Having filled a critical gap at the entry-level with the Q3 and Q3 Sportback, Audi India has seen its SUV sales shoot up to 60 percent of its overall sales in the first six months of 2023. Growing GDP and democratisation of the luxury car market across a wider customer segment – i.e. professionals, start-up founders, corporates, businessmen, especially the younger population – has helped Audi grow its SUV sales by over 217 percent, albeit on a low base, in the January to June 2023 period.

1. SUVs make up 60 percent of total Audi India sales
2. Audi to launch 20 EVs globally by 2025

Balbir Singh Dhillon, head of Audi India, says the Q3 and Q3 Sportback have brought in a lot of entry buyers and that has helped the brand grow its SUV sales. The Q3 was launched in India in August last year, while the Q3 Sportback was launched in February 2023. "The share of SUVs has moved up from 50 percent to 60 percent of our overall sales. The Q3 has brought in a lot of excitement in the brand with customers coming from across geographies and profiles," added Dhillon.

Led by its SUV line-up’s strong performance, Audi India was able to post 97 percent growth in the first half of this year – it delivered 3,474 new cars compared to 1,765 units in the same period last year. Dhillon is confident of ending the year on a high double-digit growth.

Audi India's shift towards EVs

Audi India had consolidated its operations for a couple of years post BS VI, deciding to exit the diesel market, but the carmaker has made a rapid recovery led by younger buyers who are looking for petrol SUVs. "We did see the impact of the decision on our volumes for the first two years, but now the tide is fast shifting towards petrol and EVs – a key strategic call we took in 2020. It was tough to begin with, now it is going in line with our vision. Pre-BS VI, the share of diesel was 80 percent, this has come down to almost 40 percent. As the shift towards EVs gathers momentum, the share of diesel should further fall," added Dhillon.

As for electric vehicles, the head of the Audi brand in India says it will be a slow and steady rise. "We have to be patient, it will take time. All manufacturers including us are doing their bit on introducing products and developing the infrastructure. We need high-speed chargers on the highways for the adoption to gather speed. We will have to continue to invest."  

Dhillon says, globally, Audi has plans of launching 20 EVs by 2025 and India will see some key models being introduced at a later date. "There are EVs coming in the mid-price and entry-price segment, we are also considering assembly of EVs, but all that will happen gradually. The shift towards EVs is a given and we will strongly participate," added Dhillon.