Maruti Suzuki has decided to set up a separate sales network for its Light Commercial Vehicle (LCV) business, which is to start next year.
Combining the LCV business with its current car business will not work according to Maruti Suzuki because requirements of customers buying a car and an LCV will be different.
Maruti will enter the LCV business with slow but forward going steps, instead of making a rockstar entry.
Maruti Suzuki, which is to launch the LCV next year, will give customers an option to chose from either a diesel engine or a CNG version.
The new LCV will be based on Maruti Suzuki's Carry, which is sold in other markets in the world like Pakistan, China and Indonesia. Changes have been made to meet Indian market requirements.
The LCV, which will be manufactured in Maruti Suzuki's plant in Haryana, will compete directly with the Tata Ace, Mahindra Maxximo, Piaggio Ape and the Ashok Leyland Dost, all of which are entry level commercial vehicles.
Although Maruti has planned not to use the passenger vehicle outlets to sell the commercial vehicles, it could depend on existing dealers to have a separate commercial vehicle space for sales.