By Amrita Shetty, Senior Manager, Communications & Content – Mobility
With over 30,000 dealerships employing more than five million people, the Federation of Automobile Dealers Associations (FADA) stands as the national voice of India’s automobile retail sector. The automotive retail industry, with annual revenues surpassing ₹40,000 crore, plays an indispensable role in India’s economic ecosystem. FADA’s efforts in contributing to the nation’s economic growth cannot be overstated.
On September 11, FADA hosted its 6th annual Auto Retail Conclave in New Delhi, coinciding with the association’s 60th anniversary. The event, themed “Transforming Tomorrow: Elevating Customer & Revitalizing Dealer Synergy,” focused on embracing change and fortifying partnerships to prepare for the future of auto retail. Over 500 delegates from across India attended, reflecting the wide-reaching influence of FADA’s leadership in the industry.
Leading with a Vision for Change
Welcome address by Mr. C.S. Vigneshwar, President FADA
At the helm of this transformation is FADA’s newly elected 37th President, Mr. C.S. Vigneshwar, the youngest to hold this position in the organization’s history. His address highlighted the need for “passion” and “intent” in guiding the future course of the auto retail industry. He outlined two critical priorities: the implementation of a Retail Protection Act and the introduction of a Model Dealer Agreement. These measures are intended to safeguard the interests of dealers and ensure long-term stability for the sector.
Mr. Vigneshwar further emphasized the importance of strengthening collaboration among key stakeholders, including dealerships, original equipment manufacturers (OEMs), financiers, and insurers. This collective effort is essential for fostering innovation, supporting growth, and ensuring that all parties benefit from the evolving dynamics of auto retail.
Government Support for a Greener Future
Union Minister for Road Transport & Highways, Mr. Nitin Gadkari addressing the gathering
A key highlight of the event was the virtual address by Union Minister for Road Transport & Highways, Mr. Nitin Gadkari. He praised FADA for its leadership in promoting green mobility and road safety initiatives. Mr. Gadkari called for continued innovation in customer service, aftersales, and quality assurance, urging greater public-private partnerships to meet shared goals of sustainability, innovation, and safety. His words underscored the government’s support for a forward-thinking, eco-conscious automotive sector.
Speaking at the inaugural session, Dr. V. Anantha Nageswaran, Chief Economic Adviser at the Ministry of Finance, lauded FADA’s role as a critical source of economic insight for policymakers. He reinforced the importance of product and occupational safety, reflecting the growing emphasis on comprehensive safety standards in India’s auto industry.
Union Minister for Environment, Forest, and Climate Change, Mr. Bhupender Yadav, stressed FADA’s initiatives toward green mobility, including its tree-planting program, where one tree is planted for every vehicle sold. His address underscored the importance of zero-emission vehicles in India’s transition to a carbon-neutral economy, aligning with government goals to promote sustainable energy and accelerate the growth of electric vehicles (EVs).
Mr. H.D. Kumaraswamy, Minister of Heavy Industries, praised FADA’s work in advancing clean energy and EVs, highlighting the alignment with the government’s green automotive vision. He emphasized the government’s commitment to collaborating with industry stakeholders to drive sustainable, customer-centric growth in India’s automotive sector.
Customer Experience and Dealer Satisfaction in Focus
CxO Fireside Chat on the CEI Study 2024
A major feature of the conclave was the presentation of Frost & Sullivan’s Customer Experience Index (CEI) Study for 2024. Mr. Shylesh Narayanan, Country Head of Frost & Sullivan, introduced the findings, which assessed customer experiences across sales, aftersales, and product quality in the passenger vehicle segment. Based on a survey of over 8,500 customers from Tier 1, 2, and 3 cities, the study revealed key drivers of customer satisfaction, such as test drive experiences, responsiveness of sales teams, and ease of transaction.
The study also identified crucial product factors, including vehicle performance, reliability, fuel efficiency, and warranty. Aftersales services were scrutinized for workmanship quality, appointment scheduling ease, and fair pricing. These insights offer invaluable guidance for both automakers and dealerships in enhancing customer satisfaction and loyalty.
Championing Innovation, Collaboration, and Sustainability
Throughout the day, attendees participated in a range of discussions and presentations aimed at strengthening dealer-OEM relationships and identifying growth opportunities. The unveiling of FADA’s Corporate Video and the 2024 FADA Digest, which highlighted industry trends and policy developments, provided further insight into the strategic direction of the sector.
Two key panel discussions—CxO Fireside Chat on the CEI Study 2024 and Dealer Satisfaction Study (DSS’24): Strengths & Opportunities—offered insider perspectives on improving customer engagement and leveraging dealer relationships to drive business growth. These discussions emphasized the necessity of adapting to new customer expectations and using data-driven strategies to enhance satisfaction.
A significant milestone was the signing of an MoU between FADA, DigiELV, and Meta Materials Circular Markets (MMCM). This partnership aims to promote sustainable practices, particularly in end-of-life vehicle management, utilizing digital solutions to ensure environmental responsibility across the sector.
The conclave concluded with awards presented to the winners of the Dealer Satisfaction Study 2024 and Golden Dealership as well as for the first time to the top-performing OEMs of the Customer Experience Index Study 2024.
Shaping a Greener, More Innovative Future
FADA’s 6th Auto Retail Conclave was all about ‘Transforming Tomorrow’, sharing the association’s vision for the future of auto retail in India – a future defined by innovation, sustainability, and collaboration and a focus on strengthening partnerships, enhancing customer experiences, and promoting green mobility.
