The German luxury car brand, Audi, has plans to double its Middle East sales through investments in showrooms and service centers. The luxury car maker is hoping to sale at least 20,000 vehicles annually with the investments that are currently bordering near to the $22 millions.
Managing director of Audi Middle East has confirmed the media about the company’s plan by stating that the investments have been already signed off and almost half of them have been cleared too. Audi is currently focusing on creating capacity in the Middle East and the projects are halfway done already. After this the company’s target is increasing its production volume and enhancing quality.
Together with the company’s local partners in the UAE, Audi has seven big construction projects under way which include showrooms and after-sale service facilities. Audi is working o double its workshop capacity in the UAE and has projects underway in UAE, Oman and also Qatar.
According to a member of the Board of Management for Finance and Organization in the company, Axel Stortbek, the company is focusing more on investing intensively for new products in the coming future. Audi, in terms of its investment of $22 million has signed off the largest investment program in the history of the company which spans not only new models but also global production facilities, showrooms and also after sale service facilities.
This extensive investment plan by the company will cover the next five years beginning from 2014. The investment amount will flow into innovation, expansion of the global production network and of course new models by the company. 70% of the total investment is made intended for the production of new models and introducing innovative technology with them.
According to the chairman of Audi, Rupert Stadler, Audi’s investment program is an essential aspect of the company’s growth strategy. The company achieved its milestone of 1.5 million deliveries worldwide in 2013 early than when it had planned and is now steering towards the next goal of 2 million deliveries worldwide. For this purpose plans of expanding the model line of the company from 49 to 60 new and innovative models by 2020 are already underway.
The company’s investment plan for the UAE will generate more job opportunities in the region. Audi has already created job opportunities for 700 people in Ingolstadt and Neckarsulm, whose training will begin somewhere in the mid of the current year.
According to the 2012 sales report the UAE alone made up 41 per cent of Audi’s total sales in the Middle East by selling a total of 3,819 units. The company sees this as an attractive opportunity to invest in the productive region where there are evident chances of growth as per the company’s growth plans.
A total of 11 new models, innovations and expansions in terms of capacity, showrooms and after sale service facilities with a total of around $2m, it looks like the company certainly knows what its doing and how fast it will reach its next milestone.
