Despite considerably cheaper ownership cost of pre-owned Mercedes and Audi cars, their counterparts from the BMW stable command a premium, according to an industry report. Total cost of ownership of a luxury car is expected to be over 60% of the on-road car price after three years, it said, adding residual value and total cost of ownership are important parameters for luxury car buyers. Citing a survey, the report said the domestic luxury car segment is still in its nascent stage with only Mercedes-Benz, Audi and BMW brands dominating over 90% of the market. The report warned the demonetization drive will have an adverse short-term impact on sales of both new and pre-owned luxury cars. Online searches for luxury cars account for close to 7% of total luxury car searches compared to 1% share of sales they represent, the report added.

Source: dna November 25, 2016 03:38 UTC