EXPLORING MARKETING DYNAMICS AND SALES PRACTICES IN INDIA’S AUTOMOBILE INDUSTRY: A CASE STUDY OF TEJPAL MG MOTORS

Exploring Marketing Dynamics and Sales Practices in India’s Automobile Industry: A Case Study of Tejpal MG Motors

 

Shaikh Mohammed Maaz Mohd Humayun 1, Amol Bhalerao 2, Dr. Bhawna Sharma 3

 

1 Student, Amity Business School, Amity University Mumbai, Maharashtra, India

2 Professor, Amity Business School, Amity University Mumbai, Maharashtra, India

3 Director-International Affairs and Program, Officiating HOI Amity Business School, Amity University Mumbai, Maharashtra, India

 

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ABSTRACT

The Indian automobile sector has undergone rapid transformation with the rise of technology-driven vehicles, digital marketing strategies, and evolving customer expectations. In this context, dealership-level marketing and sales practices play a crucial role in shaping consumer perception, influencing purchase decisions, and establishing brand trust. This research explores how modern sales and marketing dynamics function at Tejpal MG Motors, Kalyan, an authorized dealership of MG Motor India, and examines their impact on customer behaviour during the automobile purchasing process. A mixed-method approach has been used, combining primary insights from dealership-level observations with secondary data from industry reports. The study assesses key elements such as product demonstrations, test-drive experience, CRM-based follow-ups, pricing transparency, digital enquiry handling, and the influence of MG’s technology-rich vehicles on consumer preferences. The findings indicate that personalised interaction, quick follow-up through CRM, and technology-focused product communication significantly enhance customer engagement and conversion potential. Results further show that customers are strongly influenced by premium showroom experience, sales team professionalism, and clarity of information provided during the decision-making process. Overall, the research concludes that well-integrated marketing and sales strategies at the dealership level play a decisive role in improving customer satisfaction and strengthening the brand’s competitive position in the Indian automobile industry.

 

Received 28 April 2024

Accepted 29 May 2024

Published 30 June 2025

Corresponding Author

Shaikh Mohammed Maaz Mohd Humayun, maazs2954@gmail.com

DOI 10.29121/ShodhPrabandhan.v2.i1.2025.52  

Funding: This research received no specific grant from any funding agency in the public, commercial, or not-for-profit sectors.

Copyright: © 2025 The Author(s). This work is licensed under a Creative Commons Attribution 4.0 International License.

With the license CC-BY, authors retain the copyright, allowing anyone to download, reuse, re-print, modify, distribute, and/or copy their contribution. The work must be properly attributed to its author.

 

Keywords: Automobile Marketing, Dealership Sales Practices, Customer Buying Behaviour, CRM Follow-Ups, Test-Drive Experience, Digital Lead Generation, MG Motor India, Tejpal MG Motors, Technology-Driven Vehicles, Consumer Decision-Making

 

 

 


1. INTRODUCTION

Marketing in the modern automobile industry has evolved into a highly strategic and behaviour-driven discipline wherein customer perception, technological awareness, and brand experience drive the final purchase decision. Consumers today no longer depend on traditional advertisements or sales pitches. They instead look toward brands for digital engagement, technology in vehicles, safety features, reputation after-sales, and overall experience at a dealership. With increased social media influence, online reviews, and comparison platforms, buyers are more aware and choosier than ever.

The automobile sector in India has undergone a massive change in the last two decades-from being dominated by conventional fuel vehicles and basic model line-ups, the market has shifted towards connected cars, electric mobility, ADAS-equipped vehicles, and feature-rich SUVs. This transformation has compelled dealerships to adopt new marketing techniques, personalized customer interactions, structured CRM follow-ups, and a data-driven approach toward sales. In this highly competitive environment, the role of individual dealerships such as Tejpal MG Motors, Kalyan, becomes critical in shaping buyer preferences and influencing brand perception.

Tejpal MG Motors acts as a direct bridge between MG Motor India and potential customers. The marketing efforts of the dealership, including handling digital leads, test drives, product demonstrations, and customer relationship management, have great influence on the willingness of the consumer to buy. Today, dealerships are not only a place to visit for buying or selling but a reflection of the entire brand identity that is expected to provide a premium, transparent, and technology-driven experience, especially for brands positioned as modern, innovative, and technologically advanced, such as MG.

Even with industry improvements, there are still issues. Customers come in with research already done, wanting an explanation on pricing, variant differences, features, safety ratings, and the long-term value of the vehicle. The efficiency of the sales process, quality of communication, and follow-up behaviour of the dealership become important aspects that influence trust and conversion. Previous automotive marketing research shows that handling customers well along with on-time information and interactive demonstrations improve buying intentions. But regarding how all these practices particularly work in MG dealerships-especially the retail level-the literature has little to say. The present research will try to fill this gap by discussing how Tejpal MG Motors manages marketing and sales in the real world. It explores customer touchpoints, decision-making triggers, digital leads, CRM processes, test-drive influence, and the involvement of salespeople. The study further assesses the appropriateness of the strategies being followed by the dealership with consumer expectations and operational processes towards the actual sales outcome. This study gives far greater insight, through comprehensive observation and analysis, into the evolving dynamics of dealership-level marketing in India's growing automobile industry.

