The Federation of Automobile Dealers Associations (FADA), in collaboration with Frost & Sullivan, has announced the results of the 2024 Customer Experience Index (CEI), a detailed annual study analysing customer experience across sales, after-sales service, and product quality within the passenger vehicle category in India. The study, which includes responses from 8,685 vehicle owners, aims to provide critical insights and highlight the key drivers of customer satisfaction in the automotive industry.Customer experience across key areas
The study was conducted with a diverse demographic of vehicle owners, including both males and females aged 18 and above, who are primary users and drivers of their vehicles. All participants had purchased a new vehicle at the time of acquisition and were involved in the decision-making process. Respondents were categorised into two groups: those who bought their vehicle from an authorised dealer between May 2023 and May 2024 for sales and product quality insights, and those who purchased their vehicle between 2021 and 2023, having used aftersales services within the last six months.Key findings
The CEI study involved a significant sample size of 8,685 respondents, divided into two main categories: 3,683 respondents focused on sales and product quality experiences, while 5,002 respondents shared their after-sales service experiences. Further stratification was done based on market tiers, with 3,951 respondents from Tier 1 cities, 3,925 from Tier 2 cities, and 809 from Tier 3 cities.
The Overall Customer Experience Index evaluated 97 attributes across sales, product, and after-sales experiences, each contributing 25%, 25%, and 50% respectively. In the mass market segment, Kia emerged as the leader with a score of 45.84, while Audi topped the luxury segment with a score of 48.93.
In the Sales Experience Index (SEI), Kia led the mass market brands with a score of 52.52, excelling in test drive experience, responsiveness of the sales team, and customer relationship management. BMW ranked highest among luxury brands with an identical score of 52.52, performing well in areas like availability of roadside assistance and online advertisements.
The Product Experience Index (PEI) saw Toyota scoring the highest among mass market brands with 45.40, thanks to factors like good resale value, gearshift quality, and quality of lights. In the luxury segment, Audi led with a score of 46.35, attributed to its vehicle suspension quality and engine power.
As for the Aftersales Experience Index (ASEI), Kia once again ranked highest among mass-market brands with a score of 44.15, performing well in car condition upon delivery, technical knowledge of the after-sales team, and responsiveness. Audi led the luxury brands with a score of 50.51, standing out in ease of team access and technical knowledge.
Vinkesh Gulati, Chairman of FADA Academy & Research, commented, “The findings from the Customer Experience Index (CEI) study provide a clear picture of what customers prioritize and value most in their automotive journey. It’s evident that aspects like service, comfort, and reliability are at the forefront of customers’ minds. These are the core areas where automotive brands are succeeding in meeting customer expectations. Customers are particularly pleased with the responsiveness and knowledge of sales teams, the performance and reliability of their vehicles, and the quality of after-sales workmanship.”
“However, while these areas are currently excelling, they also set a high standard that must be maintained and continuously improved. Notably, customers are increasingly expecting greater reach and accessibility from automotive brands, rather than investing in large infrastructure setups. As we move forward, it is crucial for the industry to not only uphold these strengths but also address the underlying areas of improvement to ensure a consistently exceptional customer experience,” he added.
Shylesh Narayanan, Country Head of Frost & Sullivan India, said, “The Customer Experience Index (CEI), developed in collaboration with FADA, is unique due to its unbiased random sampling which reflects customer perspectives. This data-driven analysis highlights critical areas for OEMs and dealers to refine their strategies and adapt to evolving customer expectations. This index will also help guide the industry towards a future where brands are distinguished by their feature-rich offerings, exceptional service, and reliability, ultimately fostering superior customer experiences and therefore, loyalty.”
Customer priorities
The study emphasised the importance of service, with respondents highlighting “service” as a significant priority, indicating that customers highly value the quality and reliability of their service experiences. Other critical aspects include “comfortable,” “mileage,” and “features,” showing that customers seek efficient vehicles that also provide a comfortable and well-equipped driving experience. Terms like “innovative,” “technology,” and “reliable” suggest customer appreciation for cutting-edge advancements and dependability in their vehicles. Furthermore, the focus on “brand” and “premium” underscores the importance of brand reputation and perceived value, while “affordable” and “popular” reflect customers’ awareness of cost and market trends.
The voice of the customer calls for a balanced blend of performance, innovation, and service excellence in the automotive sector, identifying key factors within each category that significantly enhance customer satisfaction.
In the sales category, top delighters include the test-drive experience, allowing customers to evaluate the vehicle’s fit and performance firsthand, and the responsiveness and knowledge of the sales team, fostering trust and confidence during the purchasing process. Additionally, the ease of transaction and payment processes contributes to a seamless and stress-free buying experience.
Product attributes that stand out as priorities are performance and reliability, ensuring the vehicle meets expectations in terms of power and dependability. Seat comfort and legroom are crucial for providing a comfortable and enjoyable driving experience. Furthermore, fuel efficiency and good resale value are essential considerations, offering both financial benefits and long-term satisfaction.
The after-sales experience is enhanced by high-quality workmanship, ensuring service and repairs are completed to the highest standards. The ease of appointment scheduling and effective post-service follow-up further improve customer satisfaction by providing convenience and reassurance. Additionally, fair pricing and a straightforward complaint registration process contribute to a transparent and supportive after-sales environment.
