In a constantly evolving Mexican automotive landscape, Renault Mexico is betting heavily on the light commercial vehicle (LCV) segment , a sector that demands a combination of efficiency and functionality, which is why it has become a key piece in the brand’s expansion strategy in the country.
Since Jesús Gallo’s arrival as general manager of Renault Mexico in August 2024, the company has undertaken an ambitious strategy to strengthen its presence in the LCV segment, an approach that not only seeks to increase the French brand’s market share, but also to establish quality and innovation standards in commercial transportation in Mexico through a robust strategic plan, to consolidate itself as a benchmark in this segment, key to the development of companies in Mexico.
In an interview, the CEO said that Renault Mexico’s strategy in the LCV segment is based on an approach that combines innovation, customer service and adaptability to market conditions under three fundamental pillars: product, customer satisfaction and market attractiveness.
Renault Mexico sees the commercial vehicle segment as a solid business opportunity with significant growth potential.
Although it does not compete directly in volume with the most dominant brands in the passenger vehicle market, Jesús Gallo pointed out that this sector is vital for the brand due to its high profitability and ability to retain customers through after-sales.
“We see a great development in brand positioning for today. This approach not only allows Renault to reinforce its presence in Mexico, but also to strengthen its relationship with customers, especially those who depend on fleets for their daily operations,” he assured T21.
In terms of products , Gallo said that Renault is betting on a well-positioned product offering that is relevant to the needs of the Mexican market.
“We are not talking about bringing 14 products, but rather products that are relevant to the industry in Mexico, models that really provide value to their customers, such as efficiency, durability and ease of maintenance,” he explained.
In addition, the brand works with certified transformers to customize vehicles according to the specific needs of customers, an adaptability that is essential to serve a variety of sectors, from small and medium-sized enterprises (SMEs) to large corporations, Gallo explained.
On the other hand, Renault seeks to increase customer satisfaction , since “we want the customer to never feel alone or with an unresolved problem for a long time,” which translates into service and technical support policies that guarantee the continuity of the companies’ operations.
In this regard, Renault has implemented a comprehensive support system that includes technical assistance, efficient after-sales service and a preventive maintenance program, reducing downtime and optimizing fleet performance.
The third key element of Renault’s strategy is to offer attractive commercial solutions tailored to customers’ needs, including flexible financing plans, specially designed for SMEs, and programs that facilitate fleet management.
“It’s not about selling a car, it’s about selling a mobility solution,” Gallo emphasized.
Logistics, a strategic pillar
At this point, to support these pillars, logistics plays an important role, which is why Jesús Gallo assured that this segment before the pandemic was a little-visible function, but the COVID-19 crisis radically changed that perception.
“Logistics used to be a function that no one talked about because it wasn’t a problem. Today, it is one of the most critical areas in any business,” Gallo said.
He said that during the pandemic, Renault Mexico faced supply chain challenges that forced the company to reevaluate its approach , resulting in increased investment and expansion of the logistics team, which has become the company’s second-largest team in Mexico since August.
Gallo stressed the importance of logistics not only in the management of cars, but also in the distribution of parts to other production centers.
This department is today essential for optimizing efficiency, from the use of transporters to improving the delivery of vehicles and spare parts.
“We are working to not only order cars, but to do so efficiently, maximizing the capacity of the carriers and ensuring optimized deliveries,” Gallo added.
Innovation and sustainability
Renault has also set its sights on the future of sustainable mobility with an electrified commercial segment, positioning itself as a pioneer in this technology within commercial vehicles.
Although the Mexican market is still in the early stages of adopting electric vehicles, Renault has begun to introduce electric models to be at the forefront when demand grows.
“We were perhaps too early, but we wanted to be one of the first to understand what customers were asking for,” said Gallo.
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