Toyota Kirloskar determined to make its presence felt in Indian rural markets

Toyota Kirloskar Motor (TKM) is planning to expand its marketing focus into rural India with the aim of increasing sales of its sluggish compact models. The new strategy is being followed after observing rivals Maruti Suzuki and Hyundai Motor, which sell a sizeable number of their vehicles in the hinterlands.

In order to devise focused strategies, TKM is setting up a rural sales division. The company wishes to take advantage of the improvement in the Indian automotive market by reinforcing its complete marketing plan.

Toyota Kirloskar Motors managing director Naomi Ishii said,"India is a vast market and to capitalise on the extensive model offerings, we have embarked on a new strategy to go rural. We have chosen our compact model Liva that is an ideal product with a right price and packaging for the Indian rural customers' looking for high-value preposition." According to Ishii, only a "miniscule" percentage of its volume currently comes from rural markets, which needs to be taken to double digits in the next few years. In lieu of this, Toyota has enrolled its dealers to kick off village roadshows, with emphasis on vehicle quality and service.

With more than 250 dealerships across the Indian landscape, TKM has plans to start more rural outlets in the coming months. The company is aggressively expanding dealership footprints in rural India. Here its dealers would be tapping local opinion makers such as Panchayats, in order to expand the brand's reach