Nissan To Distribute Vehicles Directly In India

Nissan today made a major announcement that it was terminating its contract with the distributor and seller-marketer of its vehicles in India, Hover Automotive. Now, all the three functions will be handled by Nissan Motor India Private Limited themselves. This is a significant change in the Japanese major's Indian market business policy.

This move should come as a happy surprise to customers, who often complained about the unsatisfactory standards of service by Nissan dealers and other issues. Now, Nissan will have far greater control over the customer service standards and dealerships, and the customer experience is now set to improve markedly. Industry insiders also reckoned that the Nissan - Hover arrangement wasn't very beneficial to the company, and would need to be altered or terminated sooner rather than later to improve customer satisfaction and dealership standards.

Speaking about the development, Kenichiro Yomura, Nissan President, India Operations, said: “Nissan is now at a point of maturity in India where the time is right to establish our own marketing and distribution operations. Nissan’s priority will be to ensure a smooth transition from current operations. We remain committed to our customers and will continue to deliver high quality products and services.”

Further details about the business structure will be announced in due course. This is also an important announcement, keeping in mind that the Datsun brand - a major global brand initiative of Nissan - debuts next month, and since Nissan is also the distributor for Datsun products - as announced earlier - it needed to make sure the distribution, sales and service network was up to the standards that both the brands would want their customers to experience.