ADCI Report Q4 2015
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The document summarizes the findings of a survey of 147 automotive dealers in India conducted by Sewells Group in January 2016. The key findings are: - The overall Automotive Dealer Confidence Index stood at +14, indicating an optimistic sentiment among dealers surveyed. - The passenger car dealer confidence index was +17, showing strengthened optimism compared to the previous quarter. - The two-wheeler dealer confidence index was +9, a slight dip from the previous quarter reflecting some dampening of sentiment. - The commercial vehicle dealer confidence index was +2, continuing an upward trend and indicating a mildly positive sentiment compared to the previous quarter.
ADCI Report Q4 2015
- 2. sewellsgroup.comPage 1 About Sewells Group Automotive Dealer Confidence Index ADCI Survey Methodology Summary of Respondents G AUTOMOTIVE DEALER CONFIDENCE SEWELLS GROUP INDEX Globally, confidence indices are viewed as reliable precursors to business performance. Such indices aim to capture and quantify the sentiment of various industry stakeholders – be it CXOs, suppliers, vendors or distribution partners who usually are in the middle of the action. People within the industry, typically use these indices to get a sense of stakeholder sentiment and optimize their actions in line with the sentiment. Market analysts, on the other hand, interpret theses indices as ‘lead indicators’ of the performance of a particular industry or sector. An accurate, representative index co-relates highlywithactualbusinessperformance. The automotive industry in India contributes a significant share to country’s GDP. A healthy and growing domestic market, and an active and constructive involvement from the government, has made sure that this industry has come ofage. The important role played by auto dealers in this industry is well known. With their unique position in the market place, auto dealers are regularly in touch with ground realities. And therefore a dealer confidence indicator could be a useful signaling device for various stakeholders within the automotive industryeco-system.
- 3. S sewellsgroup.comPage 2 About Sewells Group Automotive Dealer Confidence Index ADCI Survey Methodology Summary of Respondents Sewells Group Automotive Dealer Confidence Index (ADCI) is a measure of dealer sentiment about their business over the next six months from the timeitiscaptured. Within the automotive industry, dealers are in constant touch with prospects, customers, factory staff, financiers and other market intermediaries. Consequently, each dealer gets exposed to a plethora of information that in turn shapes his / her sentiment about the future of his business in short / medium term. The Sewells Group Automotive Dealer ConfidenceIndex(ADCI)isanattempttocaptureandquantifythissentiment from across the length and breadth of the country, representing multiple brandsandproductcategories.Themovementofthiscollectivesentimentin the form of an index may be able to predict the direction of the wholesale andtheretailsaleswithintheindustry. We believe publication of such an index allows the industry stakeholders to have meaningful conversations well in time, which in turn helps them put togetherbetterstrategiestoperformatthemarketplace.
- 4. sewellsgroup.comPage 3 About Sewells Group Automotive Dealer Confidence Index ADCI Survey Methodology Summary of Respondents T The Sewells Group ADCI is designed as a quarterly index that is computed on the basis of responses received to a structured questionnaire from the automotive dealer fraternity in the Indian market. The questionnaire attempts to capture their sentiment about economy ingeneralandtheirbusinessinparticularonasixmonthhorizon. Sewells Group tracks the trend of the index which offers an insight into the future direction of the market. We believe that it is the movement of the index that offers greater insights thantheabsolutevalueoftheindexinaparticularquarter. In this eighth edition of the ADCI, we have attempted to capture the sentiment of the dealer fraternity at the end of Oct-Dec quarter of 2015. The findings of this survey are compared with the findings of the previous seven editions to map the trend. We propose to repeat the surveyattheendofeachfollowingquarter. For this edition, a questionnaire was distributed electronically (by email) to the dealer fraternity in India. A total of 147 responses received, from dealers, representing 18 brands were used to compute the index. Every effort has been made to ensure that the index is meaningful and representative of the dealer sentiment. However, we advise reader discretion in using the results considering the low sample in some cases. At this stage, ADCI isdesignedonlyfor“exploratory”and“indicative”purposes. The overall ADCI at the end of Oct-Dec 2015 indicates that the dealers continue to maintain anoptimisticview.Thesentimentofthepassengercardealerscontinuesshowasteadyrise. The two wheeler dealer sentiment though positive, has dampened a bit since the last quarter. The commercial vehicle dealers who continued to be pessimistic for last 7 quarters, haveforthefirsttimeexpressedsomeoptimismattheendofOct-Dec2015quarter. A positive ADCI is an indicator of growth in the Indian auto industry. On account of the rural distress for the last two years, the two wheeler market definitely seems to be affected. However, an optimistic outlook of other segments demonstrates a healthy outlook of the dealerfraternity.
