Big auto makers and their executives have been realising the potential in after-sales service car industry in India. The booming car industry in India is asking for better after-sales support. The large customer base holds a promising potential in this segment.
Recently, former President of Hyundai Motors India Limited, BVR Subbu, has started a new venture with 18 other investors. His company, Altius Auto World, has struck a joint venture with a Japan's largest multi-brand auto servicing chain Gulliver International Co. Subbu's company shall open 300 outlets in India to service luxury cars and shall replicate Gulliver's business in India. He shall hold 49 percent stake in the joint venture.
Earlier, ex-Maruti Suzuki MD, Jagdish Khattar, started his multi-brand chain of retail and servicing outlets. “With new investments coming in and the (auto) market expanding, the (service) network is unlikely to grow accordingly. There will be a huge gap.” said Khattar refusing to reveal future investment plans and number of outlets.
Mahindra and Mahindra and Reliance Industries Limited also plan to enter the retail car business and automobile servicing industry. They would be the likely competitors to Subbu's business along with his current ex-Maruti Suzuki Chief.
