Q: How will synchronisation take place?

Raghavan: There are three significant areas where synchronisation will happen. One is on the supply chain, second on digital solution portfolios, and the third is the common process and policies of franchisees management and marketing. At least, in the short term, both companies will keep their own brand identities.

Q: Multi-brand car service is yet to become a profitable business in India. What does make you so bullish on the industry?

Raghavan: Profitability must be looked in a time perspective. It (multi-brand car service) is a very nascent business in India. It captures three things. One you have to change the cultural behaviour of the garages so all entrepreneurial will work. Second, you need to improve the productivity through adoption of technologies which the industry has not been using, and the third is you should able to have your supply chain right so that you can deliver spare parts on-demand at the reasonable costs. These all three elements, TVS has done in its ASPL businesses. Having the background of spare parts business, TVS ASPL has established a parts supply-chain to take a leadership position in however the small market it is as of now.

We strongly believe the three competencies - digital technology, parts and digital marketing, drive businesses and bring profitability in the garages. TVS ASPL has achieved profitability in that part of the business.

Q: Procurement of spare parts is the biggest challenge in the business? How do you deal with this challenge?

Raghavan: The focus is to access to spare parts. Your knowledge of parts says what are the choices of parts available. TVS has been historically in spare parts business so we have digitised and developed one of its kinds of catalogue which automatically cross-checks the differences to make the model engine and then which are the alternative parts you can use. The knowledge is very critical if you want to supply parts within committed time.

Q: What about investment in digital marketing and digitisation in the business?

Raghavan: It is city-wise; you need to determine where do you want to invest based upon your requirements. With this acquisition, once you got pan India coverage, your marketing costs and transactions get reduced drastically because the cost gets covered in wider geographic coverage and larger interest.

Q: Did you see an increase in the business post lockdown?

Raghavan: I will put into two different angles. If you ask if the business has come back to the pre-COVID stage, I will say yes. If asked, whether the business has been affected by COVID, I would say yes, it has been impacted at a large extent.

We strongly believe in developing an ecosystem where you will be able to help when there are growth opportunities. For example, for some of the franchisees, we have worked with NBFCs and banking to offer financial services and solutions. I would say, the business has come back to the pre COVID stage, but there are exceptions. The white-collar workforce, which is mostly not going to the office but working from home, so to that extent, the service and parts business of ours come down. But the two-wheeler business has picked up and is growing much faster than the pre- COVID stage. Making this business organised and lending to the brand name to it gives more confidence to customers to go to these franchisees for incremental services.

Q: How is the partnership with Google shaping up?

Raghavan: Google partnership is live. The ease of digital adaptation has increased, so I do not have to go physically to roll out solutions to garages. They can download from google and implement it. We have moved all our solutions on google cloud, and by January, our marketplace should be up for google. Any retailers or garages can download our digital solution and start implementing it.

Q: What is the role of digitalisation in aftermarket business?

Raghavan: Digitalisation can be looked at from three perspectives. One is as enablement through digital technologies. Garages can have our service management platforms and keep tracking the consumers’ behaviour, such as what repairs he did. The second, we have developed the AI algorithm to find what kind of services the customers need. Instead of recommending service for the core vehicle, can he replace his clutch or overhaul his air-conditioner or he should replace his brake pads. That’s where we can drive more trust of customers that I am monitoring the health of your vehicle. The third one is getting the vehicle diagnosed first time right. (MT)

