The Hindu Business Line : Auto majors setting up mega super stores to showcase brands

New Delhi, March 30 Walk into an automobile showroom and you may find a recreation corner for your kids, a lounge for the family to relax, while you take your own sweet time choosing the car you want to own. Whether they are company-owned mega brand display outlets, multi-car brand showrooms or chain of luxurious used car stores, the culture of large format chain of super stores is now spreading to the automobile industry.

This year Maruti Suzuki, which already has over 500 dealer outlets, will set up its first large super store that would house cars of every colour and variant – something it says that its existing dealers lack the wherewithal to cater to.

“Our first company owned retail outlet will start this year. It will be huge – spanning 30 models and variants from Maruti’s stable. Our existing dealers cannot offer such a wide choice,” said Mr Shinzo Nakanishi, Managing Director, Maruti Suzuki India.

Lifestyle focus

M&M’s First Choice used car retail venture is also expanding its super stores to 21 in the next two-three years at an investment of Rs 100 crore. What would differentiate the mega super stores from the dealer outlets would be the focus on lifestyles, says Mr Vinay Sanghi, CEO of First Choice.

“We have 200 used cars ranging from compact to the most premium at our super stores. We would also have a kids section for them to entertain themselves while the senior members in the family make their purchasing decision and even a corner for women to relax,” said Mr Sanghi.

BMW strategy

For BMW, the strategy is to give prospective customers a feel of what luxury is about and create everything around it at its brand display showrooms. The company said in January that next month it would set up its pavilion in New Delhi which would be its first brand display studio in India. This would be an exclusive outlet, along with a lounge bar, where it would showcase one or two of its brands and its merchandise to give customers a feel of the product.

Mr Jagdish Khattar is also venturing into multi brand car retail outlets that are likely to begin next year.