HMSI Plays Smart, Ready to Foray 500 Dealerships by 2012 End
Honda Motorcycle & Scooter India (HMSI), fully owned Japanese two-wheeler brand, Honda is trying hard to improve its market share in Indian two wheeler market. After breaking-up with Hero MotoCorp India, the Japanese auto giant has announced its future plans of expanding dealership network across the nation. Currently the company occupies 14 per cent stack in the two-wheeler segment and in order to get closer to buyers in India, the auto giant is eyeing to enhance its official dealerships to 2000 by adding 500 new outlets across cities. Similar market strategy was earlier used by many segment leaders and it is very important for HMSI to go the same way to gain some improvement in market sales. The third largest two-wheeler brand is aiming at 30 per cent hike in sales, in fiscal 2013 and as market strategy company will open dealerships in tier-II and tier-III cities.
According to the Vice-President, sales and marketing HMSI, Y S Guleria, the company will add 500 new dealership stores in running fiscal which will strengthen the network of brand in India, reaching at height of 2000. Company is mainly focussing on improving its branding in tier-II and tier-III cities and will foray most of its outlets in small cities. The second largest two-wheeler market in the world is gaining fast pace to become number one and to cope up with market, Honda India needs to play smart and enhancing dealership network is a smart move.
In the last fiscal the Japanese auto giant has delivered 21 lakh new scooter and motorcycles to buyers in India and the company is planning to advance its numbers to 27.5 lakh by the end of current fiscal year. To fulfill the rise in demand of scooters and motorcycles, the two-wheeler maker is soon going to open a new manufacturing unit in Karnataka. The new production unit will be operational by April 2013 and will have a capacity of delivering 12 lakh units each year. Coming to present status, the auto maker has two production units running in Haryana and Rajasthan, together producing a massive 12 lakh units per annum.