For many of you the automotive aftermarket domain may sound as a new buzzword, but its not and is one domain/industry that everyone deals with day in and day out.
So lets understand what automotive aftermarket domain is.
As per Collins dictionary, the definition of aftermarket ( Ref – https://www.collinsdictionary.com/dictionary/english/aftermarket ) goes like this –
“The aftermarket is all the related products that are sold after an item, especially a car, has been bought.“
Similarly, automotive aftermarket is a domain that comes into picture once the vehicle is sold or is out of the showroom. The products that can be sold related to a vehicle are spare parts, tyres, batteries, accessories, oils & lubricants, insurance, loans and the vehicle itself.
Considering the depth and breadth of this domain, it comes with its own challenges and opportunities and we will discuss them in the Indian context.
We will discuss the challenges first as there lies the opportunities as well.
The major challenges the automotive aftermarket industry faces are
- Organized Business Practices
Every entity (eg garage or spares vendor) within this ecosystem has its own way of doing things. As there is no organized or standard business practice, it has been very difficult to automate things that can benefit everyone within the entity.
- Quality Assurance
Guaranteeing quality is a challenge in this domain whether it comes to ensure quality for the service rendered or the parts procured or fitted. This is mostly attributed to transparency within the whole domain and a lack of integrated platform connecting all the stakeholders, validating all the transactions and ensuring quality at every step.
- Technology Adoption
Many stakeholders of this ecosystem perceive technology as a challenge rather than a benefactor.Most of the tasks in this ecosystem are still carried out in a manual way, which leaves lot of room for technology to create a difference in more ways than none. This can also be attributed to the lack of availability of skilled (software) workforce within this ecosystem.
Lack of a regulatory body to oversee or define the standard practices within the ecosystem has slowed down many of the best practices that could have been adopted. Though insurance is one area, which is highly regulated, but the other areas within this ecosystem are lot left to be desired.
Now coming to the opportunities, its HUGE and listed below are few –
- Business Potential
The whole aftermarket domain provides a few billion dollars market (only in India) to tap into and create enormous business opportunities. These opportunities will be mostly in vehicle servicing, insurance, spare parts business, pre-owned vehicle business and financial businesses.According to reports, it is anticipated that by 2025, the Indian automotive aftermarket will become the third largest market in the world. As per the report titled “Transformation Shifts in Mobility and Impact on Aftermarket in India” by the Confederation of Indian Industry (CII), the domestic automotive aftermarket has grown at a compounded annual growth rate (CAGR) of 14 per cent in the last five years.
- Technical Innovations
The various entities in this domain are so unorganized in their processes and working styles, that it leaves a lot of scope for standardization and automation, and technology will play a major role here. The change has to start from digitization to digital transformation and this will make this whole ecosystem robust and vibrant.
- Integrated Platform
An integrated digital platform is the need of the hour for this aftermarket industry, to enable stakeholders to seamlessly transact among them and also track every item transacted to ensure genuineness and quality.
- Creating Great Stakeholder Experience
With immense business potential, technical support and an integrated platform, every stakeholder in aftermarket industry is bound to have a great business experience.
Sensing the opportunities that aftermarket presents, Shanrohi Technologies have come up with an integrated digital platform for automotive aftermarket called “RAMP“. RAMP helps onboard every stakeholder of this ecosystem and enables seamless transaction between them, thus creating a win-win business for everyone on board.
A Brief Introduction about RAMP
RAMP is the world’s first platform simplifying the automotive ownership experience. We are doing this by making quality digital infrastructure available to all stakeholders of the automotive aftermarket industry. This digitization leads to improved efficiency of the current ecosystem and results in extraordinary end customer experience.
RAMP is the only such platform in the world that is capturing the entire transaction across every stakeholder by providing them a truly integrated platform on the cloud and meaningfully addressing the challenges by helping build trust in the $700 Billion unorganized automotive aftermarket industry across the world.
With a domain expertise in “Automotive aftermarket”, we are a product company designing digital solutions addressing the challenges of the stakeholders such as workshops, spare part suppliers, the vehicle owners and the value added service providers such as insurance agencies, OEMs, Roadside assistance and emergency service providers.
Having spent more than 750,000 man hours and having facilitated more than 3 Million hours of platform usage and feedback from more than 22000 end users, RAMP has developed an in-depth understanding of the industry and user behavior. RAMP constitutes of more than 100 off the shelf plug and play modules facilitating over 500 business processes for the automotive aftermarket industry on its platform currently. With this, RAMP stands tall as one of the most comprehensive and appreciated products, thus becoming the most preferred partner in growth for the users.
Do check our reviews on – https://play.google.com/store/apps/details?id=project.labs.avviotech.com.rampg&hl=en_IN&showAllReviews=true