General Motors India (GMI), the fully-owned subsidiary of the world’s largest car maker General Motors, is planning to enter the used car business to keep up its sales momentum. It’s trying to emulate Maruti Suzuki and Hyundai Motor, which are generating huge incremental sales of new cars in exchange of their older models.
GMI vice-president (sales and marketing) Ankush Arora said that they are working on the used car business and planning the format. Plans are on the drawing board and strategies will be rolled out in the next few months. This new initiative comes after GMI posted the highest growth of 71% (66,543 vehicles) in the Indian passenger car industry in FY08.
GMI is expanding its dealership count in tier I and tier II cities and the diversification into the used car business is expected to be a precursor to its planned launch of a small car, which will roll out from its new plant in Maharashtra. It has 120 sales outlets in India with a base of 96 dealers.
According to market sources, GMI will rope in its existing and new dealers and offer services such as evaluation and trading in of the customer’s existing car. GM’s used car outlets will primarily cater to buyers looking for a certified pre-owned car which will also serve as an upgrade.
Used car outlets such as Maruti True Value, Hyundai Exchange, Ford Assured and Honda Terrace have been successful in both extending the brand reliability and generating incremental car sales.
GMI vice-president (sales and marketing) Ankush Arora said that they are working on the used car business and planning the format. Plans are on the drawing board and strategies will be rolled out in the next few months. This new initiative comes after GMI posted the highest growth of 71% (66,543 vehicles) in the Indian passenger car industry in FY08.
GMI is expanding its dealership count in tier I and tier II cities and the diversification into the used car business is expected to be a precursor to its planned launch of a small car, which will roll out from its new plant in Maharashtra. It has 120 sales outlets in India with a base of 96 dealers.
According to market sources, GMI will rope in its existing and new dealers and offer services such as evaluation and trading in of the customer’s existing car. GM’s used car outlets will primarily cater to buyers looking for a certified pre-owned car which will also serve as an upgrade.
Used car outlets such as Maruti True Value, Hyundai Exchange, Ford Assured and Honda Terrace have been successful in both extending the brand reliability and generating incremental car sales.
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