FEASIBILITY STUDY TO LAUNCH A CAR SERVICE CENTRE IN ERODE
Client
The client planned to establish a car service workshop in Villarasampatti, Erode. To ensure a successful launch, the client sought a comprehensive market feasibility study to assess the business potential within the target region.
Objective
To evaluate the viability of opening a car service center by understanding the competitive landscape, pricing strategies, and customer interest in the Villarasampatti area.
Research Objectives
- Market Mapping: To identify and analyze the number and type of car service workshops operating within a 5 km radius of Villarasampatti.
- Competitor Analysis: To gather detailed insights into services and pricing structures offered by competitors through mystery shopping.
- Customer Interest: To estimate the proportion of potential customers likely to be interested in the proposed car service workshop.
Research Design
The study employed a multi-faceted approach to provide actionable insights:
- Market Mapping
- Conducted a detailed analysis to identify all existing car service workshops within a 5 km radius of the proposed site in Villarasampatti.
- Excluded branded service centers and company-owned outlets to focus solely on multi-brand and multi-service workshops.
- Mystery Shopping
- Evaluated the services provided by competing workshops through anonymous visits.
- Collected pricing data for core services to benchmark the client’s proposed offerings.
- Consumer Surveys
- Conducted structured surveys with potential customers in the region.
- Focused on car owners to gauge their interest in using the client’s services and understand their expectations for a new workshop.
Findings
- Competition: The study identified several multi-brand workshops within the area, offering a variety of services but varying significantly in service quality and pricing.
- Customer Insights: A notable proportion of respondents expressed interest in a new workshop that could provide reliable, affordable, and high-quality services.
- Gap Analysis: Key service gaps were identified in areas like customer care, transparent pricing, and quick turnaround times, providing the client with opportunities to differentiate their offering.
Outcome
The feasibility study demonstrated a favorable potential for launching the car service workshop in Villarasampatti. The findings provided the client with critical insights into the competitive landscape, pricing benchmarks, and customer needs, enabling them to tailor their services for maximum market appeal.
