The Federation of Automobile Dealers Associations (FADA) has released the results of its Dealer Satisfaction Study 2025, conducted in partnership with Singapore-based PremonAsia. Based on feedback from over 1,800 dealer principals representing nearly 5,000 outlets across India, the study ranks JSW MG Motor as the top performer in the 4-Wheeler Mass Market and Royal Enfield as the leader in the 2-Wheeler segment.
Now in its fifth edition, the annual study recorded an industry average dealer satisfaction score of 781 points—up 13 points from 2024. JSW MG Motor retained its lead in the 4-Wheeler Mass Market with 868 points, while Royal Enfield topped the 2-Wheeler category with 852 points.
Other segment leaders included Ashok Leyland in Commercial Vehicles (786 points), Atul Auto in the returning 3-Wheeler category (924 points), and Volvo Cars in the 4-Wheeler Luxury segment (884 points). Notably, Royal Enfield and Hero MotoCorp each gained over 140 points year-on-year, while Renault India improved by 90 points in the 4-Wheeler Mass Market. Tata Motors CVD was the only commercial vehicle OEM to show improvement.
Despite these gains, the study flagged persistent concerns around dealer viability and policy-related issues. Dealers cited challenges with buyback policies for unsold inventory, training cost-sharing arrangements, vehicle margins, and long-term business sustainability.
“The Dealer Satisfaction Study provides a true mirror to the evolving dealer–OEM relationship,” said FADA President C S Vigneshwar. “The message from the ground is clear. While our industry continues to win on product quality and reliability, structural issues like buyback policies, training costs, and dealership viability cannot be overlooked.”
While ‘Product’ continued to score highest across all categories—reflecting dealer satisfaction with quality, reliability, and range—’After-Sales Service’ emerged as the most critical factor influencing sentiment, followed closely by concerns around business viability and policy.
“Close to two-thirds of dealer sentiment is shaped by after-sales and viability factors,” noted PremonAsia Director and COO Rahul Sharma. “Addressing concerns such as inventory costs, buyback policies and training arrangements can make a meaningful difference to dealer confidence and long-term partnerships.”
Segment-specific findings revealed nuanced priorities. 2-Wheeler dealers appreciated strong product portfolios and effective training but flagged issues with buyback and multi-brand outlet policies. 4-Wheeler Mass Market dealers praised product reliability and training programs but faced inventory management challenges. Commercial Vehicle dealers valued product dependability and fair allocations, yet sought greater clarity on profitability structures.
The study was conducted between July and August 2025 via a web-based questionnaire in nine regional languages. Of the 1,800 responses received, 1,634 were validated and analyzed using regression techniques to determine attribute importance and satisfaction scores indexed to 1,000 points.
In terms of rankings, Royal Enfield led the 2-Wheeler segment with 852 points, followed by Hero MotoCorp (817), HMSI (747), and TVS Motor (632). JSW MG Motor topped the 4-Wheeler Mass Market with 868 points, ahead of Mahindra & Mahindra (832), Tata Motors (812), Kia India (736), Hyundai Motor (734), Maruti Suzuki (727), Toyota Kirloskar Motor (698), and Renault India (652). In the Commercial Vehicle category, Ashok Leyland scored 786, followed by Tata Motors CVD (783), Bharat Benz (714), and VECV-Eicher (665).
As the automotive landscape grows increasingly competitive, the FADA Dealer Satisfaction Study 2025 underscores the importance of balancing product excellence with operational sustainability. While satisfaction scores are trending upward, the underlying concerns around dealer viability signal a need for more responsive, partnership-driven approaches from OEMs.