Mahindra has formally announced its foray into the luxury pre-owned segment in India. The new brand, which has been christened as ‘Edition’, will come under the Mahindra First Choice Wheels (MFCW) arm of the company. Mahindra claims it to be the first premium used cars franchise network in India. The first store of the ‘Edition’ brand was inaugurated in Juhu, Mumbai with luxury offerings like Mercedes Benz, BMW, Audi and Jaguar on display.
With the Edition brand, Mahindra plans to not only expand MFCW’s product portfolio but also target a new customer base. MFCW also plans to open 5-6 more new Edition outlets this quarter and has set a target of retailing around 10-12 cars per outlet per month.
Group President Rajeev Dubey (HR & Corporate Services) and CEO (After Market sector), commented on the occasion and said,
Aspirational buyers with rising disposable incomes are increasingly looking to upgrade to premium car brands. ‘Edition’ offers them a unique opportunity to acquire their favorite car brand at a much more accessible price.
Also present on the occasion was Ashutosh Pandey, CEO, Mahindra First Choice Wheels, who commented,
Edition will help to drive our future growth by expanding our product portfolio and giving us access to an entirely new customer segment. We are expecting to open 5-6 more outlets in this quarter and are going to retail around 10-12 cars a month per outlet.
Currently, MCFW is among the top certified used car companies of India. It consists of 1,200 outlets in 500+ Indian cities, offering certified used cars to customers. One of the reasons for its popularity is that the company provides warranty and a comprehensive 118-point quality inspection and refurbishment program on the cars it sells.
MFCW also claim that they are the leaders in the online auction segment with their gross merchandise value of $1 billion. During a press interaction, company executives revealed that the company sold 2,40,000 cars in the previous year and 1,60,000 cars in the year before. The brand aims to cross 3,00,000 units this year.
The company reportedly had raised Rs 1,674 crore funding from Silicon Valley-based hedge fund, Valiant Capital and Cox Automotive. The ‘Edition’ brand aims to hit 5,000 functional stores by next five years in India.