Maruti Suzuki to expand into small towns with Arena Satellite showrooms: Report

MSIL is expanding its presence in Tier-II and Tier-III cities with the introduction of a new showroom format called Nexa Studio.

Maruti Suzuki India (MSIL) is set to expand its network with the introduction of Arena Satellite showrooms in a bid to capitalise on the resurgence of rural demand and the upcoming festival season, the Business Standard has reported.

The company is committed to bringing its products and services closer to customers by establishing a more extensive presence in regional areas, Partho Banerjee, senior executive officer for marketing and sales at MSIL, told the business daily. The expansion of the Arena Satellite showroom network is a significant step towards achieving this goal.

“We have already had a concept of mobile showrooms in the Arena channel. We are testing markets and wherever we see potential, we can plan these satellite showrooms – Arena Satellite,” the report quoted Banerjee as saying. Arena Satellites would be smaller than Arena showrooms.

Maruti Suzuki is taking a state-by-state approach to expanding its network of Arena Satellite showrooms, recognising that a one-size-fits-all strategy may not be effective.

With the addition of Arena Satellite showrooms, India’s largest car manufacturer will now have a network comprising Arena and Nexa showrooms as well as Nexa Studio and Arena Satellite showrooms for smaller towns or remote areas.

Also read: Maruti Suzuki announces price cut for select variants of Alto K10, S-Presso, shares gain

Banerjee said the digital age has blurred the lines between urban and rural markets. In Tier-2 and 3 cities, there is a notable preference for hatchbacks, reflecting a shift in consumer demand.

The company is expanding its presence in Tier-2 and 3 cities with the introduction of a new showroom format called Nexa Studio. These smaller showrooms will be equipped with service workshops and spare parts areas, offering a comprehensive range of services to customers in these regions, the report said.

The company plans to set up 100 Nexa Studio dealerships by March 31, 2025, it added.