance our position…a decisive factor in the development of pre-owned car business will be through establishment of exclusive and luxurious ‘BMW Premium Selection' showrooms of international standards at important commercial centres across the country,” Mr. Schaaf said.
Initially, BMW's pre-owned cars will be available at seven locations — Gurgaon, Ludhiana, Mumbai, Pune, Bangalore, Chennai and Hyderabad — and soon extended to other cities.
Mr. Schaaf said all cars selected under BMW Premium Selection are less than five years old and would have clocked under 1.2-lakh km. The pre-owned BMW vehicles come with up to two year/2-lakh km warranty (whichever is earlier), while the owners also have the option of taking round-the-clock roadside assistance. To push sales, BMW is offering 13 per cent finance rate on purchase of its pre-owned cars through its financial services arm — BMW Financial Services.
Commenting on the luxury car market condition, Mr. Schaaf said this segment was growing well till October, but since then the condition was getting difficult to push sales. “We had set a target of selling 10,000 units this year, which is becoming difficult now,” he added.