Dealers Expect Higher Transparency & Balanced Business Policy: FADA
Federation of Automobile Dealers Associations (FADA), the apex national body of Automobile Retail in India has announced the outcome of the Dealer Satisfaction Study 2022.
Three winners from last year have maintained their leadership positions in their respective segments-
> Hyundai Motors India improved its performance by 119 points to end at number 2 in the 4-Wheeler Passenger Mass segment.
> Royal Enfield jumped several notches to bag the third spot in the 2-Wheeler Mass market segment, improving by 151 points over its last year’s performance.
> All the players in the CV segment have improved and VECV while maintaining its top slot has improved by 163 points over its last year performance, the highest by an individual OEM across industry.
At the Overall Industry Level, Product is the highest scoring factor across all categories except for the 4-Wheeler Luxury segment, where it comes a close second. This demonstrates the fact that the industry is expected to bring in world class products as per new age consumer demand.
At an Industry Average Dealer Satisfaction score of 719, there is an improvement of 62 points from the last year study. All segments of the industry show an improvement over last year with the 4-Wheeler Luxury segment improving by 147 points followed by the CV segment by 112 points.
In 4-Wheeler Mass Market Segment, the study reveals that the sharing of training costs with the OEM’s is an area of concern along with the involvement of dealers in policy making. The dealers are happy with product reliability and the range to offer to the customers.
In 4-Wheeler Luxury Segment, Dealers have raised their concerns with respect to parts delivery & Turnaround time (TAT) as well as OEMs ability to meet the orders for vehicles as per specifications and requirements. The study also found that dealers were satisfied with the relevance of existing sales process, product range offered to customers and OEM’s extended warranty process.
In 2-Wheeler Segment, OEMs buyback / deadstock policy and margins on sales is a concern area and needs to be attended to as it impacts Dealer viability directly. Dealers are satisfied with the product reliability and range and the effectiveness of the training provided to the customer facing teams.
In the CV Segment, dealers are concerned about ensuring viability and dealing with deadstock & inventory buyback by the OEM. Product dependability, reliability and range are areas of strength according to dealers. This is particularly important considering the shift to BS VI vehicles in the recent past.
