[TusharK]

Tata Motors has expanded its footprint in Ahmedabad by inaugurating 8 new showrooms in the city in a single day.



The new showrooms are located at S.G. Highway, Ashram Road, Ambawadi, Gota, Vijay Char Rasta, Motera, Vastral and Sanand.



According to Tata Motors, it registered a YoY growth of 95% in FY2021 in the state of Gujarat. It now has 57 showrooms in the state.



In March 2021 and Q4 FY2021, Tata Motors posted its highest ever sales in 9 years. In FY2021, the carmaker registered its highest-ever annual sales in 8 years. Sales grew by 69% in FY2021 compared to FY2020, while Q1 FY2022 saw a growth of 342%.



Link to Team-BHP News

[amol4184]

Great going. I want Tata Motors to scale new heights every quarter for selfish reasons All the best!

[Everlearner]

May be they are trying to cash in on the new EV policy and anticipated selling a lot of Nexon EVs

[Latheesh]

Originally Posted by amol4184

Great going. I want Tata Motors to scale new heights every quarter for selfish reasons All the best!

me too!
Do they have sales numbers within Ahmedabad to support all 8 dealers? Otherwise it is difficult for dealers to survive.

[IamNikhil]

Originally Posted by amol4184

Great going. I want Tata Motors to scale new heights every quarter for selfish reasons All the best!

Absolutely! You echoed the sentiments of all us shareholders

Good to see Tata Motors going great guns. A little surprised however that they are giving such huge impetus to a single market. Are they expecting the Nexon EV to rake in crazy numbers?

[GTO]

Tata sure will have no problems finding new dealers & businessmen ready to invest. They have overhauled their product range and have some very strong sellers. While the Nexon + Altroz + Tiago bring in great numbers, even the Harrier + Safari do a combined ~3500 units / month which is a lot for a 20-lakh Tata. As they say in the auto industry, there is no problem that a good car (or two) cannot solve .

Tata must be enjoying riding this wave of success. A decade back, a Tata dealership was a money-losing proposition & Tata lost many dealer partners; from Forbes India:

It was October 2012. Karl Slym, the new managing director of Tata Motors, had just joined office. And he was keen to get a pulse of the organisation quickly. Slym asked Tapan Ghosh, regional manager (west) in the passenger vehicles division, to fix up a meeting with Kasturi Wasan, owner of Wasan Motors, one of the oldest and largest dealers of Tata cars in the country. The meeting was fixed at Wasan’s Tata-Fiat dealership in Chembur, Mumbai, at 5 pm. Slym walked into Wasan’s sprawling fourth floor office, overlooking the Sion-Trombay road, with two of his colleagues—Prashant Fadnavis, head of marketing services, and Ghosh. After exchanging pleasantries, Slym got down to business, “So Mr Wasan, how is it going?”

Wasan had been waiting for this opportunity for a long time and he didn’t hold back. Sales had plummeted to 225 units per month compared to an average of 900 units in 2008-09. Despite all kinds of marketing pushes—buy a Nano with a credit card, exchange your old motorcycle for a Nano—the car had remained a non-starter. It was the same story with the Manza, the Indica, the Safari and the Aria. There were hardly any footfalls in his showroom and his sales staff was demoralised.

“With these issues, I will not have enough money to even pay salaries to my staff. In fact, I have been thinking of closing this dealership because I have been making losses for the last two years,” he told Slym.

The new MD heard him out patiently. At the end of the meeting, which lasted about 90 minutes, Slym said, “No, Mr Wasan, don’t give up. Give me 90 days and I will do something. If you still think your dealership is not viable, then you are free to go.”

Slym’s promise of 90 days ended in December 2012. It is now actually more than 180 days but Wasan hasn’t heard from him. Ghosh has since quit to join Hyundai. According to sources, in the last financial year

[aniketi]

This is good approach by Tata. They should target big cities and big states in India one by one and see they provide good showroom experience for clients.

