Mercedes-Benz: Luxury car Companies ‘going long’ on India portfolio

Long-wheelbase or stretch luxury sedans of Mercedes-Benz, BMW and Audi among others are gaining traction among senior company executives and high net worth individuals, pushing automakers to increasingly roll out such vehicles. This reflects a rare bright spot in the Indian auto market where surging SUV sales have been eclipsing sedans for the past few years.

Such chauffeur-driven sedans are in vogue for their more spacious and opulent rear cabins and are also being viewed as mobile offices or lounges. They comprise models exceeding 5 metres in length and over 1.8 metres in width.

Last week, luxury car market leader, Mercedes-Benz India introduced the long wheelbase (LWB) version of its flagship E- Class sedan. Similarly, BMW India, which has the largest portfolio of long wheelbase sedans, introduced the LWB version of its 5-Series, with the company expecting the segment to become a key sales driver going forward.

Luxury car buyers drove home 8,000-8,500 LWB sedans in 2023, a 10-15% rise from a year earlier, as per industry estimates. Such models currently make up nearly a fifth of India’s luxury car market.


Mercedes E-Class LWB, BMW 3 Series GT, S-Class, and S-Class Maybach, 7 Series and Audi A8 L are some of the popular stretch sedans. With ex-showroom prices starting from ₹78.5 lakh to ₹92.5 lakh, the new generation E-Class is ₹2.5 lakhs pricier than the previous version and costs a significant ₹5.6 lakh more than its direct rival, the BMW 5 Series (₹72.9 lakh). India is the only right-hand drive market where Mercedes sells the E-Class LWB, and this is the second generation of the LWB version here.
Santosh Iyer, MD and CEO, Mercedes-Benz India terms the fascination among Indian buyers for LWB models as “rear dedication” during weekdays. “It’s a very big phenomena here,” he said. BMW launched its third LWB model-the new 5 Series in India on July 20. “The LWBs are giving us a lot of success and that’s where the growth is going to come from in the future as well,” said Vikram Pawah, president, BMW Group India. “It has really given us a fast start, so we can say that the LWB strategy is working for us,” he said, highlighting BMW’s focus on addressing customer’s need for space, comfort, and technology.

The trend towards extended wheelbases in luxury vehicles is considered as a strategic response to evolving market dynamics and consumer preferences, particularly in emerging markets. “This is notably pronounced in markets like China and India, where a significant portion of luxury car owners prefer chauffeur-driven experience,” said Ravi Bhatia, president, Jato Dynamics.

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