- 5. sewellsgroup.comPage 4 ADCI Survey Methodology Summary of Respondents PASSENGER CARS TWO-WHEELERS COMMERCIAL VEHICLES TOTAL NUMBER OF RESPONDENTS 9 75 EAST PASSENGER CARS TWO-WHEELERS COMMERCIAL VEHICLES PASSENGER CARS TWO-WHEELERS COMMERCIAL VEHICLES OVERALL 78% 18% BEFORE 1975 1975 - 1989 1990 - 2004 AFTER 2005 LOCATIONOFRESPONDENTS BRANDSREPRESENTED 18 BRANDS 41% 24% 35% 55% 36% 70% 22% 6% *Sub-sample size low. Reader discretion advised while considering the statistical significance. 3% 2% 9% 71% YEAROFINCORPORATION OFDEALERSHIP WEST NORTH SOUTH CENTRAL 1% 73% 20% 7% 147 11 29 107 7% 27% 34% 10% About Sewells Group Automotive Dealer Confidence Index 91 CITIES 22%
- 6. sewellsgroup.comPage 5 AUTOMOTIVE DEALER CONFIDENCE END OF 15 QUARTER INDIA OCT-DEC INDEX SEWELLS GROUP The ADCI is designed to vary between -100 and +100, where an index score of - 100 represents the most pessimistic outlook, and +100 indicates the most optimistic outlook. The index is based on how dealers see the overall market andtheirbusinessesperforminginnextsixmonths Thehighlevelfindingsofthesurvey attheendofOct-Dec2015quarterare: § The overall ADCI stood at +14 indicating an optimistic sentiment amongst thedealerssurveyed. § The passenger car ADCI stood at +17, representing a positive outlook amongstthesedealers. § ThetwowheelerADCIstoodat+9,indicatingamildlyoptimisticsentiment ofthetwowheelerdealers. § The commercial vehicle AADCI stood at +2 indicating a mildly positive sentiment.
- 7. sewellsgroup.comPage 6 AUTOMOTIVE DEALER CONFIDENCE END OF OCT-DEC 15 QUARTER INDIA INDEX-TREND SEWELLS GROUP § The index for passenger cars segmet stood at +17 during January 2016, as compared to +16 during Oct 2015, indicating strengthened optimism of the passengercardealers. § A dip in sentiment was seen for the two-wheeler dealers, where the index wasbackto+9fromahighof +14attheendofJul-Sep2015quarter. § Commercial vehicle dealers’ sentiment had started showing signs of an upswing in the previous survey. The trend continued in this quarter as well. The index stood at +2 during January 2016 as compared to -4 during October 2015 § As a result, the overall ADCI remains positive at +14 at the end of October-December2015quarter.
