MAN Trucks India targets strong growth in tractor-trailer segment

New initiatives announced to enhance customer connect and satisfaction

The illustrious ‘Roaring Lion’ product logo of MAN Trucks and Buses AG signifies the distinctive hallmark of its products for well over 40 years. The daring emblem, along with the three initials, symbolically communicates a spirited belligerent appeal and premium quality. The company’s product line is such that it caters to specialized applications and higher-side of the spectrum, may it be trucks, buses, vans or powertrains.

Mr. Joerg Mommertz, Chairman and MD, MAN Trucks India

However, for MAN Trucks India, unlike its parent company, the attitude and priorities are very different. The Indian market is cost-conscious and competitive, while marketing and customer engagement challenges are quite unique. It is only now, post-GST regime, that the climate for long-distance and higher-tonnage haulage appears favorable. Customers are yet to shift to the revenue model of trucking, in which vehicle utilization and total cost of ownership (TCO) will gain prominence.

Moreover, the company is just 11 years old in India. It has to devise its strategic planning and ambitions realistically so as to sustain the fray. Its growth must be in-sync with that of the industry. That’s perhaps why Mr. Joerg Mommertz, Chairman and MD, MAN Trucks India, and his team are banking on a pragmatic approach to the domestic market, with a fine-tuned business blueprint set by their parent company to suit the changing local demands.

The team wants MAN to be identified as a mass-market marque in India that is price-competitive, so down-to-earth, unlike its global exclusiveness attitude. Yet, the company also wants to encash on the legacy of the parent company by projecting their products as superlative in terms of technology and reliability. Is that why they culled-out the ‘roaring lion’ from the logo trim on the radiator grille of their face-lifted CLA EVO trucks? Making a humble impression, aren’t they?

New initiative for sustainable growth

In fact, the MAN CLA (stands for ‘Cargo Line Asia’) truck and bus chassis platform is specifically designed for the challenging demands of developing markets like India. They cater to the ‘value segment’ by offering semi-premium products that are fairly equipped with premium technologies but at affordable prices. “The CLA EVO platform rightly meets the changing needs of the trucking industry in India, with higher payload and efficiency ratings, while also being cost-effective”, comments Mr. Joerg Mommertz. The highly-localised platform underpins all their products on offer – haulage trucks, tippers and bus chassis in the 16-49 tonne category.

Mr. Mommertz is also quite certain on the focus area and target group. “With road infra development, GST calibration and GDP growth, the haulage segment is growing up. And that’s going to be our prime focus, as we want sustainable growth”, he says, while acknowledging that MAN already enjoys a comfortable market position in the mining and construction truck segment. He is apparently not interested in segments below 16-tonnage for trucks, nor interested to invest in fully-built buses. “Bringing down products from our global line-up may not work for India, as the customer needs and market dynamics are different”, he adds.

MAN Trucks India expressed a mixed feeling with regard to 2017. “Sales figures were less than our target, thanks to market and policy changes, especially the BS-III stockpile, but we expect demand for long-distance tractor-trailers to surge in the coming months”, said Mr. S. Somasundaram, Head (Sales), MAN Trucks India. The year saw the company launching the BS IV-compliant CLA ‘EVO’ series of trucks, along with a slew of improved aftersales support efforts by way of five new dealerships and brand awareness campaigns.

For 2018, the truck maker is fully prepared with new initiatives to improve its market reach and customer engagement. First is ‘Mobile24’, a 24×7 roadside assistance to MAN vehicles across the country. The company is also ready for repair maintenance contracts (RMCs) that can be customised to suit specific customer requirements. MAN will also offer customer solutions using a digital platform that will make the interaction with the company more value-driven and efficient.

Second is the ‘MAN ProfiDrive’, a global programme of training and all-round support for business owners, fleet managers and drivers undertaken by MAN Trucks and Buses AG in nearly 70 countries worldwide. It has continuously improved and expanded in terms of its daily dealings with customers as well as the available training portfolio. The company will provide training to drivers to help them operate with better safety and deliver greater fuel efficiency in Indian context.

Speaking on the new initiatives, Mr. Mommertz said: “We have always offered solutions that improve customer experience with MAN. Digitisation is increasingly becoming a tool of convenience for customers, making it easier for them to connect with us. I am confident that these initiatives will make the overall association of customers with MAN more value driven.”

Recently, MAN Trucks India ran an expedition campaign (which we covered in our last issue) to create brand awareness and demonstrate the capabilities of its CLA EVO haulage range for long-distance applications.

MAN Trucks India state-of-the-art plant at Pithampur

Established in 2005 and covering an area of approx. 85 acres, the MAN Trucks India assembly facility is one of the advanced and automated CV production units in the country. With a capacity to roll out 9,000 truck and bus chassis per year, the facility was chasing a monthly target of 277 units when we visited the facility in December 2017, with a daily average of 15 units.

The plant is broadly divided into three sections – ‘Truck-in-Box’ (TIB), ‘Aggregate Shop’, and the ‘Vehicle Shop’. The TIB section involves CKD packaging of truck and bus chassis (with or without cabin) in wooden boxes that are then loaded tight-packed into large containers for export markets. With a total exports of 10,800 units with presence in more than 38 countries so far, the current operation stands at 100 units per month for 12 overseas markets in the African, South-East Asian and Middle-East regions. Almost 40 per cent of total production of this facility caters to exports.

The Aggregate Shop is where all the components and mechanical parts are prepared for final assembly. This includes axles and engine peripherals for BS-IV and Euro 2 and 3 (for some export markets). Oil filling and electronic calibrations to key components are also done here.

Compiled aggregates are then moved to the Vehicle Shop which involves an assembly line. The process starts by fitting axle and suspension modules into the chassis, followed by placing engine into the housing. The cabin, imported from China, is later mounted on the frame only to be sent for rigourous testing and final vehicle audit processes.

MAN Trucks India:

New products on the anvil

  • MAN CLA EVO 49.250 Tractor – Now available in 250 hp power option, in both 4×2 and 6×4 axle configurations.
  • MAN CLA Bus Chassis 18.250 (4×2) and 22.300 (6×2) BS IV-compliant – Just launched in January 2018.
  • SCOOP: D26 Deep Mining tipper – Expected to be launched in July next, the 31-tonne heavy-duty is likely to feature a powerful engine with a power output above 400 hp.