Kia Focuses On Rural With New Name, New Logo And New Slogan
Chennai: In line with the recovery of demand in the hinterland markets, the big Korean automaker Kia is refocusing its attention on small Indian towns. This new rural orientation accompanies the relaunch of its Indian brand through a new name, a new logo and a new slogan. Kia changed the name of its Indian entity from Kia Motors India to Kia India to signal a shift in focus towards a “long range of sustainable mobility solutions”.
“All of our sales and service point of contact expansion this year will be in Tier 3 and 4 cities and we are adding approximately 45 new cities to our network. These are markets that are growing faster than the subways and we are tapping into that demand, ”said Hardeep Singh Brar, vice president and head of sales and marketing at Kia India. Kia is currently present in 175 cities and all of the expansion this year will be in small towns, he added. In total, Kia has 300 points of contact across the country.
The focus is on the hinterland despite the fact that Kia has “ no intention ” of entering the compact sedan market or compact sedans, the cheaper cars that benefit from larger volumes beyond metro markets. “While the top 20 cities contribute 80% of SUV sales, which is the segment we are focused on, we are also seeing additional volumes from smaller markets,” said Tae Jin Park, Executive Director and Director of Sales and Marketing. Kia India’s business strategy. . The company plans to put its third shift into service from June to July “if demand is good,” he said.
Kia sold around 55,000 vehicles in the first three calendar months and is targeting production of around 2,000,000 units this year. The company has a peak capacity of 350,000 units. “We were faced with production constraints due to the semiconductor supply,” Park said. The company announced targeted production of 1,80,000 units last year, which has been revised to 2,000,000 units this year. “We are still assessing the impact of the second wave of the pandemic,” Park said.