- 8. sewellsgroup.com Future view of manpower strength of the business Expected performance of the market as well as the dealership over the next six months Expected levels of sales, inventory and profits over the next six months View on the current situation of sales, inventory and profits vis-à-vis same period last year Impact of the current economic scenario on the market, as well as the dealership business View on the current situation of sales, inventory and profits vis-à-vis previous quarter Page 7 ANALYSIS OF SURVEY FINDINGS The ADCI survey delves into the following areas: AUTOMOTIVE DEALER CONFIDENCE INDEX SEWELLS GROUP § The following pages carry details of responses received during the eightheditionofthesurveyforquestionscoveringtheaboveareas. § To map the trend, the findings of this survey are compared with the findings of the previous three editions which captured the sentimentsofthedealerfraternityinthelast threequarters. § This section presents the distribution of responses across multiple questionsandcomparedwiththefindingsoftheprevioussurveys. 02 0403 01 Current Economic Environment in the Country Impact of the Current Economic Scenario on the Market Expected Economic Environment In The Country Over The Next Six Months Impact of the Current Economic Scenario on the Dealership page 8 page 9 page 10 page 11 06 08 10 07 09 05 Dealership Performance Vis- A- Vis Same Period Previous Year Expected Dealership Performance Over Next Six Months Dealership Performance Vis- A-Vis Previous Quarter Expected Manpower Strength Over Next Six Months page 14 page 17 page 20 page 23 Expected Market Performance Over Next Six Months Expected Dealership Performance Over Next Six Monthspage 12 page 13
- 9. 1 ECONOMIC IN THE COUNTRY CURRENT ENVIRONMENT § Overall, 53% of the dealers feel that the current economic scenario in the countryispositive. § A similar sentiment is expressed by passenger car dealers and two wheeler dealers. § However, a higher proportion of commercial vehicle dealers feel that the currenteconomicscenariointhecountryisnottoopositive. COMMERCIAL VEHICLES EXCITING POSITIVE NOT SO POSITIVE WORRISOME sewellsgroup.comPage 8 OVERALL TWO WHEELERSPASSENGER CARS *The responses for this question were captured only during the current edition 10% 43%35% 12% 55% 41% 4% 45% 45% 10% 9% 38% 46% 7% % OF RESPONDENTS END OF Q4-2015
- 10. 2 EXPECTED IN THE COUNTRY IN THE COUNTRY OVER THE NEXT SIX MONTHS ECONOMIC ENVIRONMENT COMMERCIAL VEHICLES EXCITING POSITIVE NOT SO POSITIVE WORRISOME sewellsgroup.comPage 9 TWO WHEELERSPASSENGER CARS 11% 62% 23% 4% 14% 55% 17% 14% 64% 36% *The responses for this question were captured only during the current edition § A high proportion of the dealers feel that the economic scenario in the countryisgoingtoimproveinthenextsixmonths. § 73%of passengercardealers,69%of thetwo wheelerdealers and 64%of the commercial vehicle dealers feel that economic scenario will improve in the nextsixmonths. 6% 23% 61% 10% OVERALL % OF RESPONDENTS END OF Q4-2015
- 11. 11% § At the end of Oct-Dec 2015 quarter, about 52% of the dealers felt that the currenteconomicscenarioisencouragingforthedealershipbusiness. § Opinion of the passenger car dealers has not changed much from the previousquarter. § Not a single two wheeler dealer felt that the impact of the current economic scenario on their market is exciting. This compare poorly with last quarter when17%ofthedealersexpressedthissentiment. § Opinion of the commercial vehicle dealers has changed since the previous quarter. Whereas 21% of the dealers found the impact of the scenario worrisomeinlastquarter;notasingledealerfeltthesamethisquarter. sewellsgroup.com TWO WHEELERS COMMERCIAL VEHICLES 3 CURRENT ECONOMIC SCENARIO IMPACT OF THE ON THE MARKET EXCITING POSITIVE NOT SO POSITIVE WORRISOME 0% 20% 40% 60% 80% 100% %OFRESPONDENTS OVERALL 4% 40% 43% 13% END OF Q3-2015 END OF Q2-2015 END OF Q1-2015 2% 40% 42% 16% PASSENGER CARS 35% 5% 46% 14% END OF Q4-2015 37% 49% 3% 4% 48%36% 12% 55%31% 14% 45% 55% Page 10
