MyTVS, a leading automotive aftermarket service provider supported by a digital platform, is set to expand its network from the current 1,000 outlets to 2,500 within the next two years.
Operated by ki Mobility Solutions, the largest independent player in the automotive aftermarket and part of the $3 billion TVS Mobility Group, MyTVS has seen significant and consistent growth. This expansion is driven by the brand's ability to leverage its digital network to access vehicles, process data, and deliver repair solutions digitally through its franchises and company-owned and operated outlets (COCO). Currently, 90% of the outlets are franchise-owned, while the remaining 10% are COCO. This distribution will remain unchanged during the expansion.
Last month the company reached a significant milestone by surpassing 1,000 service centres nationwide. This journey, which commenced four years ago, has been guided by three core principles: digital convenience, standardisation, and transparency for end customers. Additionally, a comprehensive parts catalogue has played a crucial role in their growth.
The company's success can be largely attributed to substantial investments in technology and infrastructure. With over 7.9 million records in its parts catalogue, the company offers predictive repair management and cost-effective parts procurement, significantly enhancing the overall customer experience.
Expeditious Expansion
Regarding the need for aggressive expansion, G Srinivasa Raghavan, Managing Director of ki Mobility Solutions, explained that the brand has evolved into 'an alternative choice for customers who prefer not to use vehicle dealerships for post-warranty service. As one of the top three networks and the largest multi-brand network digitally, the need for expansion became apparent.'
Furthermore, the MyTVS app has surpassed one million downloads, acquiring approximately 2,000 customers daily, with 52% being repeat customers. This impressive growth and platform credibility have driven the decision to expand the network further, he pointed out.
Despite consistently achieving Google ratings between 4.3 to 4.5, the company relies heavily on its comprehensive 'listening platform.' This system consolidates all forms of customer feedback—whether gathered at the time of delivery, post-delivery, through digital media, or via the contact centre—into a unified system. This approach ensures that any dissatisfied customers are promptly addressed and converted into satisfied ones, he said.
Enticement
The company's outlet incentivisation programme is built around timely delivery, measured by a parameter called the ‘redo ratio.’ This satisfaction score becomes an integral part of the organisation's processes. 'The aftermarket presents a unique challenge because customers typically come in for repairs rather than periodic maintenance, which adds complexity to our operations,' he explained. 'We have established a comprehensive digital taxonomy of error codes across 44 models (of vehicle makers), and we are continuously working to enhance this system,' he added.
Compelling Reasons
Srinivasa Raghavan outlined the compelling reasons for becoming a MyTVS franchise, pointing out the company's robust support system. The company upholds its franchisees in five key areas: advanced technology, training, parts supply, business support, and financial services. Besides, it provides a cutting-edge diagnostic platform and comprehensive training through its digital knowledge centre. Franchisees also benefit from access to a wide range of parts and business support, including cashless insurance options. A unique initiative, 'Mobility for All,' has been launched to provide franchisees with credit for collision repair services and other related expenses. 'We are pioneers in transforming franchising policy by incentivising compliance rather than punishing non-compliance, thus encouraging partnership. Based on feedback, we collaborated with ICRA Analytics to develop a non-CIBIL-based, transaction-based credit model, certified by banks,' he explained. This model provides capex support for establishing new outlets, which are designed in a modular format, making 90% of the setup salvageable. This approach ensures that franchisees receive comprehensive, inclusive benefits, making the MyTVS franchise model both attractive and sustainable.
Unique Aspects The MyTVS franchise model stands out for a few unique aspects. 'We are the only ones charging an upfront fee to become a franchisee, along with a monthly fee and a compliance code,' the Managing Director explained. 'In a way, it's a hardwired franchise system,' he added. Nevertheless, MyTVS de-risks its franchisees and supports them in overcoming challenges. According to him, the acceptance of thought leadership transforms the relationship from a mere business transaction to a long-term partnership. This approach is further supported by parts and financial services partners committed to creating lasting value for franchisees. As a result, potential challenges are converted into opportunities, and there have been no instances of undesirable behaviour that would pose a risk to the company.
NewGen Entrepreneurs
Additionally, there has been a noticeable trend in the last three months of the next generation of automotive dealers opening multi-brand workshops, he observed. These next-generation entrepreneurs are attracted to the freedom to operate and the opportunity to work directly with customers. They also favour companies like MyTVS that are tech-intensive, offering an innovative and modern work environment. This shift indicates a growing interest in the multi-brand workshop model among the new generation, driven by a desire for flexibility and technological advancement. Srinivasa Raghavan noted a key distinction in the business approach between tech platforms and incumbents entering the supply chain space. 'Globally, most people have seen tech platforms entering the supply chain business, not the other way around,' he said. 'This often results in pressure on these tech platforms to monetise data. In contrast, when an incumbent integrates technology, there is no such pressure to monetise. Instead, they focus on growing with the customer, as they already possess a relationship with the customer and control over the supply chain,' he signed off.
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