The Federation of Automobile Dealers Associations (FADA) has released the results of its Dealer Satisfaction Study (DSS) 2025, which surveyed over 1,800 dealer principals covering nearly 5,000 outlets across India. The overall industry satisfaction index increased by 13 points to 781 points, indicating a positive trend in the automotive industry. The study, conducted in partnership with PremonAsia, collected responses in nine regional languages to ensure wider participation.
The survey ranked various automotive companies based on dealer satisfaction. In the 4-wheeler mass market segment, JSW MG Motor topped with 868 points, followed by Mahindra & Mahindra, Tata Motors, Kia India, Hyundai Motor India, and Maruti Suzuki. Royal Enfield led the 2-wheeler segment with 852 points, followed by Hero MotoCorp, Honda Motorcycle and Scooter India, and TVS Motor Company. Ashok Leyland retained the top spot in the commercial vehicles segment, while Atul Auto led the 3-wheeler segment with 924 points. Volvo Cars ranked highest in the luxury cars segment with 884 points.
Despite the overall positive trend, dealers across segments raised common concerns, including the lack of clear buyback or write-off policies for unsold inventory, training cost-sharing arrangements with OEMs, low margins on vehicles and spare parts, limited involvement of dealers in OEM decision-making, and long-term viability and profitability of dealerships. While 2-wheeler dealers reported higher satisfaction compared to last year, scores in the 4-wheeler mass market and commercial vehicle segments declined.
FADA President C S Vigneshwar emphasized the importance of addressing structural issues, such as buyback policies and dealership viability, to improve dealer satisfaction. PremonAsia Director and COO Rahul Sharma noted that after-sales and viability factors shape close to two-thirds of dealer sentiment, highlighting the need for OEMs to address concerns such as inventory costs and training arrangements to boost dealer confidence and long-term partnerships.
The study provides valuable insights into the evolving dealer-OEM relationship and highlights the need for industry players to focus on improving after-sales service and business viability factors to enhance dealer satisfaction. As the automotive industry continues to grow and evolve, addressing these concerns will be crucial in building strong, long-term partnerships between dealers and OEMs.