MUMBAI: In a bid to expand market share and outdo competitors like Tata Motors and Ashok Leyland in the commercial vehicles segment, Mahindra Truck and Bus Division, part of the Mahindra Group, has announced its service support initiative on the freight-active Delhi-Mumbai corridor and has opened up “Parts Plazas” at strategic points across the country.
The CV maker claims provision of services every 60 km on the corridor and has backed the services with a guarantee that in case of a breakdown, inability to reach the truck within two hours will have them paying a “penalty” of Rs 500 for every hour of delay.
“We are a challenger brand and our idea to come up with guarantees is to be a differentiator. We are new to the industry, so unless we don’t take disruptive actions, in an industry which is dominated by players for 30-40 years, it will be difficult to get in,” Nalin Mehta, MD and CEO, Mahindra Truck and Bus, said.
The company had earlier extended moneyback guarantees for fuel efficiency in its flagship Blazo Truck.
The 1500 km long Delhi-Mumbai corridor comprises 30-35% freight traffic in the country. The auto major also plans to spread the services initiative to the entire Golden Quadrilateral in the coming 18-24 months. It also aims at opening up 25 parts plazas by the end of 2018.
MTBD currently holds a market share of 3.5% in heavy commercial vehicles (HCVs) and 9.4% in light commercial vehicles (LCVs) and is also working on a new segment of Intermediate commercial vehicles (ICVs). In total, the auto-maker has 1,75,000 trucks plying on India roads
“We are doing about 6,000 units a year in the truck segment. We have ambitions of doubling the market share in the next 3 years and taking it to 10% in the next 4-5 years and maybe 16% once we have the complete range in another 5 years or so. Traditional will not work for us, we will have to be disruptive. So, we have dug in our heels and we will use technology and group synergy to achieve that,” Rajan Wadhera, president and chief executive, Truck and Powertrain Division, Mahindra & Mahindra.