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Distribution Between Fiat And Tata Motors
The dealings will continue in the same premises of Tata showrooms but the focus will be on increasing the numbers, said its VP for Commercial-Passenger car Business Unit. He added that the company has realized that it is not where it ought to be and so the move is to boost the volume. The JV came as a follow up to 2007 agreement by which the distribution was shared between them with back end supports and co-manufacturing in the facilities.
The new move of redistribution is badly needed by Fiat since the showrooms do not bring in the expected volume of sales. The volume for the period of April-January in this fiscal stood at 17840units which was 202080 in the same period of the last fiscal, effecting a fall of 12.03%. the sale in last month was 2174 units against 2215 in last January.
And the alternative step is to open image brand centres for Fiat products alone and of these the first two will be in New Delhi and Pune, he said. However, the existing showrooms of Tata -Fiat will continue to sell Fiat products despite issues related to Fiat cars on air-conditioners, power plants and ground clearance. He attributed the fall in Tata Motors" Indica to the non-compliance of BS-IV norms and in this place the company will launch Tata Indica BS IV variant of diesel with CRDI in March.
In another move Tata Motors has entered into the motorsport with its two wheeler Full Throttle for enhancing the brand image, organized marketing, and to initiate synergy in the marketing efforts. As known already, the company will take part in Desert Storm Rally commencing from February 22 in Ahmedabad with its Tata Safari and Xenon XT.
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