Indian automakers plans to pass on higher commodity prices to customers will dim the prospects for a demand recovery after December 2020. The hikes come at a time when the boost in some categories from pent-up demand and festive spending fades, and the economic impact from the coronavirus pandemic reasserts itself, Fitch Ratings said. Pent-up demand after the gradual easing in the government s lockdown helped India s monthly wholesale volume of passenger vehicles (PV) return to growth after July 2020. PV wholesale volumes rose by 13 per cent YoY in the quarter ended September 2020, Society of Indian Automobile Manufacturers data showed. Festive demand helped sustain growth after September, but the pace slowed to 5 per cent (year-on-year) in November from 14 per cent in October. This, even after including timing advantage from the Diwali festival falling in November in 2020 as against October in 2019. “We believe this indicates pent-up demand is tapering off”, the rating age
1.62%Source: BSE Auto Index There has been some recovery in auto sales in recent months. But, there is a peculiar situation in India, where the car makers and the dealers can’t agree whether the sales in the month of November were good or not! While the Society of Indian Automobiles, the lobby of car manufacturers, said it has been a great month, the dealers association wasn’t as excited.
The recommendation from the Parliamentary panel has come at a time when car makers like Maruti and Mahindra & Mahindra have already announced discounts a usual fair at the end of every year after a losing an entire year to the pandemic and its extended impact. The recovery of this segment of industry is important because it employs a large number of people, many unskilled or less-skilled ones, and as per the panel’s estimate, 345,000 people have already lost their jobs.
ASDC, FADA, Google India tie-up for digitisation in auto industry
By IANS |
Published on
Wed, Dec 16 2020 21:12 IST |
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Transmission of benefits of past and present rate cuts by lenders is essential for the automobile sector to drive out of the slowdown, feel industry observers. (File Photo: IANS). Image Source: IANS News
New Delhi, Dec 16 : The Automotive Skills Development Council (ASDC) and the Federation of Automobile Dealers Associations (FADA) have joined hands with Google India to bridge the digital skill gap in the country s auto dealerships and build their capacity in this critical growth driver.
Industry experts believe that some customers may not wish to visit a dealership as many times as before prior to making a purchase decision, and hence, there is an urgent need for automotive retail to become virtual, lean, and flexible, said a joint statement.
FADA And ASDC Partner With Google To Train Over 1 Lakh Employees For Digital Transformation
FADA And ASDC Partner With Google To Train Over 1 Lakh Employees For Digital Transformation
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Highlights
FADA and ASDC are trying to digitalise dealerships across India.
More employees will be trained in the second phase.
Automotive Skills Development Council (ASDC) and Federation of Automobile Dealers Associations (FADA) have joined hands with Google to lead industry s Digital Transformation. The partnership is aiming to train over 1 lakh employees across 20,000 dealerships in a bid to digitalise dealerships across the country. Google India under its Grow with Google initiative will be conducting training program via a series of webinars on Digital Marketing, Hyper Local Marketing, and Full Funnel Strategy on Google India s YouTube channel and other online platforms.
Commenting on the November 2020 data, Mr Rajesh Menon, Director General, SIAM in a statement said, âWe have witnessed an increase in wholesale numbers in the month of November, where Passenger Vehicles grew by 4.65% and Two-Wheelers by 13.43% over the corresponding month of last year, primarily on account of the festive season. While the festive season brought back some fervor in specific segments, the overall economic scenario would determine the industryâs performance going forward,â he adds.
Utility vehicle sales grew by 17.2% from a year earlier in November to 103,525 units driven largely by companies such as Maruti Suzuki India Ltd, Hyundai Motor India Ltd and Kia Motors India Ltd.