Carmakers pin hopes on smaller towns, cities to boost automobile sales

Quick growth is likely from upcountry where highways and roads are being built, income and aspirations are up

With automobile sales slowing to unprecedented levels, carmakers are pinning their hopes on smaller towns and cities to boost growth.

Most large manufacturers have been tapping non-metro cities for a while, but now there seems to be an added focus. This is because while customers in metro cities are buying cars still, quick growth is likely only from upcountry markets, where highways and roads are being built, and discretionary income and aspirations are rising.

Maruti Suzuki, the biggest carmaker in the country, adds around 200 outlets every year with more than half in small towns. Tata Motors opened 317 new