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How the growth of online players is shaping the automotive industry in India

The evolution of automobile industry through online integration is significant in the sense that it is paving way for standardization of the industry.

Monday March 06, 2017,

3 min Read

Buoyed by the favorable growth forecast for the India economy, In recent years, India has seen a transformation in the domestic automotive industry. Changing consumer demands, rapidly changing technology and growth of online players are shaping the automotive industry in India.

Internet and Marketing Association of India (IAMAI) in its recent report states that Number of Internet users in India could cross 450 million by June 2020. The report says Internet penetration is at 60 % in Urban India, showcasing the increasing level of connectivity. With increased internet penetration and availability of multiple channels, industry players are able to substantially increase their customer touch points by the creation of online or web-based platforms.

The Impact of growth of online players in the automotive industry is significant, as most of the customers are showing interest in online platforms and services offered by them. The services being offered by these portals include new car sales, car servicing & maintenance. These portals which are getting increasingly popular are not only helping the customers but have also given a new tool to the industry.


The evolution of automobile industry through online integration is significant in the sense that it is paving way for standardization of the industry. Customers can rest assured that they are getting a transparent & good deal, along with quality services.


Nowadays, data is converted into a corporate asset which keeps the track of the consumer preferences and automobile usage. This helps in customer acquisition, retention and better quality of services. It provides efficiency in all aspects of automobile servicing thereby assuring timely delivery to the customers and better customer experience. Tools like big data analytics are being used in a big way for analyzing customer data.

Price Benefits

Online players focus on innovative ways to provide customer benefits and price is one of the key factors which attract customers to these platforms. Upfront and transparent are the new buzz words which are now ruling the roost. Not only this, attractive discounts are also being offered by the online platforms through the efficient use inventory available across the dealers and by tracking the loopholes existent in the offline industry.


These online players offer great convenience to the customers by saving their time and money as customers can get all the information and offers sitting at the comfort of their homes than by visiting showrooms and workshops physically. Services like free pick and drop, Insurance and loan facility and EMI are available on these platforms which make it a one stop shop for the customers.


Online players in the automotive industry have given the much-needed push to the automotive industry in India. Through different online channels, Industry has become more organized and customer oriented. With a focus on social media and innovative promotion tools such as online product display, web based players are now providing best deals to the customers.

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