How to Start A Hyundai Dealership ?

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To build a successful and long-lasting business with a high profit ratio and a bright future is something that is very complicated to achieve. It is the same reason why people opt for Franchise and dealerships as it becomes easy to run a business that has a great brand value in the market. Out of all the different sectors, the automobile industry has seen a tremendous growth and demand in the market. And when it comes to Automobiles, one of the leading brand dealerships that is preferred by many individuals is the Hyundai Dealership.

The name Hyundai needs no introduction, most of the cars that run on Indian roads are occupied by the ones that are manufactured by Hyundai. Be it affordable and middle-class family cars or premium cars, Hyundai has always been giving a tough competition to other known automobile brands. They targeted Indian markets from the year 1996 and since then it is the only brand that is preferred by first-time car users, to be more specific, the ‘Hyundai Santro’ car. A South-Korea origin manufacturing company has become India’s most preferred brand when it comes to automobiles, especially the four wheelers.

The Automobile has always proven to be a difficult industry for car manufacturers as they always have to provide top quality international standards and yet keep it affordable for all the customers. In a country like India, many automobile brands have entered and failed in their span, however, the sales record and demand of Hyundai Cars are in a different league in itself. Be it affordability, quality, or the after-sales services, Hyundai has always been up to the mark. The brand has its headquarters in Chennai and currently has two manufacturing units in India which make it very easily accessible and delivered to its units.

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Hyundai Dealership Advantages

It is always the pros and cons that makes one come to a decision, especially in the case of dealerships and franchise. To have a dealership of an automobile brand is a very expensive venture and hence all pros should be studied well by an interested individual. The various advantages of acquiring Hyundai dealership are mentioned as follows.

  • The primary benefit is the brand value of the company itself. Brand value plays a very important role for the survival and success of any venture. Hyundai, ever since 1996 has developed a deep trust amongst its customers by providing the best quality, comfort, affordable price, and the much needed services to its customers. It is on these very principles that the brand has survived so far and made a huge success in Indian markets where a majority of people belong to the middle or lower classes.
  •  Another significant USP of Hyundai India is that they have a variety of car models such as Hyundai Santro, Hyundai i10, Hyundai Grand i10, Hyundai Xcent, Hyundai i20 Active, Hyundai 4S Fluidic Verna, Hyundai Elantra, Hyundai Creta and Hyundai Tucson. Although, the quality and comfort of every car differs, the important fact to notice is that they manufacture cars of all the ranges that one would go for in Indian markets. This, as a dealer, helps you to pitch your customers as per their budget and ensures higher chances of sales.
  • Apart from quality, affordability, the crucial fact is that Hyundai cars are in demand in the Indian markets. As per various reports, it is proven that Hyundai India is the 2nd most purchased brand in the Indian markets. The company keeps on building the trust of its customers and surprises them with the new models and innovations that they bring along with the advancement of technologies, thereby always providing something surplus to its customer’s expectations.

  • Hyundai India also focuses on Corporate social responsibility, more commonly known as CSR activities. They not only excel on their business side but are also inclined to contribute to the society. This gives a fair public image and builds more trusts with the customers. As a dealer of Hyundai, all of these factors only adds more credibility for your business and a higher chance of profit.

Investment Required to start

As Hyundai India belongs to the automobile sector, it is very obvious that the investment amount would be very hefty. The total investment required for acquiring the dealership of Hyundai India would vary between 25 to 30 Crores INR. This investment amount includes everything, be it the dealership fee, area, equipment, necessary compliances, and so on.

The expected return on investment period is said to be between 3 to 5 years as per the records of many dealerships. The profit percentage is confidential and can only be known after signing the dealership agreement.

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  • Hyundai India is a big brand name in the market and the fact that it belongs to the automobile sector makes it even more strict for the dealer to follow certain guidelines and meet the requirements that is set forth by the brand. The various requirements for acquiring Hyundai Dealership is mentioned as follows.
  • The minimum area required for starting a Hyundai Dealership should be at least 4000 sq. ft. This area should also have lots of space for customers, and to present cars. Furthermore, it should also include space for a repair station. A designated office area is also required. The showroom must be located on the ground floor. The company provides the guidelines to set up the showroom. The showroom must contain a walk in service location.
  •  Manager, Sales Coordinator, sales consultant, technicians, supervisor, workshop manager, service advisor, salespersons, and store in charge are the manpower required to run and manage a dealership showroom. However, you are also required to hire more employees for other miscellaneous work.

Application Process

There are various ways through which one can contact the brand for dealership, such as visiting the head office or the official website. The easiest way is to head to their official website and fill the dealership form. You would be later contacted by the representatives of the brand and the process would scale further. The official website of the brand is as follows.


What is the cost for starting Hyundai Dealership?

Is Hyundai Dealership worth it?

What is the return on investment period?

How to Apply for Hyundai Dealership?

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