- 12. 4§ Overall, 51% of surveyed dealers indicated a pessimistic sentiment about the effectofthecurrenteconomicscenarioonthedealershipbusiness. § Opinion of the passenger car dealers has not changed much since the previousquarter. § Two wheeler dealers' optimism has clearly come down from the previous quarter.Comparedto55%whosawapositiveimpactondealershipbusiness, theproportionhasreducedto48%. § The proportion of commercial vehicle dealers who felt the impact on dealership business worrisome reduced from 43% in last quarter to just 9% thisquarter. COMMERCIAL VEHICLES sewellsgroup.comPage 11 EXCITING POSITIVE NOT SO POSITIVE WORRISOME 0% 20% 40% 60% 80% 100% %OFRESPONDENTS OVERALL 5% 43% 39% 13% 7% 36% 44% 13% TWO WHEELERSPASSENGER CARS 34% 7% 44% 15% END OF Q3-2015 END OF Q2-2015 END OF Q1-2015 END OF Q4-2015 39% 5% 44% 12% CURRENT ECONOMIC SCENARIOON THE DEALERSHIP IMPACT OF THE 6% 45%39% 10% 7% 41% 35% 17% 36% 55% 9%
- 13. 5MARKET OVER NEXT SIX MONTHS EXPECTED PERFORMANCE sewellsgroup.comPage 12 COMMERCIAL VEHICLES EXCITING POSITIVE NOT SO POSITIVE WORRISOME § Overall, 78% of the surveyed dealers feel that the market performance is goingtoimproveinthenextsixmonths. § There is a greater optimism among the surveyed passenger car dealers, where 83% of the dealers feel that the market performance in the next six monthswillbepositive. § Both two wheeler dealers and passenger car dealers continue to remain optimisticabouttheexpectedmarketperformance. 0% 20% 40% 60% 80% 100% %OFRESPONDENTS OVERALL 6% 44% 42% 8% 27% 10% 61% 2% TWO WHEELERSPASSENGER CARS 22% 12% 62% 4% END OF Q3-2015 END OF Q2-2015 END OF Q1-2015 END OF Q4-2015 18% 10% 68% 4% 11% 72% 13% 4% 10% 55% 28% 7% 64% 36%
- 14. 17% 55% 17% 11% 6 DEALERSHIP OVER NEXT SIX MONTHS EXPECTED PERFORMANCE § Overall, the dealers continued to remain as optimistic as they were in the previousquarter. § Opinion of the passenger car dealers remains unchanged over the previous quarter. § Though positive, there is a slight decline in the optimism of the two wheeler dealers and the commercial vehicle dealers as compared to that in the previous quarter. 72% of two wheeler dealers and 64% of the commercial vehicle dealers feel positive about the dealership performance (down from 76%and72%respectivelyattheendofJul-Sep2015quarter). COMMERCIAL VEHICLES EXCITING POSITIVE NOT SO POSITIVE WORRISOME sewellsgroup.comPage 13 0% 20% 40% 60% 80% 100% %OFRESPONDENTS OVERALL 6% 50% 37% 7% 20% 11% 65% 4% TWO WHEELERSPASSENGER CARS 15% 19% 60% 6% END OF Q3-2015 END OF Q2-2015 END OF Q1-2015 END OF Q4-2015 14% 16% 63% 7% 16% 66% 11% 7% 18% 46% 27% 9%
- 15. 15% 47% 25% 13% 17% 24% 45% 14% 9% 36% 46% 9% sewellsgroup.comPage 14 7 PERFORMANCE YEAR DEALERSHIP VIS-À-VIS SAME PERIOD PREVIOUS SALES INVENTORY PROFITS § 55% of the dealers in this quarter felt that their sales improved as compared to the previous year. 51% of the dealers in the previous survey (at the end of Jul-Sep2015quarter)hadfeltthesame. § Opinionofthepassengercardealersaboutsalesascomparedtotheprevious year is felt better vis-à-vis previous survey. 62% of the passenger car dealers feel that their sales have increased as compared to the same period previous year. § A lower proportion of two wheeler and commercial vehicle dealers felt that theirsaleshaveimprovedcomparedtolastyear. COMMERCIAL VEHICLES DEFINITELY HIGHER HIGHER OR SAME SAME OR LOWER DEFINITELY LOWER 0% 20% 40% 60% 80% 100% %OFRESPONDENTS OVERALL 15% 34% 34% 17% 41% 13% 33% 13% TWO WHEELERSPASSENGER CARS 34% 21% 30% 15% END OF Q3-2015 END OF Q2-2015 END OF Q1-2015 END OF Q4-2015 32% 14% 41% 13%
