Tech And Strong Supply-chain Will Bring Profitability - Srinivasa Raghavan
- By Sharad Matade
- December 19, 2020
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)
- Federation of Automobile Dealers Associations
- FADA
- Vyapar Delhi 2026
- EV Policy
- Scrappage
- Dealer Cess
FADA Concludes Vyapar Delhi 2026 With Focus On EV Policy, Scrappage And Dealer Cess Issues
- By MT Bureau
- April 17, 2026
The Federation of Automobile Dealers Associations (FADA) has successfully wrapped up the third edition of Vyapar Delhi alongside the 22nd national Vyapar conclave at Le Méridien in New Delhi. Centred on the theme ‘Vyapar Delhi – Badalti Dilli’, the event gathered over 200 automobile dealers, senior policymakers, original equipment manufacturer leaders, financial institutions, and domain experts. Their goal was to deliberate on the future of automotive retail and mobility within the National Capital Region.
The event was honoured by the presence of Rekha Gupta, Chief Minister of the Government of NCT of Delhi, as the chief guest. Key policy discussions tackled pressing dealer challenges, including the draft Delhi Electric Vehicle Policy, the vehicle scrappage policy, the Municipal Corporation of Delhi’s classification of workshops as industrial versus commercial and the long-pending compensation cess issue. A dedicated technical session offered legal clarity on the cess and a path forward to protect dealers’ legitimate financial credits.
A major highlight was the panel discussion titled ‘Badalti Dilli: Reimagining Passenger Mobility in India’s Capital’, featuring senior leaders from JSW Motors, Volvo Car India, Honda Cars India, BYD India and Nissan Motor India. They explored changing consumer expectations, electrification pathways, product strategy and dealers’ role as critical enablers of India’s mobility transition. Additional sessions covered artificial intelligence-led dealership transformation, future-ready retail practices, and presentations from finance and technology partners.
Road safety remained a strong undercurrent throughout the day, with FADA reaffirming its commitment to helmet and seatbelt awareness, responsible driving behaviour and first response training including CPR at dealership levels. Vyapar Delhi 2026 ultimately reaffirmed FADA’s role as a constructive stakeholder in shaping policy, supporting environmental goals, strengthening road safety outcomes and safeguarding livelihoods.
The Chief Minister said, "We are committed to the mission of a 'Clean Delhi, Green Delhi, and Smart Delhi.' Our government has introduced the country’s most comprehensive EV Policy, allocating INR 40 billion over the next four years to provide subsidies, tax waivers and scrapping incentives that drive us toward green mobility. To tackle pollution at its source, we are revolutionising our transportation sector through massive investments, for the Metro and the establishment of automated fitness centres to ensure every vehicle on our roads is fit and emission-free. A 'Viksit Bharat' by 2047 is only possible with a 'Viksit Delhi.' I call upon our automobile dealers to act as the government's 'working hands' in motivating citizens to shift to clean energy. We are streamlining our policies to make registration easier and more efficient, ensuring that the people of Delhi have a world-class, environment-friendly experience right here in the capital. Together, we will transform Delhi into a city that defines the future of sustainable urban living."
Reiterating FADA’s continued engagement with policymakers, leadership development through FADA Academy, GenX and Women in FADA, as well as sustained legal efforts on the Compensation Cess matter, C S Vigneshwar, President, FADA, said, “Delhi is in motion, not just on its roads, but in its ambition, and at FADA, we believe automobile dealers must be full partners in this transformation. While we fully support the city’s commitment to a greener future and the Draft EV Policy, it is vital that this transition includes the 17,500 trained professionals whose livelihoods are woven into Delhi’s automotive ecosystem. Our vision of ‘Badalti Dilli’ is one where enablement moves faster than enforcement, where economic growth, road safety initiatives like CPR training and our ‘Buckle Up’ campaign and environmental responsibility progress together without leaving anyone behind.”
Shailender Luthra, Chairperson, FADA Delhi, said, “Today’s gathering reflects a changing Delhi and an evolving auto retail trade. The sector today is vastly different from what it was five years ago, and we are witnessing a significant shift driven by rising consumer confidence and aspiration, with Delhi recording a 17 percent growth in vehicle sales as of March 2026. Annual new vehicle registrations stood at nearly 800,000 units. Our industry remains a vital pillar of the city’s economy, with 550 dealership outlets providing employment to over 55,000 individuals and contributing approximately INR 71.5 billion to Delhi’s revenues through motor vehicle taxes and GST – INR 26.5 billion annually in motor vehicle tax and INR 45 billion as GST contribution from the auto sector. The data clearly shows that India is no longer debating electric vehicle adoption; it is actively embracing it. Delhi has witnessed a sharp increase in electric commercial vehicles and a 62 percent rise in electric two-wheeler adoption. To support and lead this transition, FADA has proposed to the Delhi Government the installation of 150 public charging stations at our own cost. In parallel, we are committed to strengthening local employment through skill development centres at ITIs and have also proposed the establishment of a vehicle scrappage centre to further support the government’s environmental objectives. At FADA, we believe we are doing far more than selling vehicles – we are shaping the future of mobility. As Delhi and its businesses evolve, I am confident that our dealers will not only keep pace with change but will lead this vital transformation towards a sustainable future.”
