German luxury car manufacturer Audi has revealed plans to increase the prices of its vehicles by up to 2% effective January 1, 2024. This decision is attributed to the escalating input and operational expenses faced by the company.
The upcoming price adjustment will apply to the ex-showroom prices of Audi India models, ensuring a 2% increase from the beginning of the new year. Balbir Singh Dhillon, Head of Audi India, emphasized the brand’s commitment to achieving profitability through a sustainable business model. He stated, “Due to rising supply-chain-related input and operational costs, we have effected a price correction across our model range, maintaining the brand’s premium price positioning.”
Dhillon further explained that the price correction aims to support sustainable growth for Audi India and its dealer partners. The company is dedicated to minimizing the impact of the price hike on customers, ensuring continued satisfaction.
Despite the forthcoming price adjustment, Audi India has experienced remarkable success, registering an 88% growth with the sale of 5,530 units in the first nine months of the year. Notably, Audi boasts the widest electric vehicle (EV) portfolio in its segment. Additionally, Audi Approved: plus, the pre-owned car business, achieved a significant 63% growth from January to September 2023.
Balbir Singh Dhillon, in a previous statement to Business Standard in August, confirmed Audi’s commitment to launching the next generation of their internal combustion engine (ICE) portfolio over the coming years. These models will continue through their estimated life cycles of eight to nine years. Following this period, Audi will transition to focusing solely on electric models.
The SUV range from Audi witnessed an impressive 187% growth during the January to September period. Key contributors to this growth were the successful launches of the new Q8 e-tron, Q8 Sportback e-tron, Q3, and Q3 Sportback. The ongoing demand for models like A4, A6, and Q5 also played a significant role in boosting sales.
The company experienced a strong third quarter, accounting for 37% of total sales for the year. Sales figures for the January-March quarter were 1950 units, followed by 1524 units in the April-June quarter. Notably, sales increased to 2056 units in the July-September period, reflecting the positive momentum for Audi India.
