Tata Engg Plans To Up Dealer, Service Chain

Tata Engineering is planning to ramp up its dealer network by adding 25 authorised dealerships and 110 Tata authorised service centres (TASCs) by March 2002, by increasing their number to 110 and 350.

Company executives said this was in order to "expand the reach of its dealership network".

"This makes Tata Indica's after-sales service network the second largest in India after that of Maruti, the country's largest passenger car manufacturer, and ahead of competitors such as Hyundai and Daewoo," the company said.

This is also being seen as a preparatory move by the company to cater to the increased demand expected from the yet-to-be launched models -- new versions in the hatchback range, and two other offerings on the Indica platform -- in addition to the surge in sales of Indica after the launch of the V2.

The company is expected to introduce a flurry of new models and variants at various price points in the future. The company is understood to be working on two models on the Indica platform -- a three-box variant, and a sports coupe, Tata Aria. Further, the company is also likely to launch the Tata Magna, another car on the Safari platform.

Also, the company is doing a due-diligence study on the possibility of an alliance to manufacture a car from the Puegeot-Citreon stable. The company, which has invested over Rs 1,700 crore on the Indica project, has recently launched the Indica V2, an improved version of the Indica. Auto analysts have said the market response to the Indica, which was on a downward swing, has revived after the V2 launch.

The company is also planning to launch a knowledge management system, where complaints about company's offerings from both the commercial vehicles and passenger cars division will be stored "for the future benefit of the service network".