Tata Motors to sell passenger vehicles via CV network


7 Apr 2011
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CHENNAI: In a new marketing and distribution strategy, Tata Motors has decided to use its commercial vehicle network to stock and sell selected passenger vehicle products particularly in smaller towns and cities not covered by passenger vehicle dealerships.

Similarly, selected passenger vehicle dealerships will also stock and sell relevant commercial vehicle products is markets not covered by the commercial vehicle network. That way, the company wants to overcome its footprint limitation both in the CV as well as passenger vehicle segments.

The idea, said an industry source with knowledge of the development, is to leverage the company's strengths across the segments. "Tata Motors is one company so why not utilize its strengths in the two segments, commercial and passenger vehicles?" added the source.

Under the plan, commercial vehicle products like the Magic and Winger will find a place in passenger vehicle dealerships in relevant markets. Similarly passenger vehicle products like the Nano , Sumo, Grande and Venture will be sold through commercial vehicle dealerships in cities and towns that are not serviced by Tata Motors' passenger vehicle network.

Currently Tata Motors has 254 passenger vehicle dealerships handling 600 outlets countrywide. In commercial vehicles, it has 200 dealers running 1000 outlets. A large number of these outlets are exclusively for the Ace, which provided much of the learning that went into the making of the Nano.

Source: economictimes
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