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Hankook, the passenger car tyre manufacturing company of Korea, is targeting to sell one lakh tyres in India during the current fiscal.
The company, which is in the process of expanding its activities in the country, is also targeting a sales revenue of $10 million dollars in the current year. Last year, the company had clocked $6 million from selling 50,000 tyres, Mr J.B. Park, vice-president, Asean-India marketing and sales department, Hankook, said.
Market steady
Mr Park, who was here in connection with the launch of ultra high performance car tyres in the Kerala market, told Business Line that the recessionary trends being experienced world over has not affected the sale of premium cars in India. The production of SUV vehicles is growing at a faster pace and there is a potential for high-end tyres in the market.
The total market size for tyres in replacement as well as OEM in India is estimated at 23 million units. Considering the growth potential, he said the company is aiming to sell three lakh units in India in the premium segment in the next three years.
Biz strategy
Revealing the business strategies for India, Mr Park said that the company is in the process of expanding its activities to raise the brand awareness in each region. The network of dealers will be doubled from the existing 250 in the current fiscal. The product line up will also be strengthened as per the customer needs.
He pointed out that Hankook tyres are designed and produced for Indian roads and are made with international quality standards. It has got 50 sizes of ISI mark tyres in the market and in addition 10 are in the process, he said adding, that the total size would be 80 in the next few months.
Hankook is the highest brand sold in Europe and Gulf and the company has got 7 factories globally and the tyres are available in 185 countries, he said.
Asked why the company has chosen Kerala as the launch pad for its ultra high performance tyres, Mr Park said, “Kerala has got highest number of premium cars compared with other States and this is the basic reason to launch the product initially in the State. Moreover, people are exposed to international market and the tyre information awareness among the public is higher here than in other places in India.”
The market size for premium segment passenger car tyres in Kerala is estimated at 6-7 lakh per year and the company is looking at selling 16,000 tyres in the first year, he added.
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