ki Mobility to Open 5,000 myTVS Service Networks by 2027
Jul 18, 2024 18:41
ki Mobility Solutions plans to expand its myTVS multi-brand service network to 5,000 by 2027, aiming to become the largest in the world. The company currently has over 1,000 service outlets and expects to reach 2,500 in the next two years.
Chennai, Jul 18 (PTI) ki Mobility Solutions, part of the TVS Mobility Group, which operates myTVS multi-brand service outlets in the country is planning to set up 5,000 service networks by 2027, a top official said on Thursday.
The company would breach the milestone of over 1,000 service networks later this month, ki Mobility Managing Director G Srinivasa Raghavan said here.
"myTVS would cross 1,000 service outlets by this month and thereby (would) become the largest multi-brand service network in this part of the world. And, we still continue to open two service outlets a day and hope to reach 2,500 in the next two years and 5,000 by 2027. The journey has been fairly exciting for us.." he told reporters.
The 1,000th outlet would be opened in North India later this month.
Responding to a query, Raghavan said, "ki Mobility posted revenues of Rs 1,800-Rs 1,850 crore last year and we expect India business to grow anywhere between 25-30 per cent year-on-year."
In terms of size, the aftermarket industry is expected to reach USD 25 bn by 2030 while India continues to grow between 6-10 per cent every year.
"After market (industry) will continue to grow and there will be a challenge for independent garages to fend for themselves to get access to training, access to parts. We are going through an interesting phase of life where there will be multi-fuel, multi-modal technologies", he said.
To another query, he said of the proposed 5,000 service networks, 8-10 per cent of them would be company-owned and remaining would be franchise models.
"I do not have any hard and fast rule, it varies by geography. So, today we have around 75-80 own outlets (company owned outlets) that how we will be," he said in response to a question on the number of service outlets to be set up based on franchise models.
On expanding into tier 2 and 3 locations, he said today the service networks are located in 450 towns (of the total 1,000) and it is expected to reach 750. In terms of job creation, each garage would employ about 6-7 personnel.
To a query on fund raising to fuel the expansion plan, he said, "it is too early (to comment). We do not have a definite date and time.
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