Chennai: Realising the need to improve upon the poor pre- and post-sales service at the dealer level, two-wheeler manufacturer LML is rationalising its dealership network across the country.
Alongside, LML is appointing new dealers under the brand LML Global. According to the company all the dealer outlets - old (after necessary training) and new - will remain under the new name.
With this recast, the company's distribution penetration is expected to go up from the existing 39 per cent. LML has a poor presence in a major metropolitan centre like Chennai.
The retraining and rationalisation of the existing distribution network is expected to uplift the LML network with business partners having a higher level of financial resources and a different mindset - that of retailer, entrepreneur and service provider - rather than that of the old-age showroom and workshop owner. As per plans, all the existing dealers in major centres will be raised to LML Global standards by 2004.
At the secondary and tertiary level of the distribution and service channel, the company is creating around 900 LML centres, depending on the population strata and the size of the location.
This initiative marks the beginning of the overall strategy behind the company's broader objective to be present in all segments of the motorcycle market, including entry-level and life-style.
Towards the end of next year, LML will add four-stroke gearless scooters to its bouquet, thus achieving presence across all segments in the two-wheeler market, excluding mopeds and step-thru, which account for less than 6 per cent of the total market share.
LML is also in the process of restructuring its manufacturing activity.