Mahindra ramps up sales target

Thanks to the buoyancy in utility vehicle (UV) markets in India and abroad, Mahindra and Mahindra (M&M) is now aiming to touch the one million sales mark in five years. The first million was achieved in 50 years, while the second million came in 10 years.

This UV major company rolled out its two-millionth vehicle last month. Keshub Mahindra, chairman, M&M, said, "Mahindra now has a target of selling one million vehicles in the next five years". This will account for the company's domestic and international sales. The company is actively pursuing this target with aggressive marketing and brand building strategies across all its markets.

Pawan Goenka, president-automotive sector, M&M, said, "Our main aim is to build the brand name (for M&M). In South Africa, the company has been successful in building that image. This exercise will be followed across all the markets where M&M plans to have a future manufacturing presence".

The company's goal was to be known as a global sport utility vehicle (SUV) manufacturer and not a small car maker, Goenka said.

In line with its aspirations, the company is expanding its international bases by setting up more assembly lines, directly exporting to more number of countries and also through the inorganic route.

Mahindra said, "We have made acquisitions in the past (China)...if there is a suitable option on the table we will look at it." It took the company 50 years to sell the first million vehicles, after the first rolled out in 1947. The second million came at a much quicker pace - in 10 years. The UVs account for the company's 82 per cent overall sales, with light commercial vehicles (LCV) and three-wheelers constituting 9 and 6 per cent, respectively.

The company will launch a premium SUV, a multi-utility vehicle-Ingenio, LCV's and heavy duty trucks and trailers from its joint venture (JV) plant in Pune in collaboration with International Truck and Engine Corporation (ITEC), and passenger cars from Chennai and Nashik in a JV with Renault.