A friend is dealer of Tata-Fiat cars and what i came to know is that in coming future, 2011-2012, after opening their display showrooms, Fiat might start on their own of Sales, services for their vehicles and not share space of Tata dealerships.
Tushar, I don't know if you own any fiat cars, but I can assure you that spare price is very competitive of new cars. Its comparable to Maruti.
With 15K service interval, actual maintenance cost is even lesser than Maruti.
Fiat is considering to revamp their distribution strategy. It will open up separate Fiat outlets and increase dealer margin from 5% to 8.5%. More information attached:
The reworked JV between Fiat and Tata Motors would include a new distribution network for Fiat, discontinue supply to forty joint dealerships, cut supply to joint dealerships in twenty cities. Sources also added that nearly forty Tata-Fiat dealerships in twenty cities would be affected. Sources also explain that Fiat will encourage dealers to open exclusive Fiat outlets and mulls hiking the dealer margins to 8.5% from 5%. Fiat hopes the new distribution strategy will boost sales. Sources also said that the auto major plans to open twenty exclusive outlets by end of 2012. When contacted, the Fiat India spokesperson declined to comment. Source: Moneycontrol.com
Fiat completely exit joint-branded showrooms with Tata Motors as the Italian car major makes a renewed push to revive sales. While it will make the transition in the top 20 cities by 2015, the rest of the joint-branded dealerships will be disbanded thereafter.
As a Tata fan I am really tired of this Tata bashing for the failure of fiat in India.I also personally love this news as I never really wanted fiat to share space with TATA cars.My only worry was multijet engines,but since Ranjangaon plant is owned 50/50 by both tata and fiat so no worries here.
Hope Fiat opens their separate dealerships soon, best of luck to them.