Maruti Suzuki India Limited has three manufacturing units in India and having combined production

capacity of 17, 62,000 Vehicles annually. It has strong dealer network across India and has largest
distribution and after sales service. MSIL has 1,820 sales outlets across 1,471 cities in Indi. MSIL has
3,145 service stations across 1,506 cities throughout India. Maruti’s dealership network is larger than
Hyundai, Mahindra, Honda, Tata, Toyota and Ford combined. MSIL has 1,280 showrooms across 453
cities in India.

Maruti Suzuki has 1,820 sales outlets across 1,471 cities in India. The company aims to double its
sales network to 4,000 outlets by 2020. It has 3,145 service stations across 1,506 cities throughout
India. Maruti's dealership network is larger than that of enough known companies combined

The three manufacturing plants are –

(i) Gurgaon Manufacturing Plant

(ii) Manesar Manufacturing Plant

(iii) Gujarat Manufacturing Plant.

All plants have a combined production capacity is 17, 62,000 Vehicles per year. In which 15, 12,000
Vehicles are the production capacity of Gurgaon Manufacturing Plant and Manesar Manufacturing Plant
together whereas 2, 50,000 Vehicles per year are the production capacity of Gujarat Manufacturing
Plant. But the new plan is to increase the total production capacity of all three plants from 17, 62,000
Vehicles per year to 22, 50,000 Vehicles per year by 2020.

(i) Gurgaon Manufacturing Plant - Gurgaon Manufacturing Plant has three fully integrated
manufacturing plants and is spread over 300 acres (approx 1.2 Km2). This plant also manufactures
2,40,000 K- Series engines per year. The Gurgaon Manufacturing Plant manufactures the- Alto 800,
Wagon R, Ertiga, S-cross, Vitara Brezza, Ignis and Eeco.

(ii) Manesar Manufacturing Plant – Manesar Manufacturing Plant was inaugurated in February, 2007
and is spread over 600 acres (approx. 2.4 Km 2). Initially it had a production capacity of 1,00,000
Vehicles per year but this was increased to 3,00,000 per year in October, 2008 and again increased to
5,50,000 Vehicles in March 2014. The Manesar Manufacturing Plant produces the – Alto 800, Alto K10,
Swift, Ciaz, Baleno, and Celerio.

(iii) Gujarat Manufacturing Plant – Gujarat Manufacturing Plant was inaugurated in February 2017.
International Journal of Research and Analytical Reviews Research Paper plant current production
capacity is 2, 50,000 Vehicles per year. But the new plan is to increase the production capacity of this
plant up to 7, 50,000 Vehicles per year by 2020.

Distribution channels 1. Maruti Suzuki Arena 2. Nexa 3. True value 4. Commercial

 1. Maruti Suzuki Arena
 The new showrooms, christened Maruti Suzuki ARENA, will sport modern looks and offer a
warm, friendly and comfortable environment to the customers. Leveraging the power of
digital technology Maruti Suzuki ARENA promises to serve and delight customers in several
ways.
 With Maruti Suzuki ARENA in place, the Company will have four distinct retail channels:
Maruti Suzuki ARENA, NEXA, Commercial and True Value, addressing needs of all
customers.
 Maruti Suzuki ARENA connotes a place where people come together and experience
something exciting.
 Digital integration is a key differentiator at Maruti Suzuki ARENA. Customers can now
experience the convenience of booking their cars or even personalizing through an all- new
website. This is poised to strongly connect with the young and do-it-yourself generation of
customers and delight them. This experience travels seamlessly to the showroom through
the advanced navigation portal.

2. Nexa

 Nexa dealerships are developed to lure customers looking to buy premium cars, as these would
offer them a plusher buying experience.

 The aim of Nexa dealerships is to maintain a premium feel and offer the customers a more
personal experience.

 Exclusive dealerships that retail only the premium offerings from Maruti Suzuki such as the S-
Cross and Baleno. Future products could include the Ignis and Ciaz facelift

 Fully trained ‘relationship managers’ that cater all the needs of the customers.

 The showrooms are equipped with iPads and Apple TVs in order to visualise every aspect of the
cars on sale.

 Smartphone app to track service history, book servicing appointments, emergency support,
accessory purchase, etc.