India’s automobile industry has witnessed a dip is sales number in the passenger and commercial vehicle segments in FY24 and H1FY25. However, experts from CareEdge Ratings opine that this dip is no alarming for the overall industry as it is a cyclical downturn and the industry will bounce back. 
Commenting on the same during a virtual press conference, Senior Director Ranjan Sharma said, “The automobile sector has exhibited a mixed trend in H1FY25. While the two-wheeler industry has zoomed ahead at a healthy year-over-year growth rate of 16 percent, primarily driven by strong rural demand on the back of higher rural income levels, the passenger vehicle (PV) industry after witnessing healthy growth in past 2-3 years, has entered the slow lane during H1FY25 with wholesale volume growth slowing down to 2 percent on year-over-year basis due to subdued demand for entry-level cars and elevated inventory levels at dealer’s end. While two-wheeler volume growth is expected to remain healthy during FY25, overall PV volume growth is expected to continue to remain muted in FY25.”
“The commercial vehicle (CV) sector experienced significant growth post-pandemic, with approximately 30 percent growth in FY22 and FY23. FY22's growth was driven by a low base effect due to the pandemic's impact in FY21, while FY23 saw robust growth on a higher base. However, the momentum appears to have plateaued. Last year, the sector recorded a slight decline of around 1 percent and the current half-year shows a further decline of approximately 3 percent, primarily driven by a drop in the light commercial vehicle (LCV) segment. Meanwhile, the medium and heavy commercial vehicle (MHCV) segment has remained relatively stable,” he added. 
He also noted that infrastructure spending and increased construction activity in the second half of the fiscal year, supported by heightened government investment, could lead to some improvement. Nevertheless, for FY25 as a whole, CV volumes are expected to remain in negative territory, with an estimated decline upto 3 percent.
Commenting on how the dip in sales will fare for the overall automobile industry, he stated, “The two-wheeler segment is performing well overall. However, major CV and PV players are doing well individually, though volume growth is expected to remain neutral for a year or two, as this is cyclical. The sectors witnessed such fluctuations every 2-3 years but there is no alarming concern for the overall sector. Moreover, there are no significant concerns from a credit quality standpoint. These companies are large, have diversified portfolios and maintain a strong financial risk profile.”
He added, “The PV sector witnessed significant growth in the past couple of years, driven by its cyclical nature. The growth rate for FY25 is projected to be around 3 percent with a similar trajectory expected for FY26. The LCV segment, being more price-sensitive, has been particularly affected, showing sharper declines. For FY25, the sector is expected to close with a decline of about -1.5 percent to -2 percent. Looking ahead to FY26, even under the best-case scenario, growth is likely to remain subdued, with only minimal improvements expected, driven by the same underlying factors.”
Alluding to the performance of the electric vehicle (EV) segment, he said, “EV volumes have shown healthy growth, particularly in two-wheelers and e-buses. However, this growth has come from a very low base. Even in FY24, EV penetration remains modest with two-wheelers at approximately 5.4 percent and other segments, including passenger and commercial vehicles, at around 2 percent each. The slower pace of growth and penetration can be attributed to challenges such as underdeveloped EV charging infrastructure and the high cost of EVs compared to internal combustion engine (ICE) vehicles, which continue to act as significant bottlenecks.”
 

Image for representative purpose only.

Dana India has announced the completion of its Corporate Social Responsibility (CSR) initiatives in Chakan, Pune. The initiatives aimed at improving road safety and infrastructure in accident-prone areas and reiterates Dana India’s vital role in promoting sustainable development and community safety, both in Maharashtra and across India. 

In an effort to lower the risk of accidents for over 3,600 residents and tourists, Dana India built 30 tall solar lighting at Chakan's Alandi Phata Chowk. This project is in line with the Sustainable Development Goals (SDGs) of the UN, including Goal 13: Climate Action and Goal 7: Affordable and Clean Energy. Additionally, Dana India put up metal barriers and traffic safety signs in the industrial region of Chakan. Approximately 250,000 commuters are anticipated to benefit each day from these actions, which also support Goals 11: Sustainable Cities and Communities and 17: Partnerships for the Goals. 

More than 300,000 individuals now have better road visibility and safety thanks to the installation of road divider railings at strategic locations like Endurance Chowk. This programme promotes Goal 3: Well-being and Good Health. Goal 7: Accessible and Sustainable Energy Goal 17: Partnerships for the Goals and Goal 15: Life on Land. In order to significantly improve evening safety for an estimated 300,000 people, Dana India additionally installed street lighting in strategic areas across Endurance Chowk and the Chakan Industrial Area. These initiatives support both Goal 15: Life on Land and Goal 11: Sustainable Cities and Communities. 

Gajanan Gandhe, Country Head and Vice President, Dana India, said, “These initiatives represent a significant step towards improving road safety and promoting sustainability in the Chakan community. At Dana India, we are committed to driving meaningful change and enhancing the quality of life for the people of Pune while supporting the global sustainability agenda.”

aerpace Industries Ltd has announced that Sanjay Takale, Director of aerpace Racers and a distinguished racer, will compete in the four-wheel category of the Dakar Rally 2025, which is recognised globally as the pinnacle of motorsport.

