To increase its sales and to tap the pre-owned two-wheeler market in India, Honda and Shriram Automall have decided to work together.
Honda Motorcycle and Scooter India (HMSI) joined hands with Shriram Automall yesterday in order to make it big in the pre-owned two-wheeler business. Honda already has a sub-brand under the umbrella known as ‘Best Deal’ and in a small span of two years, more than 60 Best Deal outlets have sprung into action in India.
However, the issue that Honda was facing with its Best Deal outlets will now be answered with this merger. Where Best Deal outlets accepted only pre-owned Honda two-wheelers, Shriram Automall will buy two-wheelers of any make and then help the customer buy a Honda two-wheeler from a dealership at attractive prices. The bidding process of such non Honda two-wheelers will be conducted by Shriram Automall themselves.
Speaking on the occasion, Mr. Y. S. Guleria, Vice President – Sales and Marketing, HMSI said, “We are proud that Honda has been at the forefront of ushering in this landmark initiative that would endow benefits like trust and assurance of transparent dealing for all stakeholders. Currently, the contribution of the pre-owned two-wheeler market is estimated to be 15% of overall sales, but the potential is immense. At present, the industry lacks an organised and reliable structure. Through this tie-up we aim to bridge this gap.”
When asked about the Best Deal outlets he also said that HMSI plans to increase the numbers from 60 to 100 in the next year.