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Car Buying Trends In Bangalore...

08 March 2016, 09:57 AM

India is a fast developing country with vast population that is quite diverse in terms of living standards, occupation, income and choices. Needless to say, some cities in the country have galloped ahead of others in terms of economic and industrial progress. With time, more and more cities are making their way up the charts to become centres for industrial growth in respective

regions. Bengaluru, formerly known as Bangalore, is one such city that has seen a tremendous amount of progress in the past few decades. It has risen to become the technology hub of the country, becoming the home to offices of some top notch corporates in the world. This progress has been the result of terrific infrastructural development, including civic amenities, roads, buildings and market places. Interestingly, there is a high number of cars in Bangalore, which are quite different in terms of brands, prices and types.

To understand the kind of demand of cars in a particular city, one first has to analyse its demographics and make observations. Statistics have suggested that Bangalore was the second fastest growing metropolis in India during the period 1991-2001. As of 2011, Bangalore is reported to have a population of around 8.5 million, which automatically indicates the high number of cars sold in the city. Firstly, one would need to analyse the kind of requirement the people would have in terms of cars. It is a known fact that Bangalore is a hub for the information technology sector, which makes the city one of the most prominent centres for commerce in India. Companies like Deloitte, Accenture, Cisco, Dell, Yahoo!, Microsoft and numerous others have their corporate offices in Bangalore, which depicts the city's prowess.

An automatic implication of all these facts and figures is the population of educated and working class people present in Bangalore earning respectable incomes. Auto makers in the country are always looking ahead to make such places their centres for generating volumes and increasing market share. A recent survey suggested that people working in MNCs have a tendency of choosing a car as their primary mode of transport. This factor has made Bangalore an important strategic location for firms like Maruti Suzuki, Hyundai, Toyota, Tata Motors and Mahindra & Mahindra. Hatchback is, by far, the most popular segment of the Indian car market, a fact that can be quantified by statistics suggesting its dominance. Notably, India's top two auto makers, Maruti Suzuki and Hyundai, rely heavily on their hatchbacks for maintaining market share and generating sales. Bangalore, as a result, has become a city with a high number of hatchbacks running on its roads. Analysts feel that this is an automatic choice, given the kind of suitability a hatchback has for a metropolitan city. The biggest USP of a hatchback is its driveability, which makes it easy to manoeuvre around in congested traffic conditions.

A large section of people in Bangalore, especially the working class, prefer travelling by cars. There are several reasons that can be attributed to this trend, which has raised the demand of cars in the 'Silicon Valley of India'. To start with, Bangalore public transport system is not as efficient, given the kind of stature the city has in terms of modernisation. Bangalore's rickshaw system is not organised enough and is insufficient to cater to the needs of locals. Secondly, the metro line, according to reports, covers only around 3 per cent of the entire city area, thereby leaving a large part of the city out. Along with these, Bangalore has a high density of population and top of that, there are a lot of inner roads. To avoid walking for long distances, people in Bangalore prefer travelling by their cars.

Apart from being a commercial hub, Bangalore has a number of prominent educational institutions. This makes the local population a mix of students, professionals, businessmen and working class. Thereby, the demand in types of cars varies drastically, from hatchbacks to luxury cars. On one hand, there are people who drive the likes of Maruti Suzuki Swift, Hyundai i10 and Ford Figo. However, there is a section of buyers that purchases luxury cars from brands like Mercedes-Benz, Audi, BMW, Volvo and Jaguar Land Rover. If anyone would take a look around the city, they would be overwhelmed to see numerous luxury cars zooming past locales. This diversity in the choice of cars makes Bangalore a great centre for all car companies, be it the ones that cater to masses or the ones that have a niche market.

Industry and tourism are two of the most important aspects about Bangalore as a city. Since there are a number of corporate offices in the city, companies hire or purchase their own fleet of cars for employee transportation. In most cases, cars like Chevrolet Tavera, Tata Sumo, Toyota Innova and Tata Indica are used as modes of commuting for the corporate working class. Bangalore has a perfect blend of good weather, cultural heritage and modern-day infrastructure. Due to this, the city sees a lot of tourist activity throughout the year. The tourism industry depends greatly on the kind of transportation system has. There are several tour and travel agencies across Bangalore, which provide services to tourists for sightseeing of attractions and popular hangouts. This, again, boosts the demand for cars in the city.

To put things in a nutshell, Bangalore, the capital of Karnataka, is one of the busiest cities in India, be it in terms of trade, commerce, tourism or education. As a result of the culmination of all these factors, the city has a pretty high demand for cars. The population of Bangalore, comprising locals, students, businessmen, working class and professionals, has a preference for travelling in cars. Reasons like lack of an efficient transportation system, compact roads and a large population of car enthusiasts combine to boost the rising demand for cars in Bangalore.

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