 Black and White monochromatic colour theme for NEXA dealerships

 Dedicated delivery area inside the showroom. The customer drives his/her new car right out of the
showroom. Dealerships will also play your favourite music at the time of delivery

3. True value

 Maruti Suzuki True Value is the first major automobile OEM to enter India’s used car market
in 2001, Maruti Suzuki True Value is the pre-owned cars arm of Maruti Suzuki that offers
buying, selling and exchange of certified pre-owned cars for customers.
 Maruti Suzuki True Value also provides services like Finance, insurance, as well as
accessories, through a countrywide network spanning 1,132 outlets across 880 cities.
4. Commercials
 Making its entry into the light commercial vehicle segment, Maruti Suzuki has launched the
Super Carry LCV with prices starting at ₹ 4.01 lakh (ex-showroom, Ludhiana).
 Maruti's first ever LCV in recent times, the Super Carry marks the automaker's beginning into
the commercial vehicle space and has introduced new dedicated dealerships for retailing the
LCV across the country and will carry a new corporate identity.
 The first three dealerships have been opened in Ludhiana, Ahmadabad and Kolkata
respectively, while sales are set to commence in August this year. Maruti is offering the
Super Carry in two colours - Superior White and Superior Silver.

Advantages of channels:
 Advantages of arena
1. User friendly new website. Unique online experience with DO-it-yourself features.
2. Young, trendy and vibrant new look. A new corporate identity with dynamic façade.
3. Advance navigation portal. Seamless integration of online and offline registration.
4. Inclusive product vision screens. Explore car using the interactive touch screens
5. Unique personalisation at your finger tips. Experiment with accessories with the help of
stylist.
6. Consultation zone a dedicated café and sitting area for smart conversations.

Nearly 75% car buyers in India research online before they decide on a purchase. At Maruti Suzuki
ARENA, customers who register on the website can start their journey seamlessly in the showroom
by entering their mobile number on the Navigation Portal. They can explore the entire product
portfolio, through interactive Product Vision touch screens at the showroom. A dedicated
Personalization Zone with car configurators will enable customers to electronically personalize cars
by a mix and match of accessories.
Technology will also assist the Relationship Managers who, equipped with tablets and an app, will
showcase the wide range of Maruti Suzuki products and variants to customers for ease of
comparison. Information on tab will enable the Relationship Managers to address customer queries
promptly.
The new showrooms will have a dynamic facade with a trendy blue signature design element and an
Active Experience Terrace. Valets will greet car buyers in this space.
A Coffee Consultation Area and an Owners Lounge will set the mood for friendly conversations. The
overall experience will make the customer feel special.
Maruti Suzuki ARENA is a part of Company’s Transformotion 2.0 initiative. It is built on the pillars of
design, technology and experience. The modern showrooms are spacious and designed in a way to
indulge customers in a friendly and warm environment. Simultaneously, Maruti Suzuki ARENA is
powered by technology to use the digital medium to connect with the customers.
This transformation is built on continuous research, listening to customer voice and anticipating
future trends. The effort is to be in sync with ever evolving customer needs and offer them
experiences at par with global benchmarks.

The Arena dealerships bring intelligent architecture, latest technology,

interactive equipment, and a seamless integration of the virtual and
real-world, making a blend of technology and digitalisation.
Maruti launched the online video content repositories with Arena
World and Nexa World, with over 250-plus online content pieces.
Through online video, the company feels, consumers are able to
experience parts of the shopping journey that previously could only be
done at the dealer, including vehicle walk-arounds, product
demonstrations, and video test drives.

Advantages of nexa

1. Nexa dealership launched for showcasing and selling its premium range of cars such as s cross
and baleno

2. The nexa was launched to provide better experience to those who opt for premium vehicles,
compared to other maruti showrooms which sell the company’s compact

3. The company is also planning to launch exclusive nexa service outlets for its premium customers
who own the nexa range of cars.

Advantages of true value

1. As a part of Maruti Suzuki's transformation, a network of independent True Value outlets will be
set up across the country, with a larger display area for a variety of pre-owned cars of Maruti Suzuki.
2. These outlets will be digitally integrated through a portal so that customers can access details of
all the cars available at True Value outlets nation-wide. This will help customers to make their choice
and visit the relevant True Value outlet for a test drive.
3. To ensure quality and reliability, pre-owned Maruti Suzuki cars will be carefully selected,
refurbished at Maruti Suzuki workshops and offered to customers with warranty and free services.

How is Maruti Suzuki’s channel stategy different from competitors

 Maruti Suzuki selling its more expensive models through a separate network as buyers, even first-
timers, opts increasingly for larger cars example- nexa. Maruti is trying to change the customer
perception by offering NEXA premium showrooms in which only premium Maruti cars will be
showcased.

 The decision to create a separate sales network may have been prompted by consumers choosing
other brands over Maruti when buying bigger cars as India’s largest car maker has been traditionally
associated with small cars since introducing the Maruti 800 in 1983
Country's largest carmaker Maruti Suzuki India (MSI) would continue to bring in models with
varied body styles as it aims to cater to 'every segment and lifestyle', a top company official
said.

