BMW to see slowest growth in 2012

According to khabarkhodro، BMW, the leader in the luxury car market, has said that 2012 will see the "slowest growth" for the company since its India debut in 2007 as competitive pressures and weakening economy dampen demand. Andreas Schaff, president of BMW India, said new purchases are hard to come by as it is getting difficult to convert customer inquiries into sales.

"We do not expect growth to be beyond single digit this year, somewhere in the range of 5%," Schaff, who is set to move out of the Indian market later this year, told TOI. "If the market is good, the maximum we can grow is 10%."

BMW's volumes have slipped 1% in the first half of 2012. The caompany is facing tough times as its rivals are moving aggressively. Audi is breathing down BMW's neck and its sales have grown 43% in the January-June 2012. Tatas-owned British luxury brand Jaguar Land Rover (JLR) is also expanding.

Schaff admits that competitive pressures exist, but adds that BMW is confident of maintaining its edge. "The competition in the market is fierce. Also, people want to experience different products, a fact we do recognise." The company is confident that new launches and other marketing innovations will add momentum to its numbers. The most notable of the launches has been the new-generation 3-Series sedan that hit the market earlier this month