Bajaj Auto plans to expand distribution network

Bajaj Auto Ltd is planning to increase its dealership network and upgrading its service centers by next year. Bajaj is appointing 130 new dealers, mainly in small towns, taking the total numbers to more than 600 dealerships across India, company said in a statement. The proposed dealership towns in Maharashtra are Sangamner (District Ahmednagar), Chalisgaon, Bhandara, Nagpur, Hingoli, Aurangabad, Ichalkaranji, Washim, Pune and Solapur.

Commenting on this development, S. Sridhar, president, motorcycle business, Bajaj Auto said, "These new dealerships will help the company to increase the share this model in the smaller towns which are today inadequately catered to by only the secondary network. We are well placed in terms of distribution of Pulsar as far as - a premium brand, with an urban focus - is concerned. On the other hand, Discover which is a mass commuter has huge potential in the smaller towns. While the Discover growth in terms of volumes and market share has been outstanding the next big boost will come from increasing the share in these towns and in rural India which account for more than 50 per cent sales of this category."

He added, "We are also working with a reputed international retail design agency to enhance the experience at our dealerships. The new showroom design will also incorporate the twin brand strategy of the company. This showroom up-gradation plan will be implemented phase-wise across all our dealerships over the next year." The company is simultaneously upgrading service centers to enhance the quality standards required to support the advanced technology used in Discover and Pulsar. Around 1100 service centers are being upgraded at an investment of more than Rs 18 crore to enhance the service standards in these markets as well.

The company said it is also working with a reputed international retail design agency to enhance the experience at its dealerships.

According to Bajaj, this expansion in 130 towns would therefore create 7,000 new jobs in the country.