Luxury carmaker Porsche launched a 2.0-litre petrol variant of the Macan SUV in India recently at Rs 76.84 lakh (ex-showroom, Maharashtra), a whopping Rs 30 lakh cheaper than the next Macan in the line-up, the S Diesel. Consequently, the more affordable Macan is likely to introduce a whole new segment of customers to Porsche, according to the company.
The aggressive pricing has been possible because the Macan now comes in a low duty bracket due to its smaller engine and lower import price. In India, carmakers can take advantage of tax breaks on vehicles powered by sub-3.0-litre engines costing below US$ 40,000 CIF (Cost, Insurance and Freight) on CBUs.
“The taxation and custom duty structure allow some rebate for smaller engines, and this is how the Macan gets some benefit which is passed on to the customers,” said Pavan Shetty, Porsche India director.
However, he added that the lower price, which is just an outcome of the duty structure, would not be the only draw for potential customers. “Porsche is not about getting the price cheaper… We are a premium sports car company and even with the Macan 2.0-litre petrol, we are at a premium by a huge margin in the segment it operates in. The Macan would also attract aspirational car buyers who’ve always wanted a Porsche.”
Porsche is enhancing its focus on “experiential marketing” to reach out to car buyers not just in metros but also in Tier II and III cities where it doesn’t have a showroom. It aims to do so by organising test drives and customer.
“For a customer in Bhubaneshwar, which is far to the east, our Kolkata dealer will do an event or service clinic once in two months or as per requirement. For instance, to reach out to customers in Jaipur, a dealer in Ahmedabad will conduct events,” said Shetty, adding that Tier II and III towns constitute nearly 25 percent of Porsche’s total sales. In fact, while opening a dealership, Porsche focuses on how the dealership can operate as a hub for surrounding cities in which it is not present yet. The carmaker currently has six dealerships and eight service centres in the country at major cities such as Mumbai, Gurgaon, Ahmedabad, Bengaluru, Kolkata and Kochi. It plans to expand to Hyderabad and Chennai next year.
Also read: Porsche Macan 2.0 petrol review