- 16. SALES INVENTORY PROFITS COMMERCIAL VEHICLES 7 PERFORMANCE YEAR DEALERSHIP VIS-À-VIS SAME PERIOD PREVIOUS § A higher proportion of dealers feel that their inventory levels had gone down comparedtothesameperiodlastyear. § Amongstthecardealersthisfeelingwasunchangedthepreviousquarter. § 69% of the two wheeler dealers felt that their inventory levels had increased orremainedsameascomparedtothatinthepreviousquarter. § 55% of the surveyed commercial vehicle dealers felt that their inventory levels had either remained same or went up, compared to 69% who felt this wayinthepreviousquarter. sewellsgroup.comPage 15 DEFINITELY HIGHER HIGHER OR SAME SAME OR LOWER DEFINITELY LOWER 0% 20% 40% 60% 80% 100% %OFRESPONDENTS OVERALL 38% 9% 19% 34% TWO WHEELERSPASSENGER CARS 27% 25% 43% 5% END OF Q2-2015 END OF Q1-2015 21% 24% 50% 5% END OF Q3-2015 END OF Q4-2015 23% 22% 48% 7% 23% 51% 20% 6% 21% 48% 24% 7% 19% 36% 36% 9%
- 17. COMMERCIAL VEHICLES 7 PERFORMANCE YEAR DEALERSHIP VIS-À-VIS SAME PERIOD PREVIOUS SALES INVENTORY PROFITS § A lower proportion of surveyed dealers felt that their profits had increased sincethepreviousquarter. § The above sentiments are reflected amongst two wheeler and commercial vehicledealers. § 48% of passenger car dealers, 31% of two wheeler dealers and 27% of commercial vehicle dealers feel that their profits have either remained same orgoneupsincethepreviousquarter. sewellsgroup.comPage 16 DEFINITELY HIGHER HIGHER OR SAME SAME OR LOWER DEFINITELY LOWER 0% 20% 40% 60% 80% 100% %OFRESPONDENTS OVERALL 13% 27% 31% 29% 37% 9% 29% 25% TWO WHEELERSPASSENGER CARS 28% 15% 31% 26% END OF Q3-2015 END OF Q2-2015 END OF Q1-2015 END OF Q4-2015 35% 11% 31% 23% 13% 35% 33% 19% 10% 21% 38% 31% 9% 18% 37% 36%
- 18. 8 PERFORMANCE QUARTER VIS-À-VIS PREVIOUS DEALERSHIP SALES INVENTORY PROFITS § Only 55% of the surveyed dealers felt that their sales in the Oct-Dec 2015 quarterwerehigherthanJul-Sep2015quarter. § Opinion of the passenger car dealers has not changed much since the past quarter. § At the end of Oct-Dec 2015 quarter, only 41% of the two wheeler dealers as compared to the 52% at the end of Jul-Sep 2015 quarter feel that their sales havegoneupascomparedtopreviousquarter. § Opinionofthecommercialvehicledealersislesspositivethisquarter. 0% 20% 40% 60% 80% 100% %OFRESPONDENTS OVERALL 15% 27% 38% 20% 35% 12% 36% 17% 28% 22% 39% 11% END OF Q3-2015 END OF Q2-2015 END OF Q1-2015 33% 16% 39% 12% END OF Q4-2015 COMMERCIAL VEHICLES sewellsgroup.comPage 17 DEFINITELY HIGHER HIGHER OR SAME SAME OR LOWER DEFINITELY LOWER TWO WHEELERSPASSENGER CARS 14% 47% 27% 12% 24% 17% 45% 14% 9% 46% 36% 9%
- 19. COMMERCIAL VEHICLES sewellsgroup.comPage 18 8 PERFORMANCE QUARTER VIS-À-VIS PREVIOUS DEALERSHIP SALES INVENTORY PROFITS § 71% of the dealers feel that their inventory levels have gone up as compared tothepreviousquarter. § Opinion of the passenger car dealers and the commercial vehicle dealers has notchangedmuchsincethepreviousquarter. § A lesser number of two wheeler dealers feel that their inventory has remained same or increased since the last quarter (66% at the end of Oct- Dec 2015 quarter as compared to 72% of the dealers at the end of Jul-Sep 2015quarter). DEFINITELY HIGHER HIGHER OR SAME SAME OR LOWER DEFINITELY LOWER 0% 20% 40% 60% 80% 100% %OFRESPONDENTS OVERALL 26% 41% 23% 10% 30% 22% 39% 9% TWO WHEELERSPASSENGER CARS 24% 25% 47% 4% END OF Q3-2015 END OF Q2-2015 END OF Q1-2015 20% 23% 48% 9% END OF Q4-2015 24% 51% 14% 11% 28% 38% 31% 3% 9% 55% 27% 9%
