Honda Sets Up Digital Innovation Arm In India To Boost Mobility Ecosystem

CW Bureau ·

Japan’s Honda Motor Co has announced the establishment of a new India-based subsidiary, Honda Digital Innovation India Pvt Ltd (HDII), as the company looks to strengthen customer engagement and build a digital mobility ecosystem in one of its key growth markets.

The newly- formed entity will focus on expanding digital customer touchpoints and creating new mobility experiences for Honda customers in India through data-driven services and digital technologies.

India remains strategic growth market
Honda said India continues to be a strategically important market for the company, backed by its long-standing motorcycle and automobile operations in the country.

The company said it aims to deepen its local presence by working closely with India’s innovation ecosystem, industries and digital talent pool while co-creating solutions tailored for Indian consumers.

Honda added that HDII would leverage the extensive customer data and touchpoints generated through its automobile and two-wheeler businesses in India to enhance the value proposition of its mobility products and services.

Digital platform to integrate services
Through HDII, Honda plans to develop a digital platform that integrates motorcycles, automobiles and digital services into a unified mobility ecosystem.

The company said the initiative is aimed at offering solutions to mobility-related challenges faced by Indian consumers while expanding beyond vehicle sales into broader mobility services.

Honda said the ecosystem will help create seamless digital experiences for customers and strengthen engagement across multiple touchpoints.

Focus on customer experience
A major focus area for HDII will be the expansion of digital customer experiences through integrated marketing and engagement initiatives across Honda’s motorcycle and automobile businesses.

The company said digital marketing activities currently being handled independently by its different business verticals would now be further strengthened through the new subsidiary.

Honda expects the move to contribute towards higher customer engagement and sales expansion through connected and seamless digital interactions.

AI, local talent to power innovation
Honda said HDII will also focus on co-creation initiatives involving India’s growing artificial intelligence ecosystem and digital talent base.

The company plans to expand existing digital services into a new integrated application platform while pursuing co-development of mobility-focused digital solutions.

Honda added that these initiatives are also expected to contribute towards the advancement of India’s digital and industrial ecosystem.

Bengaluru base and expansion plans
The new company will be headquartered in Bengaluru with an initial capital investment of 300 million Indian rupees.

Toshiyuki Yanagisawa will serve as the Chief Executive Officer of the new entity.

Honda also reiterated its long-term commitment to the Indian market, stating that it plans to increase annual motorcycle production capacity in India from the current 6.25 million units to nearly 8 million units by 2028.

The company said its India operations will continue to play a major role as an export hub catering to markets across ASEAN, Central America and South America.