Fiat Group Automobiles India?s (FGAIPL) decision to go solo with dealership expansion in India after it called off its joint venture with Tata Motors seems to be yielding returns. The carmaker has seen a 72% jump in its sales volume to 10,278 vehicles during the April 2013-February 2014 period on a year-on-year basis. In February this year, the company sold 1,103 vehicles, a five-fold jump on a year-on-year basis.
Spurred by the success, the company is now focusing on scaling up both dealership and product lineup. After setting up 108 standalone dealerships since April 2013, when it called off the JV, the company is aiming to close with 150 dealerships by the end CY14.
?When we moved away from Tata Motors, it sent out a positive signal to our dealers and investors. with more clarity as to where the business was headed,? said Tarun Khanna, product strategy, FGAIPL. ?Now, with a much more robust plan, dealers are excited to come on board,? he said.
Besides scaling up dealerships, FGAIPL is also looking to launch five new new cars by the end of CY14, including the new Linea which was launched on March 4.
?A lot of customers are coming back to the brand. Our initial plan is to establish a robust dealership presence while simultaneously building product portfolio strength,? said Nagesh Basavanhalli, president and managing director, FGAIPL.
?We are still working on the product strategy. The idea is to have a nine model portfolio by 2016. Seeing our new aggression and competitiveness, more dealers are looking to come on board with us,? said Basavanhalli.