Takale's long motorsport career spans three decades and includes over 75 national and international triumphs. Among his numerous achievements is the FIA Asia-Pacific Rally Championship Production Cup from 2013. In 2022, he became the first Indian invited to the FIA Motorsport Games, finishing 8th in Rally4 among participants from 72 nationalities. Takale's involvement in the Dakar Rally is a landmark success for Indian motorsport, cementing his position as a global hero. This development also demonstrates aerpace's dedication to nurturing cutting-edge talent and innovation.

Apart from his personal accomplishments, Takale is committed to developing new talent through aerpace Racers, an initiative of aerpace Industries. As Director, he aims to develop an innovative and sustainable motorsport culture.

Takale said, “Dakar is more than a race – it’s a dream that pushes the limits of human and machine capabilities. Representing India on this unparalleled platform is both a privilege and a responsibility. With aerpace’s unwavering support, I hope to inspire a new wave of motorsport enthusiasts to chase their dreams and redefine boundaries.”

The Bus and Car Operators Confederation of India (BOCI), the apex body representing passenger transport operators across the country, has re-elected Prasanna Patwardhan as its National President and announced its new National Committee list for a three-year tenure. The other key members of the National Committee include A Afzal (National Vice President), Dharmaraj D R (General Secretary), Harsh Kotak (Treasurer) and Babu Panikar (Additional Secretary).

Since its founding in 2016, BOCI has played a significant role in promoting the settlement of important problems that transport companies confront, such as infrastructural difficulties, taxation and regulatory barriers. The company is also leading new projects to improve passenger last-mile connection and encourage the use of environmentally friendly transport options like electric vehicles (EVs). With a vision that is firmly based on sustainability, innovation and teamwork, BOCI hopes to solidify its position as the force behind revolutionary developments in the passenger transport industry. 

Outlining the association’s vision for the betterment of the passenger transport industry, Patwardhan, who retains his position as National President, said, “I am deeply honoured to continue serving as the National President of BOCI, and I thank the members for their continued trust and support. The passenger transport industry is at a transformative juncture, requiring concerted efforts to adapt to evolving mobility needs. Public transport, as a pillar of sustainable and inclusive mobility, is central to achieving the vision of Viksit Bharat. BOCI is committed to strengthening the ecosystem by advancing solutions such as Mobility as a Service (MaaS) and enhanced last-mile connectivity, ensuring that public transport becomes more accessible, seamless and efficient for all. This tenure will focus on fostering innovative practices, driving meaningful collaborations, and establishing international partnerships to ensure our industry remains aligned with global advancements and emerging trends. As we gear up for 2025, our collective efforts will be directed toward addressing industry challenges, enhancing operational efficiencies, and creating a sustainable roadmap that empowers both operators and passengers. Together, we will continue to elevate the standards of the sector, ensuring it significantly contributes to India’s growth story.”

The complete list of members of the new National Committee is as follows:

1. Prasanna Patwardhan, National President
2. A Afzal, National Vice President
3. Dharmaraj D R, General Secretary
4. Harsh Kotak, Treasurer
5. Babu Panikar, Additional Secretary
6. Gurmeet Singh, Joint Secretary
7. D Maran, Joint Treasurer
8. Siddiq Gandhi, Joint Treasurer
9. Harish Sabharwal, Senior Vice President – North
10.  Anurag Agarwal, Senior Vice President – East
11.  Kiran Desai, Senior Vice President – West
12.  Manoj Padikkal, Senior Vice President – South
13.  Anjit Bora, Sr. Vice President – North-East
14.  Rajesh Parashar, Vice President – Stage Carriage
15. Kanwarjit Singh Sawhney, Vice President – Tourist Buses
16. Anil Dixit, Vice President – PPP Model
17. Malik M Patel, Vice President – Tourist Taxi
18. Navsharan Garcha, Vice President – School Bus
19. M Ramanathan, Vice President – Maxi Cab
20. Rijas A J, Vice President – Intercity
21. Sartaj Lamba, Executive Member
22. Mahendra Jalwania, Executive Member
23. N P Gautam Kiran, Executive Member
24. Hari Prakash Dubey, Executive Member
25. Ameet Sahoo, Executive Member