CHANDIGARH: Mahindra First Choice Wheels, the multi-brand used-cars offering from the Mahindra Group, is aiming to nearly double its franchisee outlets to 1,500 by the end of this fiscal.
“We are present in 360 towns including metros, mini-metros and smaller towns… This fiscal year, we want to end at about 1,500 outlets from 800 we have at present, which is a pretty rapid pace of growth,” the company’s CEO and Managing Director Nagendra Palle told reporters here.
The company also plans to expand in the northern part of the country, including Punjab, Haryana and Himachal Pradesh.
The company’s Vice President-Retail Business, Tarun Nagar, said, “We have 106 outlets (in North) at present and we will be having 200 plus outlets by the end of this fiscal in Punjab, Haryana, J&K and Himachal Pradesh”.
Nagar said the company is also eyeing rural penetration in a big way.
“We are penetrating big time into rural areas as well. We have 110 outlets in what we call D category of towns and we plan to increase this number,” he said.
The cumulative retail footprint under the Mahindra First Choice Wheels brand is in excess of a million sq feet, he said.
Palle, who inaugurated company’s 800th and first authorised dealership here, ‘Chandigarh Auto Sales’, added, “Sixty per cent of our buyers are purchasing car for the first time.”
On the used car market, he said, “In developed markets, second hand car business is at least three times of new cars. In India, we just crossed the ratio of 1.2:1, but there is growing demand among consumers.”
Palle said that car ownership levels in India are still 22 cars for 1,000 people.
“In China, it is 140 cars per 1,000 people and in US, the figure stands at 809 cars for 1,000 people,” he said.
Palle, who returned to India three years back after a stint of over 20 years in used car market in the US, said the company has created a unique franchisee-driven business and its dealerships offer the entire range of services for customers.
He said the used car industry is growing at a rate of nearly 20 per cent per annum, but the company is clocking even higher growth.
“From volume standpoint, we are growing 30 per cent a year,” he said. (AGENCIES)
Trending Now
E-Paper
Follow our WhatsApp channel