India’s luxury car market is witnessing unprecedented growth, with over six vehicles priced above ₹50 lakh sold every hour in 2024—triple the rate seen five years ago. Estimated sales of 50,000 units this year mark a record high, driven by an expanding affluent base and robust demand.

Key Highlights:

  • Top Performers:
    • Mercedes-Benz: Nearly 20,000 units sold in 2024, a 13% increase, with further growth expected through new launches.
    • BMW India: 10,556 units sold (Jan–Sept 2024), a 5% rise.
    • Audi India: Sales dipped 16% due to supply issues but anticipates recovery in 2025 with a refreshed lineup.
  • Future Outlook:
    Automakers plan to launch over 25 new models in 2025, with sales projected to surpass 53,000 units despite a moderating growth rate.
  • Affluent Consumer Growth:
    According to Knight Frank’s Wealth Report 2024, India’s ultra-high-net-worth individuals (UHNWIs) are set to rise by 50% between 2023 and 2028, signaling untapped potential in luxury car sales.

Despite luxury cars comprising just over 1% of India’s automobile market, the increasing demand from Tier II and Tier III cities underscores vast growth opportunities in the high-end automotive sector.