Biswapriya Mukhopadhyay’s Post

New JATO Dynamics India ‘Retail Monitor’ data reveals a concerning trend in India's automotive sector. While September factory dispatches saw a modest 1.1% decline, car registrations experienced a more substantial drop of 16.7% compared to last year. Key points from the latest data: • September 2024 registrations: 286.0 thousand units • September 2023 registrations: 343.5 thousand units • Year-over-year decline: 16.7% This follows the 6.0% drop in August registrations we reported last month. The widening gap between dispatches and retail sales suggests potential inventory buildup and softening consumer demand. What factors do you think are driving this trend? Are we seeing a shift in consumer behavior or broader economic influences at play? #AutoIndustry #IndianMarket #EconomicTrends

🚗 The Indian automotive industry has seen remarkable growth, making it one of the largest and most dynamic markets globally! From innovative technologies to evolving customer preferences, this sector continues to push the boundaries. #report #carshopper #India #automotivebrands #automotiveindustry #downloadnow Want to dive deeper into the trends and insights? Download our latest report now: https://lnkd.in/drSNYC_S

Passenger Vehicles (PV) in India: Inventories swelled to upsetting heights!!  Stockpiling of Passenger Vehicles has surged to alarming levels, creating concerns within the automotive industry. As reported by FADA (Automobile Dealer Association), stock days are stretching to ~ 75 days, and inventory totaling ~ 8 lakh Units.  This situation can be attributed to several factors: 1. Supply Chain Disruptions: Global supply chain issues, including shortages of critical components like semiconductors, have impacted production schedules. As these constraints ease, manufacturers are ramping up production, resulting in a backlog of inventory. 2. Demand-Supply Imbalance: Although the market has seen a recovery in consumer demand after the pandemic, the sudden increase in supply may not match this demand, leading to rising inventory levels. 3. Festive Season Stocking: Automakers typically increase inventory in anticipation of higher sales during the festive season (October to December). However, if the sales fall short of expectations, this can result in excess inventory. 4. Economic Concerns: With rising interest rates and inflationary pressures, potential buyers may delay or rethink vehicle purchases, leading to slower inventory clearance. High inventory levels can put pressure on automakers, as they may need to offer discounts or other incentives to clear stock, potentially impacting profitability. This situation also underscores the need for better demand forecasting and inventory management within the industry to avoid future imbalances. #HighInventory #PVSales #SCMissues

Revving Up Prosperity: December 2023 Drives Auto Retail Growth With Impressive 21% YoY Surge, Says Federation of Automobile Dealers Associations The Federation of Automobile Dealers Associations (FADA) has released the Vehicle Retail Data for December’23 and CY’23, showcasing a positive trend in the Indian auto retail sector. December’23 Highlights: CY’23 Performance: Key Drivers: Category-wise Performance: Challenges and Outlook: Short-Term Outlook for January 2024: Long-Term Outlook for CY’24: Consumer Sentiment and Market Enthusiasm: Survey Findings: Conclusion:Despite the anticipated slowdown during the Kharmas period, the Indian auto retail industry maintains cautious optimism, leveraging new model launches and effective supply chain management. The rebound in consumer confidence sets a positive tone for CY’24, with strategic planning emphasized for sustained success. - https://lnkd.in/dAfeiZvd #automotive #evs #ev #electricmobility #emobility #ebikes #fleets #evfleet #evnews #autonews #electricvehicles #electricvehicle #automotiveindustry #automotivejobs #cleantech #cleanenergy #hydrogen #lithium #evbattery #sustainability #climatechange #electricvehicles #ev #fada #federationofautomobiledealersassociations #india #vehiclesales

