Homegrown Automobiles giant Tata Motors is planning a large-scale revamp for their sales network across India. This is in preparation for their upcoming products, including their premium SUV Harrier, said a top official.
Tata Motors which has planned to launch all of its future products on just two platforms- Omega and Alpha, currently has around 790 dealerships across India.
Mayank Pareek, Tata Motors President Passenger Vehicles Business Unit told PTI in an interview: “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.”
He also added that the work on upgrading the showrooms starts from next month and would go on for at least one year. He also mentioned that it would be bringing in new technologies, enhancing ambience and workforce across the dealerships.
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During the interview, he also said that: “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.” Similarly, the company is also upgrading its workshops and is in the process of hiring over 800 sales executives only for Harrier, which is set for launch early next year.
Tata Motors is planning to more than double its current number of 790 dealerships by the end of the financial year 2021-22, with half of these number expected to be based on virtual experience.
“We plan to have 2,000 dealerships by 2021-22 and these are not be all brick and mortar (showrooms). We are going to use digital technology especially with 4G and 5G, which is expected to come,” Mayank Pareek said.
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He also added that it is possible to utilize augmented reality and virtual reality platforms to create a showroom experience.
Tata Motors has phased out a few of its models like Indica, Indigo, Manza, and Vista. So, when the interviewer asked about the company’s plan to phase out other models like Safari, Pareek said, “Slowly some of them will go. Honestly, it is a natural thing to do. How long can you sustain a product?”
He also added that- “The Indian market is maturing so we need new products. So we will come with new products.” Pareek also said that the process is a trade-off whether “you invest in existing products” or you do new products. He explained that “We want to have a new showroom with all new cars.”
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Upon asking about their decision of having just two platforms going ahead, he said, “Harrier is first product based on Omega and our next product will be based on Alpha. We will just have these two platforms…a product based on the Alpha platform can come around the second quarter of next year (July-September).”
When asked if these new products will see a price hike, Pareek said the company is in the process of working out the quantum.
He explained that- “We are in a double jeopardy. On one hand, input costs have gone up, and secondly, sales have been declining. We want to grow on a sustainable basis. Because of this, we will have to take a call on this in the second half of this month.”
If these plans for overhauling dealerships in India shape well and become real, Tata cars and vehicles will be easily accessible for consumers and their after-sales service will also improve.
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