The automotive industry has been put to a standstill this year (2020) due to COVID-19 Pandemic. Indian automotive industry being the fourth largest in the world by volume has been critically hit by this pandemic with drastic declines in terms of sales.
While according to Counterpart Research, it is expected that there will be a decline of about 25 percent in all the categories of Automotive Industry. While, a report by Flitch Solutions has exclaimed that there will a contraction of 8.3 percent in the vehicle production this year.
However, there is always a positive side to every event and even this pandemic has brought a significant opportunity for digitization and adoption of various new technologies – especially in the passenger vehicle segment.
According to Frost & Sullivan’s recent note titled Changing Retail Strategy & Consumer Connect - Auto Industry Road Map, “With COVID-19 triggering an 80-100 percent drop in physical visits to showrooms and contactless transactions expected by customers, digitisation has emerged as key to survival. It is empowering automotive retail and after-sales, and enabling more meaningful customer engagement.”