𝗦𝗹𝗼𝘄𝗱𝗼𝘄𝗻 𝗶𝗻 𝘁𝗵𝗲 𝗜𝗻𝗱𝗶𝗮𝗻 𝗖𝗮𝗿 𝗠𝗮𝗿𝗸𝗲𝘁: The Indian automobile market is currently grappling with significant challenges, reflected in a staggering inventory of 8 lakh cars valued at approximately ₹73,000 crores. 𝗞𝗻𝗼𝘄 𝘁𝗵𝗲 𝗽𝗼𝘀𝘀𝗶𝗯𝗹𝗲 𝗿𝗲𝗮𝘀𝗼𝗻𝘀 𝙃𝙞𝙜𝙝 𝙄𝙣𝙫𝙚𝙣𝙩𝙤𝙧𝙮 𝙇𝙚𝙫𝙚𝙡𝙨: Dealers have 8 lakh cars in stock valued at approximately ₹73,000 crores, leading to a surplus and challenging sales efforts. 𝘿𝙚𝙘𝙡𝙞𝙣𝙞𝙣𝙜 𝙎𝙖𝙡𝙚𝙨 𝙏𝙧𝙚𝙣𝙙𝙨: Sales cycle has stretched to 70-75 days, marking a notable decline after a surge over the past three years. 𝗜𝗺𝗽𝗮𝗰𝘁 𝗼𝗳 𝗡𝗲𝘄 𝗠𝗼𝗱𝗲𝗹 𝗟𝗮𝘂𝗻𝗰𝗵𝗲𝘀: The introduction of new car models has diluted the demand for existing models, causing older vehicles to remain unsold. 𝗖𝗹𝗶𝗺𝗮𝘁𝗲 𝗖𝗼𝗻𝗱𝗶𝘁𝗶𝗼𝗻𝘀: Severe weather events, such as heavy rains and extreme heat in southern and eastern India, are affecting buyer behavior. 𝗙𝗲𝘀𝘁𝗶𝘃𝗲 𝗦𝗲𝗮𝘀𝗼𝗻 𝗧𝗿𝗲𝗻𝗱𝘀: Unexpected decrease in sales during the typically strong festive season, which traditionally boosts consumer spending. 𝗖𝗼𝗻𝘀𝘂𝗺𝗲𝗿 𝗗𝗲𝗹𝗮𝘆 𝗱𝘂𝗲 𝘁𝗼 𝗗𝗶𝘀𝗰𝗼𝘂𝗻𝘁𝘀: The trend of offering hefty discounts has led consumers to delay purchases, waiting for even better deals. 𝗦𝗵𝗶𝗳𝘁𝗶𝗻𝗴 𝗜𝗻𝘁𝗲𝗿𝗲𝘀𝘁 𝗶𝗻 𝗘𝗹𝗲𝗰𝘁𝗿𝗶𝗰 𝗩𝗲𝗵𝗶𝗰𝗹𝗲𝘀 (𝗘𝗩𝘀): Reduced excitement around EVs is impacting overall sales, affecting manufacturers reliant on both traditional and electric vehicle sales. 𝗣𝗿𝗼𝗱𝘂𝗰𝘁𝗶𝗼𝗻 𝗦𝗹𝗮𝘀𝗵𝗲𝘀 𝗟𝗶𝗸𝗲𝗹𝘆: Rising inventories may force manufacturers to decrease production levels, potentially creating long-term market challenges. The combination of these factors indicates a significant slowdown in the Indian car market, highlighting the need for stakeholders to innovate and adapt to the changing landscape. Focus on enhancing consumer engagement, improving dealership experiences, and offering tailored financial solutions to revive market momentum. Let’s discuss potential solutions and insights on the automotive sector! #IndianAutomobileMarket #CarSales #InventoryManagement #MarketTrends #ElectricVehicles #ConsumerBehavior #AutomotiveIndustryInsights

JATO Dynamics India research on sales trends and discounts was cited by Business Standard. The data reveals significant shifts in India's automotive market discounting strategies: • Average discounts across major automakers increased 12% in 2024 compared to 2023 • Discount ranges widened to ₹20,000-₹3.15 lakh across various models • Some manufacturers, like Toyota and Honda, have more than doubled their discount offerings These trends point to broader industry challenges: 1. Declining sales amidst rising inventories 2. Intensifying competition during the festival season 3. Potential pressure on profit margins as discounts deepen The sustainability of these aggressive discounting strategies remains a key question for the industry. While they may boost short-term sales, the long-term impact on brand value and profitability needs careful consideration. As the market evolves, it will be crucial to monitor how these discounting trends affect consumer behavior, brand positioning, and overall industry health. Link here :- https://lnkd.in/dFum4DiC

