Carz multi brand service network looking to expand across South India
While the automobile industry has witnessed a major growth in the last couple of years, the auto service industry is still nascent comparing the OEM proliferation. Now it has been reported in The Business Line that CarZ, a multi-brand service network promoted by automobile design engineers, is on a rapid expansion drive populating its service centres across South India.
According to a report, following a private equity funding of $5 million that the company raised from Indo-US Venture Partners, it now has 15 service network, handling aftersales support post the general warranty service period for cars. Venu Donepudi, Founder and Managing Director of CarZ was quoted as saying “We are looking at setting up 36 outlets more during the year ahead by covering all the southern States. Then we will look at other regions. We are also evaluating the prospect of offering this network through the franchisee route. Having worked in Detroit for nearly 12 years as automotive designers, working in areas such as robotics in plant floor, me and my pal Vijay Gummadi, could not think of anything else but automotives after relocating to India. Through the sales network, we offer repair approach rather than direct replacement. This helps bring down maintenance costs."
He was also quoted as saying ``Our research showed that most automotive buyers prefer not to take their cars to the service network of the dealers after the warranty period. This gap our service centres seek to bridge. The focus is on the element of transparency. We are also set to add a shift so that a car can be picked up from home in the evening and delivered in the morning fit for normal use. Most people, who cannot part with their car even for a day feel the need for such an offering.’’ He also mentioned that the corporate vehicle fleet management is a big opportunity. Most corporate entities who buy cars for their executives need a dedicated service point, particularly after the warranty period. Through annual maintenance deals, they can outsource their car maintenance headache, it was reported.
