Chennai: French multinational manufacturer of automobiles, Groupe PSA entered India with the launch of the Citroën brand. The car maker beat other rival brands such as Kia and MG Motors in their race to enter the country, in its 100th year of operations, having begun its journey in 1919.
With emphasis on long-term performance, Emmanuel Delay who is the executive vice president and Head of India-Pacific, Groupe PSA, said the group is expecting to capture only two per cent of the market in four to five years, after it launches the first car, the C5 Aircross SUV before 2020-end.
The important part about the long-term plans of the brand is that the automaker entered a memorandum of understanding (MoU) with the government of Tamilnadu. It was announced at the launch event that the group, having already set up a plant at Hosur in partnership with CK Birla group, has also partnered with Tata Consultancy Services for engineering.
According to Citroën officials, the brand will become the first in India to have a research and development (R&D) sourcing team in India, in collaboration with RCS. The team will operate to manage production and supply of parts that might be needed by other automakers within the group such as Vauxhall, Opel or Peugeot.
Chief executive officer, Citroën, Linda Jackson, said the brand will be launching one new product in India starting 2020. With four cars confirmed until 2023, Linda said the brand will be bringing in a host of products that will be made in accordance to Indian needs. She also promised that the carmaker will bring in a new car to India before the world.
“We are celebrating Citroën’s Centenary, 100 years of a brand which has constantly looked to the future of the automotive industry, by offering innovative solutions in line with the needs of each era. Globally, Citroën’s success is based on unique design, and benchmark comfort. The India automotive market is very dynamic with a high potential. We believe we have the right positioning to meet the expectations of the Indian customers,” said Linda.
Carlos Tavares, the chairman of the managing board at Groupe PSA, said at the event, “India is an important next step for Groupe PSA, as part of the ‘Push to Pass’ plan to increase our international footprint and revenues. With the introduction of Citroën, our aim is to ‘be Indian in India’ and our association with the CK Birla Group, will be important to become a major player in the Indian automotive market.”
Carlos pointed out that the brand spends around 8.5 per cent CAPEX for R&D, which in no less than 5 billion euros per year.
“We really believe that India is a strong opportunity for growth and our commitment, professionalism and agility of our teams, combined with the pursuit of operational excellence, will sustainably drive our performance and increase the satisfaction of our future customers in the country,” he added.
Apart from launching the Citroën brand, the launch event also saw the firm launch its dedicated website, apart from various initiatives, that include the selling through online stores.
To a question regarding sales strategy by News Today, Senior vice president, Sales and Marketing, Citroën India, Roland Bouchara said, the brand is evaluating bringing in the leasing strategy to India but also reiterated that primary focus will be on retail sales.
Linda on the otherhand, speaking to News Today, said the brand will be focussed on the affordable segment in the country. It must be noted that News Today had a detailed interaction with Emmanuel Delay. The story can be read here- https://newstodaynet.com/index.php/2019/02/27/the-french-are-looking-to-make-happy-the-indians-automakers-exec-vp/
| Sales speak |
| Roland Bouchara, said the brand bets big on its ATAWADAC initiative. “India is important to Citroën. We are planning to introduce a unique digitally disruptive, omni-channel customerjourney to deliver ATAWADAC (AnyTime AnyWhere AnyDevice AnyContent) experience to customers. Our network focus will be to develop lean and phygital (physical + digital) formats with a ‘brick to click’ orientation. This seamless experience will be brought alive by personalised digital sales and service processes for our customers,” said Roland. |
| In numbers |
| The automaker has been going on a roll in recent times, with operating margins touching 8.4 per cent last year. The firm also has 17 per cent market share in Europe, having sold 3.9 million units worlwide in the same year. The brand is tagetting 50 per cent sales outside Europe by 2021. |