- 20. COMMERCIAL VEHICLES 8 PERFORMANCE QUARTER VIS-À-VIS PREVIOUS DEALERSHIP SALES INVENTORY PROFITS § Overall, the sentiment amongst the dealers is not positive about the profits thisquartervis-à-vispreviousquarter. § A higher proportion of commercial vehicle dealers (55%) feel that their profits have either remain same or reduced as compared to the previous quarter (up from 43% who were of the same opinion at the end of Jul-Sep 2015quarter). § Only half of the surveyed passenger car dealers feel that their profits have goneupascomparedtothepreviousquarter. sewellsgroup.comPage 19 DEFINITELY HIGHER HIGHER OR SAME SAME OR LOWER DEFINITELY LOWER 0% 20% 40% 60% 80% 100% %OFRESPONDENTS OVERALL 13% 27% 34% 26% 36% 10% 30% 24% TWO WHEELERSPASSENGER CARS 31% 13% 39% 17% END OF Q3-2015 END OF Q2-2015 END OF Q1-2015 33% 14% 32% 21% END OF Q4-2015 13% 37% 32% 18% 21% 14% 34% 31% 9% 36% 36% 19%
- 21. 9 DEALERSHIP MONTHS EXPECTED PERFORMANCE OVER NEXT SIX SALES INVENTORY PROFITS § Overall, 77% of the dealers are optimistic about the dealership sales in the nextsixmonths. § At the end of Oct-Dec 2015 quarter, a higher proportion of both passenger car dealers (83%) and the commercial vehicle dealers (91%) are optimistic abouttheirsalesinthenextsixmonths. § Sentiment of the two wheeler dealers about higher sales in the next six months is down from 60% at the end of Q3 2015 to 48% at the end of Q4 2015. COMMERCIAL VEHICLES sewellsgroup.comPage 20 DEFINITELY HIGHER HIGHER OR SAME SAME OR LOWER DEFINITELY LOWER 0% 20% 40% 60% 80% 100% %OFRESPONDENTS OVERALL 17% 41% 30% 12% 17% 23% 56% 4% TWO WHEELERSPASSENGER CARS 21% 26% 47% 6% END OF Q3-2015 END OF Q2-2015 END OF Q1-2015 20% 20% 57% 3% END OF Q4-2015 21% 62% 15% 2% 14% 34%45% 7% 18% 73% 9%
- 22. 9 DEALERSHIP MONTHS EXPECTED PERFORMANCE OVER NEXT SIX COMMERCIAL VEHICLES SALES INVENTORY PROFITS § Higher inventory levels are expected by a high proportion of the surveyed dealersinthenextsixmonths. § Opinion of the passenger car dealers and the two wheeler dealers hasn’t changedmuchsincethelastquarter. § A higher proportion of commercial vehicle dealers expect their inventory levels to be higher in the next six months. (up from 57% at the end of Jul-Sep 2015quarterto73%attheendofOct-Dec2015quarter). sewellsgroup.comPage 21 DEFINITELY HIGHER HIGHER OR SAME SAME OR LOWER DEFINITELY LOWER 0% 20% 40% 60% 80% 100% %OFRESPONDENTS OVERALL 26% 44% 22% 8% 21% 28% 48% 3% TWO WHEELERSPASSENGER CARS 18% 24% 56% 2% END OF Q3-2015 END OF Q2-2015 END OF Q1-2015 17% 27% 55% 1% END OF Q4-2015 29% 55% 14% 2% 21% 55% 24% 18% 55% 27%
- 23. COMMERCIAL VEHICLES 9 DEALERSHIP MONTHS EXPECTED PERFORMANCE OVER NEXT SIX SALES INVENTORY PROFITS § Overall, the sentiment about expected profits in the next six months has not changed much when compared with the opinion at the end of Jul-Sep 2015 quarter. § 72% of passenger car dealers expect higher profits in the next six months as compared to 73% dealers who were of the similar sentiment at the end of Q3 2015quarter. § The optimism of the two wheeler dealers about the expected profits falls further (Only 38% of the surveyed two wheeler dealers are optimistic as comparedto40%attheendofthepreviousquarter). § Commercialvehicledealersseemstobeupbeatabouttheexpectedprofitsin the next six months (up from 43% at the end of Q2 2015 to 73% at the end of Q42015). sewellsgroup.comPage 22 DEFINITELY HIGHER HIGHER OR SAME SAME OR LOWER DEFINITELY LOWER 0% 20% 40% 60% 80% 100% %OFRESPONDENTS OVERALL 14% 36% 30% 20% 23% 20% 47% 10% TWO WHEELERSPASSENGER CARS 28% 20% 44% 8% END OF Q3-2015 END OF Q2-2015 END OF Q1-2015 26% 20% 46% 8% END OF Q4-2015 22% 50% 21% 7% 10% 28% 45% 17% 18% 55% 27%
