Mahindra First Choice Services (MFCS), a leading chain of multi-brand car workshop service is in the process of expanding its network across the country.
MFCS’ all-India network now encompasses 41 workshops of which 29 are COCO (Company-Owned Company-Operated) workshops and the rest – FOFO (Franchisee-Owned Franchisee-Operated) service stations. It plans to expand the network to 100+ workshops by the end of this fiscal and reach the 600-mark by 2018.
Briefing the press after inaugurating four new workshops in Coimbatore, the Chief Executive of MFCS YVS Vijay Kumar said the company now had 13 workshops in Tamil Nadu and Puducherry regions. “This number will more than double to 30 by the year-end,” he said, referring to the expansion in service network in Tamil Nadu.
“The after-market sector (that takes care of the growing population of cars) is estimated at over ₹15,000 crore. It includes multi-brand used cars sales, service and spares. While new cars are serviced at the original equipment manufacturer (OEM) service centres, people start looking to service at roadside garages after the warranty period. We have pitched our business in this space as the market is untapped and huge,” Kumar said.
With its existing 41 workshops, the company has serviced over 2-lakh cars till date. “We plan to emerge as one of the top three car service providers (for out of warranty cars) in the country by 2018,” he said.
The company is looking to tap the market potential in tier 2 and 3 towns. Citing a study, he said, “Only 75,000 passenger-cars out of the 2.5 lakh cars on the roads in Coimbatore are under warranty.”