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This is an extended arm of distribution business and is a franchisee model.
Currently, the parts retail market is highly fragmented, largely unorganised, large supply chain inefficiencies and credit driven.
TVS & Sons have a huge opportunity to cater to the customers since OES caters only 20-25% of after-market through dealers and 75-80% are serviced through distributors and others.
Customer dissatisfaction is largely felt in a) quality b) price c) reliability d) safety. Thus, there is an urgent need to improve share of organized retail in auto parts.
On account of this, the company identified three customer categories - 1) retailers 2) fleet operators and 3) garage owners. TVS PartSmart initiative addresses the following:
For the Retailers margin, investment, obsolescence, succession is the concerns and it is addressed with assured, reasonable, minimal obsolescence and opportunity for the next generation.
For the Fleet operators concerns on genuineness, inconsistent pricing, vehicle downtime and availability are addressed with assured quality of spares, uniform pricing, minimum downtime and anytime availability.
For the Garage owners concerns similar to the above and technology know how, it addresses with continuous training and upgradation.
TVS PartSmart would initially serve commercial vehicle customers. The offering would be genuine & reliable parts, uniform pricing, full range coverage, store's inventory transparency for frequent replenishment, in store promotions and below the line activities, web based on demand solutions.
This initiative would provide opportunity for the supply chain to promote their brands at the point of sales, to train mechanics in use of products, to build loyalty programs, Pan India reach, assured availability of genuine parts and protection from spurious parts.
TVS and Sons offers integrated web based, on demand software solution, Net working of mother warehouse with franchisee shops, transparency of shop inventory and promise supply chain efficiency.
TVS PartSmart stores will bring great value to all stake holders by offering reliable products at affordable price with dedicated manpower and all outlets will provide a unique purchasing experience.
TVS Partsmart franchisee model outlets will sell commercial vehicle parts and will expand its network and be operational across India.
TVS & Sons is committed to creating an environment for the development of employees, to cater the future needs of the organisation.
The Associated Auto Parts
The Associated Auto Parts (AAP) Limited was established and incorporated on 15th January 1944 as a Private Limited Company at Bombay (now Mumbai) as an Authorized Jobber for General Motors. It was started primarily for distributing GM parts in Western India and was promoted by four families. It was the pioneering effort by the families in the trade of Auto Spare Parts Distribution business, 68 years ago, in Western India.
In May 2008, three of the four original Promoter families desired to exit the business while, one of the Promoter families wished to continue the business and hence by a unanimous consensus invited TVS & Sons, Madurai, to acquire the stake of the exiting 3 families and invest to carry forward the goodwill and legacy of the Company. The Company is now a Joint Venture between TVS & Sons and with the remaining Promoter – Rasesh Associates (R A Doshi family) who chose to stay invested - continuing to manage the business with the active support of the Holding Company. With this, the company has also been re-capitalised, which has been one of the reasons for the Company to grow rapidly, the benefits of which have accrued to all the stake holders.
The company's distribution operations are spread over Western and Central India with it's Registered and Head Office being located at Mumbai and operates in the 4 states of Maharashtra, Gujarat, Madhya Pradesh and Chattisgarh. AAP currently operates through a network of 14 branches pursuing distribution and sales with an established base of approximately 4000 after market customers as on March, 2012. The total employee strength currently stands at 125.
TVS Automotives Private Limited
TVS Automotive is a wholly owned subsidiary of TVS Lanka and engaged in the business of distribution of Tyres and Lubes Island wide. Within a short of span of three years company has made significant brand presence for the represented suppliers in Sri Lanka.
Company is the exclusive distributors for BPCL Lubricants, JK Tyres and TVS Tyres. It has a network of around 500 Dealers Island wide and also has leading corporates as its key customers. Future expansion plan includes addition of passenger cars tyres and other products related automotive industry.
TVS Automotives Private Limited
100, Hyde Park Corner
Colombo 2, Sri Lanka
+94 11 4797200
+94 11 2448113
Roshan Serasinghe (Head Tyre – Business)
Prasanna De Selva (Head – Lubricants)