Tata Motors, M&M to expand, spruce up retail networks

The subdued passenger vehicle (PV) sales for the past few quarters have not come in the way of retail network expansion by the original equipment manufacturers (OEMs).

Almost all the major OEMs are currently in the process of  not only increasing the number of retail stores under their brands, but are also focusing on enhancing customer engagement by differentiating some of it as premium ones.

According to Tata Motors executives, the company is planning a large-scale overhaul of its sales network across the country over the next one year as it prepares to bring in new products, including premium SUV Harrier. The company, which plans to have all its future products on just two platforms Omega and Alpha, currently has around 790 dealerships across the country. “We acknowledge that our showrooms and workshops need complete overhauling, and accordingly we have hired a global consulting agency to look into upgrading all our showrooms,” Mayank Pareek, president, passenger vehicle business unit, Tata Motors, said. The work on upgrading the showrooms starts from next month and would go on for at least one year, he said.

It would include bringing in new technologies, enhancing the ambience and workforce across the dealerships, he said. “We have decided to have wi-fi in all the showrooms. There should be a lounge where you can come and sit, and not just necessarily buy a car,” Pareek said.

Mahindra & Mahindra (M&M)  too is shifting its gears as it in the process of upgrading its dealership, which it has chosen to call as “World of SUVs’. As per the plans, all its high-end SUV products, including the ones that are likely to be launched in the future will be sold using the platform. However, the executives said that ‘World of SUVs’ will not function independently, but will be part of the overall retail channel set-ups.

(With inputs from PTI)