“Our intent is that we will provide car for every pocket for every lifestyle and for every aspiration
and we will also keep focus on the premiumisation in terms of the variants which we are giving,"
MSI Senior Executive Director (Sales and Marketing) R S Kalsi .

Sales Strategy of Alto

Maruti Suzuki offered an average discount of ₹ 24,300 on Alto in the third quarter
of FY2019 which was significantly higher than many of the previous quarters and
competitors.

Sales strategy of Brezza

In January, Maruti dispatched 13,172 Brezza SUVs. Based on the January sales
performance, the decision to increase dealer margins on the model of Maruti
about by ₹15 crore per month. With the new incentive, dealer margins on the Vitara
Brezza has increased to 8-8.5%

Maruti Suzuki offers higher dealer margins since it is financially stronger than its
rivals although the step would impact the company’s profit in the short term. “As
vehicle sales have fallen sharply, this is a way to incentivize dealer partners since
they have to maintain high inventory. Automakers in adverse times help their
respective dealers and component suppliers when the demand falls in the market”.
Average discount on Brezza increased to ₹24,300 per unit in December quarter. In
comparison, the average discount was ₹19,200 per vehicle during April-December
2018.

 Advertising:
Maruti's advertising function is handled by the marketing department, earlier which was takes
the help of the Hindustan Thomson Associates (HTA) a leading advertising agency in India for the
promotional activities of Maruti including Brezza. Increasing competition in the car market
Maruti udyog appointed another agencies namely Lintas which handled advertising.
Brezza, the company released a new web ad series called ‘Outglammed’ for its
sub-four metre SUV
Vitara Brezza Outglammed videos garnered 77 million impressions and 19.3
million views

 Export Promotion: The Maruti Udyog Ltd. promotes its car through participation in the
exhibitions and Government-to-Government talks. The Suzuki Motor Corporation (SMC) refers
Maruti's name as and when it gets the opportunity. Maruti's export department visits foreign
countries in order to get orders, appoint distributors and find the opportunity for sale. The
MUL's collaboration with the Suzuki Motor Corporation makes it easier for the former to contact
the prospective customer positively. The Suzuki's Global Image helps the Maruti Udyog Ltd. in
getting the export order. The Maruti Udyog Ltd. puts emphasis on the publicity for promoting its
car. The Maruti distributors make the advertising at their own. However Maruti Udyog Ltd. does
not make any advertisement. The Maruti distributor makes personal selling and other sales
promotional activities.
 AUTO SHOWS.
Maruti is a consistent participator in the world famoues auto shows like AUTOEXPO and
Geneva motor show. Most of its products and new launches are mainly in these mega
events in and out of India alike. •
 SALES CONTEST • Sales contest aims at inducing the dealers to increase their sales over a
stated period, with prizes going to those who succeed. •
  THE DEALER OF THE YEAR AWARD is given by maruti depending on the sales and
service done the the dealers. Other prizes like cash discounts and foreign trips are common
in the company dealers. • Maruti actually hired a number of sales executives from rural parts
and trained them to sell their cars in their regions.
 After sales service
• Maruti has backed the BEST SERVICE PROVIDER AWARD the 14th time this year. And it
is not very surprising.
• With this tremendous penetration into the country and over 3000 service stations, it is
undoubtedly the best service provider with a daily servicing of more than 40000 cars.
• Maruti has the MOST COST EFFECTIVE genuine spare parts available at all the service
stations and also special spare part authorized dealers. So finding a spare part of a Maruti
car is not a trouble at all.
With AFTER SALES SERVICE being one of the major concerns of the middle class people,
Maruti earns great points and the effect is seen in its sales.

The new digital platform, which is being built on Salesforce, will enable that by helping the company
understand its customers end-to-end.

The omni-channel platform will be integrating all the company’s back-end systems – whether its
selling of cars, service, insurance, true value, the loyalty cards and all the systems around these (For
ex: Complaint Management System, Dealer Management System, etc.) – into one platform and give
a single view of the customer to the person who is interacting with him/her.

“We want to make sure that all our customer engagements on any of the channels he/she wants to
interact with us, at any place he/she wants to interact with us, we should be able to give a very
consistent experience to him/her. Whether the customer is talking to us on our call centre, walking
into our showroom, or maybe our sales executive is visiting his/her home, the experience for the
customer should be consistent,” explains Uppal.

What makes the platform truly omni-channel is the fact that all of Maruti’s customer connect
channels and touch points, such as social media, call centre, feedback forms filled by customers,
etc. will be integrated into it. This will enable a 360 degrees’ view of the customer and all his/her
transactions with the company. Uppal believes that the social listening and integration with social
media will take the company’s engagement with its customers to the next level.

To make sense of the customer data and derive meaningful insights, the platform will be supported
by a strong analytics engine at the backend.