German auto giant Audi has said that the premium luxury car maker will float its own finance arm by the first quarter of 2011.
Audi India director Michael Perschke told reporters that the company, which retails luxury sedans and sports utility vehicles in the market would float its finance arm. “By the first quarter [of 2011] you will also see the finance arm,” he said in Chennai.
Audi Chennai chief executive K. Subramanian said besides providing their own finance option to customers, Audi has also tied-up with various finance companies.
This is a welcome move by the luxury car maker. With the average age of luxury car customers going down to about 35 years from 50 years and above a decade ago, the finance arm will open up a lot of prospective customers to the Audi brand. These are presumably those who are moneyed, but need that little extra bit of financial help to acquire a premium luxury car. And Audi is ready to oblige.
Volkswagen has also opened its finance division and has already got it registered as Volkswagen Finance. Audi will operate its finance business separately from its car business, Perschke added, saying that the projected sale volume for 2011 is 4,500 units against 3,003 units achieved in 2010.
Audi’s latest launch in India was the Audi R8 4.2 FSI at a price of Rs. 1.32 crore and this too will be available through the finance arm.
The Audi R8 5.2 FSI is made available in India with two gearboxes on offer. There is a manual 6-speed gearbox and Audi’s R-tronic gearbox. Under the hood of the Audi R8 lies a powerful 4.2L FSI petrol engine, which pumps out maximum power of 420 bhp @ 7800 rpm and maximum torque of 317 Nm @ 4500-6000 rpm. The car accelerates from rest to 100 km/h in just 4.4 seconds and promises to deliver a top speed of 301 km/h.