- 24. 34% 49% 13% 4% 28% 45% 24% 3% 27% 64% 9% COMMERCIAL VEHICLES sewellsgroup.comPage 23 10 MANPOWER MONTHS EXPECTED STRENGTH OVER NEXT SIX DEFINITELY HIGHER HIGHER OR SAME SAME OR LOWER DEFINITELY LOWER § Ahigherproportionofsurveyeddealersexpecthighermanpowerlevelinthe nextsixmonthascomparedtothatattheendofthepreviousquarter. § There is slight increase in the optimismof both passenger car dealers and the twowheelerdealersascomparedtothatattheendofQ32015. § 91% of the commercial vehicle dealers expect their manpower levels to be higherinthenextsixmonths. 0% 20% 40% 60% 80% 100% %OFRESPONDENTS OVERALL 21% 48% 27% 4% 24% 20% 53% 3% TWO WHEELERSPASSENGER CARS 19% 41% 35% 5% END OF Q3-2015 END OF Q2-2015 END OF Q1-2015 15% 33% 49% 3% END OF Q4-2015
- 25. sewellsgroup.comPage 24 SSEWELLS GROUP ABOUT Sewells Group is a global consulting and outsourcing firm which specializes in the automotive retail industry. Our very reason for being in the business is to improve the performance of individuals and organizations in the automotive retail industry. We operate across the Asia-Pacific, Africa and MiddleEastregions. Our in-depth subject matter expertise in this area and our deep engagementswithmanyleadingautomotivebrandsmakeusaleaderinour business. Our Integrated Dealer Performance Management Model has delivered exceptional success to leading OEMs across the world. Through our proven business management model, demonstrated competence solutionsandprocessefficacyinitiatives,wecontributemeaningfullytoour clients’businesses. Formoreinformation,visitwww.sewellsgroup.com SewellsGroupContacts: PRADEEPSAXENA Chairman&CEO-SewellsGroupIndia E:psaxena@sewellsgroup.com T:+911244235641,M:+919810305854 UNNIKRISHNANNAIR Manager-SolutionsOperation,SewellsGroup E:unair@sewellsgroup.com T: +918689820043
- 26. sewellsgroup.comPage 25 DISCLAIMER § The contents of this report represent the opinion of survey respondents, and not that of Sewells Group, Sewells Group India, any of their subsidiary companies, or employees thereof. § The contents of this report and analysis of responses received in response to the quarterly Automotive Dealer Confidence Index (ADCI) survey are to be viewed as broad trends beingobserved,andnotasdefinitecommentaryonthestateofeconomy,stateofbusinessorpolicyframeworkofanyautomotivemanufacturerand/orfranchisedautomotive dealergroup. § Thecontentsofthisreportshouldnotbeviewedascommentary ontheprospectsofaparticularmanufacturerorbrandasitisonlyintendedtosummarizetheperceptionsand opinionsofrespondents. § The contents of the report and analysis of responses should not be viewed in isolation, but in conjunction with the number of responses considered in the computation of the indexandsubsequentanalysis. § Thissurveymayhavelimitationintermsofsamplesizeforsomesegmentsoroverall.Weadvisereaderdiscretionininterpretationofresults. § SewellsGroupdoesnottaketheresponsibilityofordoesnotindemnifyanyuserofthestudyagainsttheimpact ofthedecisionsmadeusingthefindingsofthisstudy.
- 27. © 2015 Sewells Group adci-india@sewellsgroup.com ASIA PACIFIC - AFRICA - MIDDLE EAST sewellsgroup.com