Cars in India | Autoportal.com

Maruti Suzuki to invest Rs 15,000 Crore on distribution and sale infrastructure

Maruti Suzuki to invest Rs 15,000 Crore on distribution and sale infrastructure

Snapshot: Maruti Suzuki is willing to invest Rs 15000 Crore over the next 5 years to double its sales and distribution infrastructure.

- Comments    |    Write Comment

Maruti Suzuki, the homegrown auto major always had a primary advantage through its strong distribution and sales infrastructure.  So clearly, the company wants to keep-up with this crucial advantage in the future as well and that can be done through heavy investment. Reportedly, the brand has assigned a heavy investment of Rs 15,000 crore over the next 5 years to double its sales and distribution infrastructure.

Maruti Suzuki Chairman R C Bhargava said, “We have to double our network as the Gujarat plant output will lead to a gradual doubling of sales. The bulk of the investment required for additional sales will precede the start of production at our Gujarat plant. The total money needed for creating additional sales-and-service infrastructure has been estimated to be Rs 30,000 crore. Of that, half the money will be invested by us, and the rest by dealers.”

The brand operates over 1700 outlets in the country and the company’s chase for increased volume would be supported by the new Gujarat plant which is expected to go on stream by early 2017. The money will be spent to double its dealership network (more Nexa outlets would be established), expanding stockyard, warehouse and logistics infrastructure.  This initiation is a part of Maruti Suzuki’s goal to achieve 2 million annual sales by 2020.

It will be a challenging task for county’s largest passenger car maker with its current annual sales of 1.1 million units (in 2015-16), and the rise in pressure from its competitors.

Related car news

  • Maruti Celerio X Brochure Leaked Ahead of Launch 06-10-2017 Autoportal Team Maruti Celerio X Brochure Leaked Ahead of Launch
  • Leopard enters Maruti’s Manesar plant; production hit with the halt 05-10-2017 Autoportal Team Leopard enters Maruti’s Manesar plant; production hit with t...
  • Maruti Suzuki Celerio X spotted at dealer’s yard 05-10-2017 Autoportal Team Maruti Suzuki Celerio X spotted at dealer’s yard
  • Image Gallery - 2017 Maruti Suzuki S-Cross 04-10-2017 Davender Soni Image Gallery - 2017 Maruti Suzuki S-Cross
  • 2017 Maruti Suzuki S-Cross launched at Rs 8.49 lakhs 03-10-2017 Davender Soni 2017 Maruti Suzuki S-Cross launched at Rs 8.49 lakhs
  • Current Offers on Maruti, Hyundai, Volkswagen & Mahindra Cars – September 2017 28-09-2017 Davender Soni Current Offers on Maruti, Hyundai, Volkswagen & Mahindra Car...
Helpline