🚗 India's Auto Industry Sees Inventory Pile-Up Despite Strong Sales Surge 🚙 The automotive sector in India is currently navigating a complex challenge—inventory levels have surged to a record high of ₹73,000 crores 📈. Key reasons for this include: 1️⃣ Post-election uncertainty 🗳️ 2️⃣ The end of the marriage season 💍 3️⃣ Rising interest rates and intense competition 💰 Dealers are facing unprecedented levels of stock, with inventory durations extending to 67-72 days. While attractive discounts and new launches continue to attract buyers, the concern over excessive inventory remains critical. Could this be the calm before the festive season storm? 🌩️ 📢 Automakers and dealers are working hard to balance this by offering heavy promotions, but the need for sustainable demand and better inventory management is stronger than ever. 💡 Is this a temporary dip, or a trend we need to watch closely? Share your thoughts! #AutomotiveIndustry #AutoSales #IndianMarket #InventoryManagement #BusinessChallenges #Automobile #Innovation #EconomicTrends #SupplyChain

🌟 **Automotive Market in India: A 2023 Overview** 🌟 The Automotive Market in India accounted for 3.99 million units in 2023 and is projected to reach 6.38 million units by 2030, growing at a CAGR of 6.94%. **Market Overview:** The automotive vehicle industry encompasses the production, manufacturing, and sale of vehicles, classified by unique design, utility, and purpose. The Indian automotive market has experienced high demand in recent years due to various factors: 🔹 **Modifying Transportation Laws**: Changes in regulations are influencing market dynamics. 🔹 **Alternative Fuels**: Growing need for sustainable and alternative fuel sources. 🔹 **Innovation**: Development of more efficient and sustainable automotive products. **Market Analysis:** The market report provides a comprehensive analysis of the Indian automotive industry, including: - **Dynamics**: Understanding market drivers, restraints, opportunities, and challenges. - **Segmentations**: Detailed breakdown of market segments and their growth. - **Competitive Landscape**: Insights into key companies and their market positioning. - **Regional Analysis**: Examination of regional market trends and growth. The report utilizes primary and secondary information to present a detailed market outlook and competitive landscape. It includes in-depth analyses using: - **SWOT Analysis**: Strengths, Weaknesses, Opportunities, and Threats. - **PESTLE Analysis**: Political, Economic, Social, Technological, Legal, and Environmental factors. - **Porter's Five Forces Analysis**: Competitive forces shaping the market. With a focus on innovation and sustainability, the Indian automotive market is poised for significant growth, driven by evolving consumer demands and regulatory changes. #AutomotiveMarket #India #MarketGrowth #Innovation #Sustainability #AlternativeFuels #MarketAnalysis #SWOT #PESTLE #PorterAnalysis Click Here:https://lnkd.in/dcXURKqD

Exciting to see our JATO Dynamics India’s research on sales trends featured in Business Standard today, highlighting the evolving landscape of India's automotive industry. Key insights from our analysis: • PV sales growth is cooling: After a strong 26.8% YoY growth in FY23, we're projecting just 0.8% for FY25. • Short-term trends: April-July growth rates dropped from 33.2% in 2022 to 8% in 2023, and only 2% in 2024. • Market normalization: Post-COVID pent-up demand and supply chain recovery effects are waning. • Future outlook: The industry faces more normalized conditions and potential economic headwinds. However, it's not all caution - the festival season holds promise, and we're seeing interesting shifts in demand for SUVs and CNG vehicles. As the market evolves, automakers and dealers may need to refocus on efficiency, innovation, and value propositions to drive growth in this new environment. Thoughts on these trends? How do you see the automotive landscape changing in India? Article link here: https://mybs.in/2dY9WHT #AutomotiveIndustry #MarketTrends #JatoDynamics #IndianEconomy