Ford India?s new Figo may bring about a paradigm shift in the company?s growth chart in the country. Known for poor aftersales and niche appeal, Ford India is leaving no stone unturned in a bid to make its presence felt in the largest segment in the automobile market ? the small car segment. Michael Boneham, president and managing director, Ford India, shares with FE?s Shweta Bhanot the company?s plans for the brand and preparation behind the scenes. Excerpts:
Ford has been perceived as a brand with niche appeal and wrong pricing. While Figo mends the wrong pricing bit with aggressive an price tag of Rs 3.66 lakh, how do you see the brand shaping up in terms of more products?
We have been doing extremely well in the segments we are present in. Though these segments are small in terms of consumer base, now with Figo, we will be targeting 70% of the market in the country.
Figo is the first step in the mass market here in India and we expect it to be successful. Every 12-18 months, we will be launching a new car in the Indian market. The segment will depend upon our study and customer demand.
This is just the beginning and the Indian customer will get access to global Ford platforms that fit market conditions. There are also new platforms developed with India as the focus.
The company has been poor in terms of after sales service. How do you plan to resolve this issue?
We recognise the issue and have been strengthening our dealership and service network in the country. Two weeks ago, we opened 28 dealerships in 24 cities in one day, sending a message that Ford is serious.
We have 167 outlets today that will go up to 200 by end of this year. We will be looking at expanding our presence in Tier II and III cities as well to meet the demands of consumers. We also have started quick service and have fast moving parts available at aggressive price positions.
At what levels is the plant in Chennai working currently?
We are operating aggressively to meet the Figo demand. We will be moving to two shifts in the next two to three months. The production will be driven by the demand arising from the consumers.
What plans have you lined up for Ikon and Fiesta?
We are happy with the products. Ikon is giving us 1,000 units per month and Fiesta also has a good response from the market. We do not plan to phase out any of them. Further, Endeavour is also doing well.
What are the engines produced at the powertrain facility?
We have recently opened our engine facility and brought down costs. We earlier had to import the engines from Europe. It is a very flexible facility and we can produce variations of diesel and petrol engines. Currently, we are producing 1.2 petrol engine and 1.4 Duratorq diesel engines from there. We are also making engines for customers outside India like 1.4 engine for Figo in South Africa.
What are your export plans for Figo and sales target this year?
Let us wait and see the response from consumers. As far as exports are concerned, we will be sending vehicles to South Africa by the middle of this year and later add many more countries.