The automobile industry has been affected in the state like several other sectors. Achieving numbers have been very difficult for all the players. For Sai Service the premier Maruti dealer, it has been a mixed bag. AJIT JOHN spoke to Sanjay Wale CEO Goa about the performance in the State and the challenges ahead in an industry that is changing continuously.
HERALD: How was business during the festival season for Maruti in Goa?
SANJAY WALE: Business has been very good. Maruti did quite well during the period between Dussareh and Diwali. We have four outlets in the State. During this period we sold 800 cars. The car market is down by 4 % but Maruti has maintained its position as the market leader. We have 60% of the market in the State. Our competition suffered an 8% slump in sales. All these numbers are based on RTO figures. Our sales were driven by Wagon R, Swift and Alto. Our bigger cars are gaining in popularity too.
HERALD: Has there been a drop in the numbers when compared to last year?
SW: The numbers have not dropped they have just been flat. When the mining ban kicked in the first year witnessed a dramatic drop of 20%, last year it corrected itself and this year we have remained stable. Compared to the last year the market has shrunk. There are several models launched by all the players in the market but the market like I said earlier is flat.
HERALD: What are the problems you face in the Goa market?
SW: In other States the percentage of the diesel version of the Maruti models account for a substantial percentage of sales. In Goa it amounts to 10% of the sales. The consumer in the State is very price sensitive and the second hand market is not very well developed. We have a second hand car exchange progamme. 30% of our sales come from the exchange of old cars. The absence of growth in the market has added to the pressures.
HERALD: Renault has recently launched the Kwid which is expected to be a serious threat, what is your assessment?
SW: Maruti has been upgrading the car’s in the Maruti stable. The alto has witnessed the up gradation of the auto gear shift. It is a continuous process. We are doing the same in the other models like Ertiga, Dzire to name a few. This has given us 60% of the market in Goa.
HERALD: Goa has a serious parking problem what is the company to alleviate it or do you believe it is the problem to be handled by the government?
SW: The government has to do something. They are collecting the road tax. I think they should have multi level parking which will help sort this problem.
HERALD: Service is a problem in the State, how different are you from the others?
SW: We have 8 work-shops in the State whereas others have to go to Verna to have their cars repaired. In addition we have 4 mobile services which will come to your residence and repair the car. Our service is our strong point and other companies cannot match us.
HERALD: What are the trends in the market?
SW: It is changing with people now willing to pay the price for a top end model. All our top end models are selling very well and in fact they are driving sales in the State.
HERALD: When do you believe the market will improve?
SW: Mining has to commence for the economy to start blossoming. The new models will drive sales, we have to sustain the excitement otherwise I don’t really see any growth.
