Bharat Benz'sCV sales in first quarter soar

Daimler India Commercial Vehicle Pvt. Ltd. (DICV), the 100% wholly-owned subsidiary of the CV manufacturer Daimler AG, today announced that it had crossed the 10,000 units sales mark for its trucks. The milestone was achieved after just 18 months from the launch of the first truck.

In addition to this, the company sold 1000 units in March 2014. Bharat Benz grew by 67% in the first quarter of 2014 (company functions according to the calendar year and does not follow the business calendar). During the period January to March 2014, the company sold 2203 units as compared to 1316 units during the same period in the previous year.

Speaking to NDTV Mr. Marc Llistosella, Managing Director & CEO - DICV said that 2014 will be a consolidation year for the entire industry, and the CV industry is expected to see positive sales only by 2016. He added that the second quarter will likely hold a lot of uncertainty.

The commercial vehicle industry has been suffering because of the overall market slowdown, and the recent reduction of excise duties has not done enough to encourage sales.

Bharat Benz currently has 71 dealers in the country and is looking to ramp up the network to 80 by the end of this year. The company has a strong presence in southern India with a 51% market share across the region. Kerala accounts for about half those sales.

Bharat Benz credits the growth to its transparent pricing policy. It is in fact the only CV manufacturer which doesn't offer any discounts on its vehicles. It's a good start for Bharat Benz and with its top leadership all set to change in June, there may well be a change in strategy going forward.