Vehiclecare is a tech-driven multi-brand car service platform that simplifies car servicing requirements through cost-effective solutions. The company provides a host of services ranging from the biggest overhauls to the minutest tuning and you can avail these services in cities like Delhi, Noida, Gurgaon, Jaipur, Chennai, Ahmedabad, Lucknow, Bengaluru, Hyderabad, Jhansi, Mumbai, Chandigarh, Faridabad, and Pune.
In order to understand more about Vehiclecare, the WheelsOnDrive team recently had an email interaction with Arvind Kumar, Founder, Vehiclecare. Check out are the key takeaways from the interaction.
Q1. What are the market projections?
Ans: India Multi Brand Car Service Market is expected to reach about INR 73,162 Cr in Revenue by FY’2025 and India Multi-Brand Car Service Industry Market Outlook to 2025: Doorstep Car Servicing, Real-Time Service Status to Drive the Penetration of Multi Brand Car Service in India. The report focuses on the multi-brand car service market size, India multi-brand car service market segmentation by Type of Vehicle (Hatchback, SUV, Sedan, Luxury, Electric Cars), By Type of Vehicle Age (4-10 Years, >10 Years. Multi-brand car service industry revenue stood at INR ~ Cr in FY’2020 and recorded a CAGR of 36.4% during FY’15-FY’20.
Surging Number of Post-Warranty Cars in India: India’s automotive industry is witnessing a surge in the number of post-warranty cars, which is leading to higher demand generation for multi-brand car service companies in India. ~65% of the post-warranty cars visit the multi-brand service centers in India whereas, only 35% of post-warranty users head back to the authorized service centers. Multi-brand service centers cost 40% less as compared to the authorized car service center which is the major reason for consumers to shift to the multi-brand service center during the post-warranty period. The number of post-warranty cars is anticipated to witness a CAGR of 3% during the forecast period FY’20-FY’25.
Seeing the growing car servicing demand in India, Vehiclecare is aggressively working towards expansion plans to cater to the demand. Hence, we have plans to hire 100+ employees by the end of this year and work on building our supply chain networks for our workshops and Consumer services.
Q2. What Are The Market Go Through Strategies Also Please Brief Us About Your Tie-up With Other Brands?
Ans: We are happy to announce that we have recently tied up with CARDEKHO and others; we have also received mandates from Uber, Car24, and others. Talking about the Market go through strategies so our Business Model is already generating enough revenue for us.
Q3. How do you see market Post COVID-19?
Ans: The COVID-19 pandemic has deprived many of their lives and livelihood. Even amid this traumatic and tragic situation, there were new opportunities and avenues that were raised for a profitable business. People started prioritizing their health and preferred to commute through their own personal vehicles. The used car sales, vehicle service and repair, manufacturing and supplying of branded parts, contactless booking for car servicing, etc. are some such business opportunities that the new crisis has promoted.
During this pandemic when everybody’s business is affected and consumers are looking for more affordable services and repair, they have started opting for local workshops and skip those of the OEM dealers. Currently, 70% of car owners go to the nearest car workshop after the OEM warranty expires. Customers expect a warranty on new spare parts.
Vehicle Care offers annual maintenance schemes and memberships that assure the car owners that someone will take care of their car for the whole year at an affordable price. Even though there is no big increase in these AMCs, if they come with attractive offers, there are chances that customers will buy the “peace of mind-like support” for emergency roadside assistance.
During this pandemic when everybody’s business is affected and consumers are looking for more affordable services and repair, we have started opting for local workshops and skip those of the OEM dealers. Pre pandemic, we used to generate 20-30 Lakhs revenue per month but when we talk about post-pandemic we are now generating 5-6 Cr. per month.
Q4. What are the future plans like quarterly/yearly?
Ans: We are on a massive expansion spree and by next quarter we are planning to start operations in 100 more cities in India and also planning to start new verticals like Spare part supply chain & doorstep services. We are planning on opening 500+ outlets by the end of this year. We are generating 5-6 crores revenue per month and through our future expansions, we are planning to reach 10 crores per month by the coming Quarter.
Q5. How is Vehiclecare different from other brands in the market?
Ans: Vehiclecare is developing a complete ecosystem for the automotive industry to serve every stakeholder like B2B, B2C, Insurance Brokers, Insurers, and Workshop Owners, etc. Many industry players are only focusing on B2B but we are working for B2B and B2C too. We are providing a 6 months warranty to our consumers to offer transparent service.
Q6. What are the services provided by Vehiclecare and do you deal with two-wheelers?
Ans: Currently we are dealing in Periodic Service, Denting & Painting, Washing, Alignment & Balancing, Running Repair, Refurb, Insurance Claims, and Doorstep Service.
We are only providing two-wheeler services in Delhi NCR as of now but planning to scale in other cities by end of this year.
