Mahindra First Choice, an arm of Mahindra and Mahindra Group (M&M) which sells second hand car, today said it would set up sales and service outlets in rural areas across the country to sell one lakh vehicles by 2015.
"In 2008-09 we sold 10,255 vehicles. This year we have aimed to sell around 18,000 vehicles. We want to take it up to one lakh cars by 2015," M&M President (After-market, HR and Corporate Services) Rajeev Dubey told reporters here.
He said 20 per cent of their business come from the "C" segment in Tier-II and III cities, while 80 per cent of the revenues come from metros and state capitals. The company aims to tap rural market through its expansion plans. For this, it would double its franchise outlets by March 2011, he added.
The company has 114 outlets in the country. By March 2011 it would have 230 outlets and take it to over 300 outlets by March 2012, Dubey said.
"We believe the time is right for this sector to witness a 'exponential growth' with number of vehicles being introduced. The used car market is going to grow at an exponential rate," he added.
In value terms, the company had revenues of Rs 220 crore last fiscal and aims a turnover of Rs 400 crore, Mahindra First Choice Chief Executive Officer Shubhabrata Saha said.
The size of pre-owned car market in India is estimated at 1.7 million annualy, he said, adding that the company would also increase its service centres in line with the proposed new sales outlets.