Till now situation is like - "Tata don't sell their cars, people who wants it, buy it". Tata needs to change it and make sure they market their products aggressively and sell their cars. Currently they have very nice portfolio and with HBX joining very soon, they can really increase their market share considerably. They should hire some good people from Maruti and Hyundai so that they can market their products well like them.

All the best Tata. Good luck !

[Stribog]

TaMo is a brilliant turnaround story.

From being associated with cabs (the Indica brand did it no favours) to now being known amongst enthusiasts for having segment (and maybe even a few notches up) best looks, solid powertrain options, sorted gearboxes (albeit Hyundai ones but still)...

TaMo should now focus exclusively on,

1 - Improving QC to get rid of the niggles
2 - Showroom experience both pre and after sales.

They have the muscle, market and reach to keep climbing up the sales charts.

But these things should be improved.

My friend who is in the market for a replacement for his Ecosport straight up went to the Seltos. I spent a good 30 mins trying to convince him to get the Harrier (am a Seltos owner myself) but he said his showroom visit was pisspoor and that he doesn't want to "risk a Tata".

Tragic that such a compelling vfm offering gets dumped because of perceptions.

TaMo, please fix your showroom experience, it kills so much potential.

[ghodlur]

Cant understand the logic of opening 8 dealership within a city leave apart the timing part. Isnt this excessive competitiveness amongst the dealer who will go to any lengths to lure the customer thereby compromising on the quality part? Of course the customer is the winner here but the real challenge lies in the post sales i.e service. Assuming each dealer will have a service centre of its own does the city even need so many workshops.

Sometimes too much good is also bad.

[Aditya]

Thanks to the Team-BHP fan (he prefers to remain anonymous) who sent this information in. Heartfelt gratitude for sharing it with other enthusiasts via this Team-BHP share page!

This is regarding the article, “Tata opens 8 new showrooms in Ahmedabad in a single day”.

It mentions that the Tata Motors showroom at Ambawadi as one of the 8. This is to inform you that Tata Motors already had a showroom in Ambawadi. However, it was under renovation. I believe that the renovation has been completed and the showroom has reopened. So, as such, it's not a new location or an additional showroom.

[Asoon]

Tata is the only manufacturer in the Indian Auto space which seem to have a plan in place for the mission to capture a larger pie. Their aggressive stance in Safety & EV have place them apart from other manufacturers who are going with the flow without a proper long term road map.

Happy to see the same aggressive behaviour in terms of expanding dealership network. I would love to see them chipping away Maruti / Hyundai share who have become legacy brand and thrive on what ever they through to Indian buyers (especially first timers).

[arjab]

A dealer's financial viability is the most important aspect that the OEM should think of while expanding its retail network.
It is easy to get blindsided by the success of a few products and go on a huge expansion spree in a single region/zone; only to face the wrath of dealer principals when things slow down.
A hub and spoke arrangement often serves the purpose well. You have a "mother" dealer who opens relatively small satellite outlets or show-windows in Tier-2 areas for retail visibility with a small service centre offering basic servicing and oil changing facilities. This will reassure the customer also.
Serious repairs and bodywork are taken care of by the "mother" dealership's workshop elsewhere.

End of the day, a dealer principal puts in a huge amount of money, on an average of Rs 10 crores, including working capital and stock in setting up an establishment. Long term viability from sales, service and spares is critical to his survival and morale.

Hopefully Tata Motors would have done it's maths keeping the reality in mind rather than opening outlets to meet the KRA of the regional dealer development manager!

[clementw]

I hope that this rapid expansion in short time is viable for the dealers. I am sure that the new dealerships are augmenting the existing set up, I hope that all thrive together.

[AkMar]

Good going! Hope they expand in other metros as well. I am not a fan of those white dots on Tata showroom signages. Doesn't look good somehow.

PS: Cargo motors isn't exactly an ideal name for a passenger car showroom! Sounds more like a truck dealership

[Steelneo]

Inspiring story TML's turnaround. few years back their reputation was not very appealing to consumers and now they are firing all guns. They score in every essential department for buyer right from looks, Engine, crash performance.
Days are gone where only fleet operators preferring TML cars. Now all their product line-up is featuring in buyers list in their respective segment.