Škoda To Showcase Epiq Concept Through Art At Milan Design Week 2026
- By MT Bureau
- April 17, 2026
Škoda Auto follows up its 2025 Milan Design Week debut with another appearance at Palazzo del Senato. The carmaker has commissioned Spanish architect Ricardo Orts, whom Forbes listed among the top 100 creative business people in 2024, to build an installation centred on modelling clay. That same playful material anchors the advertising push for the forthcoming Epiq, a compact electric crossover. Visitors will see the camouflaged vehicle alongside Orts's large scale works, all designed to showcase how Škoda currently thinks about form and function.
Palazzo del Senato hosts this event from 21 to 26 April. Orts, who runs Ulises Studio, has filled the Baroque courtyard with bright colours that blur the line between screens and physical space. Two pieces take centre stage: the hidden Epiq and a sculptural version called Epiq Sculpt. Their modern look clashes boldly with the historic architecture. The slogan woven through the presentation highlights a feeling of pleasant surprise: ‘Ooooh, that’s EpiQ!’
Beyond the main display, the open atrium offers several draws. A digital corner uses an LED screen to let people explore the Epiq and the brand. There are quiet zones, an open seating area, a space for children and a corner for group exercise and wellness talks. A Škoda Elroq has been turned into a mobile café selling Curiosity Fuel Coffee. Design leader Chan Park will join Orts for a conversation called Epiq Talks, giving guests a closer look at the project's origins.

Škoda Auto uses its Milan presence to champion curiosity, transformation and hands on discovery. The setup welcomes quick stops for a drink as well as full day visits with exercise sessions and discussions. Everyone from young children to design enthusiasts will find something engaging. The ultimate goal is to help people feel wonder again and enjoy how art can reshape ordinary spaces.
Martin Jahn, Škoda Auto Board Member for Sales and Marketing, said, “Milan Design Week allows us to further elevate the Škoda brand and present it far beyond the automotive world – as a brand driven by design, creativity and innovation. Our installation brings the Modern Solid design language to life in a playful, immersive way that invites people to experience our brand, not just observe it. At the heart of this presentation is the Epiq – a clear expression of our ambition to make electric mobility more accessible and to inspire new customer groups through design-led storytelling.”
Orts said, “Škoda Auto fits naturally into my visual world. It combines playfulness and accessibility with a strong technical and carefully considered design language. This balance between imagination and precision deeply resonates with my own work.”
wdk Warns Of Decoupling Between Automakers And Suppliers
- By MT Bureau
- April 17, 2026
The German Rubber Industry Association (wdk) has expressed deep concern over the widening gap between automotive manufacturers and their suppliers in Germany, a trend observed for the first time since 2025. Managing Director Boris Engelhardt noted that many industry suppliers are fighting for economic survival. While car manufacturers continue to grow, German suppliers are shrinking. Engelhardt condemned automakers for demanding financial concessions from struggling suppliers, warning this threatens their very existence.
For decades, German automakers and suppliers worked hand in hand to achieve global leadership. Engelhardt argues this cooperation is now being abandoned as carmakers shift to cost-driven strategies, jeopardising Germany’s future as an innovative production hub. Since 2019, global disruptions have forced suppliers to reduce capacity while remaining flexible, but limits have now been reached.
Projected write downs of EUR 65 billion for 2025 stem from a lack of technological foresight in government mobility regulations. Engelhardt emphasised these consequences are no surprise, as the association warned more than a decade ago. Yet automakers now demand massive price reductions from shrinking suppliers instead of offering support.
Engelhardt concluded that solidarity is not a one-way street. After years of supplier flexibility, it is now the automakers’ turn to act responsibly. Preserving Germany’s automotive supplier base requires shared burden sharing, not unilateral financial demands from manufacturers.
Scania Expands Services 360 To Cover Electric And Used Trucks
- By MT Bureau
- April 16, 2026
Scania has completely reworked its Services 360 portfolio by introducing a dedicated offering for new electric trucks, which now covers every operational need including battery care. At the same time, the company has rolled out flexible coverage plans for second-hand combustion engine vehicles, allowing owners of used trucks to choose from different levels of repair, maintenance and productivity support. This move reflects rising sales in both the new electric and used diesel truck segments.
Originally launched in 2024, the Services 360 portfolio was built around smart flexible maintenance planning and a range of digital tools. It already provided customised packages suited to fleets of any size or powertrain type. Now, Scania has extended Services 360 to include used vehicle customers, who are often more price sensitive. For them, four distinct packages called Core, Plus, Full and Pro are available, offering progressively deeper coverage. Core includes basic fleet maintenance and digital monitoring, while Pro adds proactive and powertrain repairs.
For owners of battery electric trucks, Scania offers the Full package within Services 360. By broadening access to these tailored service levels, the company reinforces its commitment to customer profitability across all business types. This expansion ensures that whether a customer operates new electric trucks or used conventional ones, they receive a competitive and customized service solution designed to keep their vehicles running efficiently and profitably.
Lars Gustafsson, Senior Vice President and Head of Trucks at Scania, said, “We want our battery-electric truck customers to only focus on maximising the use of their vehicles. By offering a single service level – Full – we ensure that every repair, every interaction between systems and every unexpected issue is handled and covered by Scania, giving our electric truck customers all the support they need. We pride ourselves in being close to our customers’ pain points, and extending Services 360 is a way to reach even more transport operators and cover the full ecosystem of needs around their business. No matter the type of powertrain, operation or business sector, the underlying goal of Services 360 is to support the customer and make them more profitable and sustainable for the long term.”

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