Automobile Dealers expect footfalls to continue
Continuing marriage season, fresh product launches and strategic promotional activities are likely to sustain customer footfalls, said the Federation of Automobile Dealers Associations (FADA) on Thursday.
Furthermore, improved inventory management, better financing options from select lenders and backlogged orders in certain segments (such as commercial vehicles) add to the sense of guarded confidence. With supportive policies and a post-budget lift in consumer sentiment, many believe February could see a stable or slightly elevated sales curve, the industry body said.
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“The auto retail sector kicked off 2025 on a promising note, aligning with FADA’s earlier survey projections that expected January to range from flat to moderately positive. Our observations indicate that each vehicle category— two-wheeler (2W), three-wheeler (3W), passenger vehicle (PV), tractor and commercial vehicle (CV)—witnessed positive momentum, pointing toward sustained consumer confidence and steady market recovery,” C S Vigneshwar, President, FADA said while sharing monthly auto retail sales data.
According to its monthly retail sales data, the PV sales grew by 15.5 per cent year-on-year (y-o-y) to 4,65,920 units in January, as compared with 4,03,300 units in the corresponding month last year.
The 2W sales grew by a little more than four per cent y-o-y to 15,25,862 units during the month as compared with 14,65,039 units in January 2024.
Similarly, the 3W sales grew by seven per cent y-o-y to 1,07,033 units in January as compared with 1,00,160 units in the same month last year.
In the CV segment, the FADA monthly report indicated y-o-y growth of 8.2 per cent to 99,425 units sales last month as against 91,877 units in January 2024.
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Tractor sales grew by more than five per cent y-o-y to 93,381 units during the month as compared with 88,741 units in January last year.
In total the FADA report indicated that the retail sales across vehicle categories grew by 6.6 per cent y-o-y to 22,91,621 units as compared with 21,49,117 units in the same month last year.
