Honda India Power Products Ltd (HIPP) on Wednesday announced its foray into the e-commerce space with plans to sell its products exclusively through its webstore to cash in on the pandemic-induced digital adoption.
The company is making its products, including generators, water pumps, tillers and brush cutters, available on the website for direct purchase.
It is aiming to get closer to its customers by embracing more digital connectivity and reach out to potential customers who currently find it difficult to visit the nearest company's dealerships.
"We have more than 600 outlets across India. However, in some places customers are 50 kilometers away from our nearest outlet... So through our website customers can choose and compare products and make payments and the dealers will take care of pre delivery inspection and after sales service," HIPP Chairman and Managing Director, President, and CEO Takahiro Ueda told PTI.
This, he said, will also add to the business of its dealers as they will get new customers online.
"More than 90 per cent of our current dealer network is on board," he said, adding the product line to be offered online would be limited to five categories -- generators, water pumps, tiller, brush cutters and lawn mowers.
Ueda said in the wake of the COVID 19 pandemic, e-commerce platforms became a quick, reliable, and easy choice for people for daily decision-making, which was further augmented due to social distancing and frequent marketplace lockdowns.
When asked how much contribution the company is looking at from the online channel to its overall sales, he said, "We have a rather conservative plan. We're targeting around 1,000 units for the first year. We are expecting that to grow much bigger in the coming few years."
The company's other products sold in the Indian market include marine outboard motors and general-purpose engines.