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Car buying trend in New Delhi...

08 March 2016, 09:54 AM

Delhi, the capital of India, is the second populous city of India after Mumbai and largest in terms of area. For many decades now, Delhi has witnessed growth in terms of economy, infrastructure, human development and industry. Of all major industries that have established their presence in Delhi, the car market, in particular, has made significant progress with showrooms of major brands present in the city. A high percentage the India's car manufacturing industry is based in the northern cluster, which includes the National Capital Region. The biggest car companies have their production facilities based around New Delhi, which is quite feasible as cost gets reduced due to easy availability of labour.

Being a metropolis, Delhi is home to people from almost every part of India, who migrate here for better work opportunities. As a result, companies from all over the country see Delhi as key area of their operations. The continuous economic progress along with more business and employment opportunities have attracted a high number of people from nearby states like Uttar Pradesh and Haryana to shift their base to Delhi. The population of Delhi comprises people from the business class, job oriented groups and government officials, to name a few. Incomes of people living in Delhi directly influence the mode of transportation they choose to travel by. There are almost 70 lakh vehicles in the capital and 11 lakh vehicles make way into the city on daily basis, which is much bigger count as compared to other three metros altogether.

For some, owning a private vehicle is a luxury they can not afford, while for others, it is more of a status symbol, which signifies their progress. However, Delhi, due to its high population, has a large number of private car owners. One can find numerous families in Delhi who own multiple vehicles, sometimes as high as three or four. These sort of buying trends have resulted in a remarkable growth in the number of vehicles on Delhi roads. Industry experts believe that some people buy cars due to lack of proficiency in the public transport system, a premise that is highly questionable. Nevertheless, Delhi is a big market for all car makers operating in India, which can be seen by the high number of launches held in the city. Statistics show that cars sold in Delhi in the past 6 months include the likes of Hyundai Santro Xing, Maruti Suzuki WagonR and Tata Indica, amid others. Apart from this, some people in the national capital also have a preference for purchasing cars from luxury brands like Mercedes-Benz, Audi and BMW. In fact, if someone was to take a tour of the entire city, he or she would be able to spot cars like Bentley, Lamborghini and even a Rolls Royce.

The capital city is mainly divided into two parts, namely New Delhi and Old Delhi. Though the old part of Delhi is lined up with boisterous markets, it is mainly congested due to the presence of narrow by-lanes and streets. On the other hand, the new half of Delhi boasts of modern day infrastructure and has a network of by-orderly planned roads, which are wide, smooth and favourable for driving. Since Delhi is a huge city, commuting from one part to another can sometimes be a tough task due to the long distance. To ensure that citizens do not have a problem, a network of flyovers has been created throughout the city. As a result, traffic conditions have enhanced and people do not mind driving cars for long distances. Some of the most popular parts of the Delhi road network include Ring Road, Delhi-Gurgaon Expressway and DND Flyway (Delhi-Noida).

A certain pattern can be spotted in trends in the mode of transportation chosen by people living in Delhi. People living in this city have an affinity for purchasing more than one car because of a number of reasons. However, due to the presence of a strong public transportation network, numerous people prefer travelling by buses or metro. People living in areas like Old Delhi have a tendency of taking public transport to work in order to avoid the strains of driving a car. On the other hand, the population of South Delhi, because of good roads and traffic conditions, choose to travel by cars. The augmenting traffic congestion on Delhi roads can mainly be blamed on the poor traffic management and a substantial increase in the number of vehicles purchased. The tremendous growth in the number of private vehicles, in particular two-wheelers, has further added to the increased congestion on roads.

Delhi is also an important region for companies from a marketing point of view. Home to a number of Multi National Corporations from around the globe, Delhi witnesses numerous corporate events throughout the year. This gives firms a chance to showcase their vehicles to the public, which include their targeted customer base as well. Apart from this, a lot of people are employed in these big companies, which needs them to have their own car fleet for transportation of employees and delegates. Tourism is also an important aspect of Delhi as a city with people from all around the country visiting the city. Thus, several tour and travel agencies are present in Delhi, who own a fleet of vehicles, which constantly keeps the demand for cars high.

If we put facts and figures into perspective, then it would be safe to say that Delhi is a big market for almost all car companies operating in India. Factors like good standard of living, great roads or people's love for cars have all contributed in Delhi becoming one of the centres of operation for companies. Apart from this, Delhi shares its borders with Noida and Gurgaon, cities which have been on a rise in the past decades. These cities have some similarities to Delhi in terms of lifestyle, standard of living and infrastructure. Thereby, it is really convenient for firms to base their strategies with Delhi as their focus, which automatically attracts customers from Noida and Gurgaon.

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