Shifting gears

Having hitched a ride on the Chevrolet brand's success in the Indian market, General Motors seems to have bounced back on the automobile scene.

General Motors (GM) is betting big on India "" an indication of which has been the setting up of a plant with an investment of over Rs 1,300 crore near Pune.

The company has had a roller coaster ride in the country. After hitting an all-time low, it took the Chevrolet brands to bring the spark back into the company. First the Tavera, then the Optra, and now the Aveo have done the trick for the brand.

P Balendran, vice president, corporate affairs, General Motors India, feels that the brand has come a long way. "The journey so far has been good and we are looking forward to taking the next big step."

The next big step, according to auto experts, would be the launch of the small car Chevvy Spark. Spark, which is scheduled to hit the roads by early next year, will complete GM's presence in all the segments of the Indian automobile market.

The company has been in an overdrive mode at all levels. Be it the launch of new models (GM launched three new models "" Aveo, SRV and New, a variant of Tavera in 2006) or revamping the dealership network (the company has expanded its dealer network from 77 to 110), GM has been at it.

While Tavera remains its flagship brand, Aveo has been clocking up impressive numbers as well. Aveo faces competition from the likes of Honda City, Ford Fiesta and the newly launched Hyundai Verna.

Meanwhile, GM India sold 30,686 units between January and October 2006 as against 26,371 cars in the same period last year "" registering a growth of over 16 per cent on a YTD basis.

The company sold 3,153 units in October as against 2,829 units during the corresponding period last year. The October sales comprise of 2,011 units of Chevrolet Tavera, 902 units of Chevrolet Aveo and 240 units of Chevrolet Optra.

Balendran feels that the market is growing at a rapid pace and the brand is set to make inroads. "We have cars in each segment catering to people's needs and we are confident about the brand's growth."

GM has been promoting its cars in an unusual manner. For example, the company has gone for product integration with top rated channels and even tied-up with programmes like The Great Indian Laughter Challenge, where an Aveo was offered as the prize for the winner.

In the programme, the anchor also highlighted the features and benefits of Aveo, thus giving a lot of mileage to the car. That's one for a start for sure. As for the rest of the drama, let's see how it unfolds!