‘Porsche” enters Bangladesh market

[imtiaz82]

Luxury adorns city streets
Syed Tashfin Chowdhury

‘Porsche” has now entered the luxury car track like the BMW, Mercedes Benz, Lexus, Volvo and other famous names that has increased two-fold in the city in recent times.
Dealers in the city said that around 500 cars of these brands have been sold during the last two years.


Between 2002 and 2003, only 230 luxury cars were sold out, and now the demand has increased by almost 115 percent, said a dealer from Motijheel.

Executive Motors Limited, sole dealer for BMW cars in Bangladesh, has been successful in this business over the last three years.

"We sold over 190 cars in the past two years with around 165 transactions already complete and over 25 more units to be delivered to our customers," said Tayabul Bahar, General Manager, Executive Motors Limited.

The BMW showroom was put up in the Tejgaon Industrial area, three years back. In its first year, the dealer sold about 60 units.

"Most models sold were from the 3-series and 4-series. 5-series models were also selling but at a slower pace," said Bahar.

Last year, over 75 cars were sold from the showroom.

"Surprisingly cars from the 3, 4, 5 series had an equal demand with the 6 series creeping into the race," Bahar added.

This year, they have exceeded their annual target of 81 units.


Mercedes Benz, one of the most reputed global brands, is fighting a neck-to-neck battle with BMW in the Bangladeshi market.


"We have sold around 187 units over the last two years," said Md. Ariful Azim, Head of Operation, Rancon Motors Limited, the dealers for Mercedes Benz in Bangladesh.

Third in the race, is Lexus with over 120 units of reconditioned and brand new cars sold, and Volvo keeping close behind having sold 65 cars in 2003-04.

"We face problems with taxes and heavy transportation costs in shipping each unit all the way from Sweden," said Hanif A. H. Nasim, Sales and Marketing Manager, A1 Motors Limited.

Nasim said that unlike most luxury car dealers, who ship their cars through neighbouring or South Asian countries like India or Singapore, A1 motors Limited yet still import their merchandise directly from the manufacturer in Sweden.

"As such, the prices of each car are naturally quite high and this has caused a slump in the demand of Volvo cars in the city," he said.

The overwhelming demand is especially from upcoming business magnates according to these dealers.

"Young businesspeople and chief executive officers of leading business organisations in the age range of late 30s to 40s are our customers. They know much about the durability, luxury, performance, speed and other details of each variety," said Bahar, about BMW's customer base.


"They prefer to ride in style and elegance now and therefore the demand for luxury cars are increasing," said the Volvo sales and marketing manager.

And to sustain their customer base, most dealers ensure the best possible after sales service while some provide test drive facilities too, to potential customers.

Besides its impressive sale in the city, sources from Executive Motors Limited, told Star City that a large number of cars are also being sold to buyers in Sylhet, Chittagong and other parts of the country.

The whooping sales and services provided by most dealers have been highly appreciated by the original manufacturers.

"We were awarded 'the Best Facilities Award 2005' from BMW headquarters," said Bahar.

He further said that BMW is planning to initiate a plant in India by early 2007.

A1 Motors Limited on the other hand, is negotiating with the Volvo Head-Office in Sweden for discounted prices, according to company sources.

The lucrative market is opening avenues for dealers to bring in more brands like the Jaguar, Cadillac and Lincoln, which may hit the city streets next year or early 2007, said a dealer, on condition of anonymity.

http://www.thedailystar.net/2005/11/...1212502117.htm

Edited on, November 20, 2005, 7:19 PM GMT, by imtiaz82.