Think of an auto after-market and the image that comes to mind is one of chaos; be it in Mumbai’s Opera House, Chennai’s GP Road or Delhi’s Kashmiri Gate. Surely, this critical lifeline for vehicle spares deserves better.

The independent after-market (or after-sales market) comprises full-service franchises, outlets dealing in over-the-counter parts, and workshops and garages. It still remains fragmented and unorganised though all this could change thanks to the efforts of TVS Automobile Solutions (TAS), a leading player in the after-market business.

Over the last two-three years, the company has not only helped get parts distributors, retailers and garages into the organised segment but also put them on a digital platform.

“Being in the automotive after-market business for more than 110 years, we at TAS have set out to get it organised and upgraded to the next level,” says G Srinivasa Raghavan, Executive Director.

In India, the independent after-market is estimated at ₹55,000 crore, of which cars and other passenger vehicles take up ₹17,500-₹20,000 crore. This space is growing at 10-15 per cent annually.

As Raghavan explains, the after-market is an important source of livelihood to millions of people in the country. There are more than five lakh garages with each employing at least three-four people who, in turn, need to upgrade their skills.

This is mandatory for them to be able to meet the challenges of rapidly changing vehicle technologies as well as the entry of new parts into the market. There is really no organised support for this category of manpower.

Recognising this, TAS decided to establish a distribution ecosystem on a pan-India platform. Over the past three years, it has focussed on building an integrated supply chain platform, networking 20,000 auto parts retailers into singular ERP technology, and 80 stocking points.

Any retailer can order parta from their mobile, which is directly linked to TAS’s ERP system.

The retailer will know whether it is available and, if not, get advice on alternative parts apart from updates on the order and time of despatch/delivery.

“With this setup, I am able to serve a part within 24 hours across the country. Our aim is to bring manufacturers’ ERP so that replenishment can be ensured across 80 stocking points,” says Raghavan.

TAS has been distributing parts for commercial vehicles under its PartSmart initiative. This franchisee business model has also brought several people into the organised umbrella.

PartSmart has more than 200 stores nationwide and is truly an organised retail chain for commercial vehicle parts.

“We have outlets under MyTVS, the multi-brand car servicing chain of TAS. There are over 400 entrepreneurs in an organised system with modern technology that is able to generate more profitability,” adds Raghavan.

About a fourth of this manpower comprises GenNext. With MyTVS and PartSmart, at least one franchisee is being added daily. “We are confident of taking the total number to 1,500-2,000 (from 400 now) by 2020 under MyTVS and Parts Smart businesses,” he says.

TAS has also created a garage ecosystem through TVS Auto Assist, which has already brought in 6,000 garages for last-mile service.

Today, any breakdown call from a customer who has subscribed to TVS AA will be addressed within 35-40 minutes. The TAS model has brought retailers and distributors on one digital platform and this has helped towards better tracking on parts usage. “There has been a tremendous response from manufacturers. In 2014, we had only four-five suppliers working with us but this has now grown to 80,” says Raghavan.

TAS is hopeful that its efforts will keep thousands of workshops and garages going strong in the years to come. By the end of the day, a strong and organised after-market is critical to the overall health of the automotive ecosystem.

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