Honda closing in on Hero MotoCorp, records fastest network expansion with 2800 new outlets in 2.5 years

The company says that a total of 2800 new outlets were inaugurated in the country within the past two and a half years.

By: | Published: September 26, 2017 6:04 PM

Honda 2Wheelers India is celebrating the opening of its 5500th dealership in India. With this, the Japanese brand has recorded the fastest and biggest network expansion. The company says that a total of 2800 new outlets were inaugurated in the country within the past two and a half years. In the first 14 years of its establishment, Honda expanded its network to around 2700 outlets ending FY 2013-14. In line with the segment presence and product strategy, the focus of the brand in initial Phase of its network expansion was to cover urban and semi-urban demand centres. In line with its aggressive strategy for India, Honda almost doubled its network reach in the last 2.5 years itself. Honda has now shifted gears to rural and semi-urban areas. In fact, 70% of the new touch points inaugurated have come up in rural followed by semi-urban areas.

In the current financial year FY2017-18, Honda’s plan is to add 500 new outlets to its network, of which nearly 300 have already been inaugurated in the first six months of the fiscal.

“In the last couple of years to meet increased demand for Honda 2wheelers, we have invested close to Rs. 9,500 crore in new plants multiplying Honda’s production capacity 4 times from 16 lac units in 2010-11 to 64 lac units this year. This was supported by new model launches both in motorcycles as well as scooter segment and refreshed product line-up ranging from 110cc to 1800cc engine capacity,” Minoru Kato, President & CEO, Honda Motorcycle & Scooter India Pvt. Ltd. said, inaugurating the milestone 5500th new touch-point – Rudra Honda, a sub-dealer in Kachhwa Bazaar, District Mirzapur, rural Uttar Pradesh.

“Delighting millions of Indian customers across the country, it is imperative to make Honda products & services available closer to the Customers especially the hinterland. And what has made Honda’s growth truly satisfying is our aggressive network expansion. Increasing our penetration in hinterlands in line with our product strategy is a critical part of our India strategy & I am delighted to be present here in rural UP on milestone 5500th Honda outlet inauguration."

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