 

2. Background to the Research

The automobile industry in India is one of the fastest growing and most competitive sectors, buoyed by rapid urbanization, rising income levels, and growing demand for technologically advanced vehicles. Customer needs have shifted significantly over the last decade, from just price and mileage to premium features, digital connectivity, safety, and brand experience. This evolution has compelled automobile companies and dealerships to use modern marketing techniques, data-driven decision-making, and customer-centric sales processes.

MG Motor India arrived with a strong positioning in technology, connectivity, and advanced safety systems. Its portfolio of products has been filled with AI-assist, ADAS, and i-SMART-connected features, making them stand out as contenders with a perspective toward innovation and technology. This brand promise is delivered to the customers by the dealerships, such as Tejpal MG Motors, Kalyan, through effective marketing communication, personalized product demonstrations, and professional sales practices.

Consequently, today's consumers conduct a great deal of research online before entering the dealer's premise. This trend has elevated the need for dealership-level engagement techniques, including digital enquiry handling, CRM follow-ups, test-drive experiences, and transparent price discussions. Sales now cannot be correlated solely to the number of walk-ins; rather, conversion of online leads into customers, timely communication, and showroom experience determine the success of sales.

Although many studies focus on consumer behaviour and digital marketing in the automobile industry, very little research has been carried out to explore dealership-level marketing and sales practices in real operational settings. Precisely, there is limited academic literature with regard to how authorized MG dealerships function at the grassroots level, how the dynamics of their marketing influence the decisions of customers, and how sales teams adapt to modern automotive expectations.

The study seeks to fill the research gap by looking into a real-world marketing and sales environment at Tejpal MG Motors. It gives insight into customer interaction patterns, dealership processes, employee roles, and strategies used in influencing buyer behaviour. Knowledge of this model can contribute much toward general understanding of the emerging business practices in India's automobile sector and underscore precisely those factors that lead to effective conversion and customer satisfaction.

 

3. REVIEW OF LITERATURE

The automobile industry has been one of the most studied industries because of its rapid evolution, technological advancement, and strong influence it has on consumer behavior. In addition, research in the sector has shown how marketing strategies, dealership performance, and customer experience interactively develop buyers' decisions. This literature review synthesizes key themes relevant to dealership-level marketing dynamics and sales practices, especially for modern brands such as MG Motors.

1)    Customer Behaviour in Automobile Purchases

Past research has highlighted that automobile purchasing is a high-involvement decision, which is influenced by various factors such as lifestyle, safety concerns, financial capacity, and perceived value. Consumer buying behavior theories have revealed that buyers assess brands on the basis of performance and price, besides after-sales service, professionalism of the dealership, and trustworthiness of the same. This suggests a greater liking for SUVs and technology-based vehicles in the Indian market.

2)    Technology as a Differentiator in Car Marketing

Recent literature has identified that in-car technology, such as ADAS, touchscreen infotainment systems, parking sensors, and connected car systems, are increasingly playing important roles in shaping consumer preference. Many researchers have argued that modern car buyers, particularly urban and young professionals, give precedence to digital features and smart mobility solutions over traditional attributes. MG Motor India, through its focus on AI, connectivity, and EV technology, positions itself strongly in this trend.

3)    Role of Dealerships in Customer Experience

Studies indicate that a dealership is much critical as the first 'brick-and-mortar' touchpoint for the customer. The orientation, communication ability, and product knowledge of the sales executives have a strong bearing on the customer satisfaction and purchase decision. Research shows that customers form a long-term perception about the brand from their experience in the dealership; hence, the role of Tejpal MG Motors is all-important to deliver the premium brand promise of MG.

4)    Test-Drive Experience and Experiential Marketing

Experiential marketing research indicates that test drives substantially affect customer confidence and the intent to buy. Business scholars indicate that decisions are very closely related to driving feel, comfort, seating, visibility, and performance on the road. Satisfaction from test drives has been identified multiple times as a path leading to increased conversion rates, reinforcing its position within the sales process at the dealership level.

 

4. RESEARCH METHODS AND PROCEDURES

4.1. OBJECTIVES

1)     To study the complete sales process followed at Tejpal MG Motors, including enquiry handling, test drives, product demonstrations, and final booking.

2)     To analyse customer buying behaviour and identify key factors influencing their decision when choosing an automobile brand.

3)     To evaluate the effectiveness of marketing communication, including digital leads, showroom engagement, and follow-up strategies.

4)     To understand the role of CRM (Customer Relationship Management) in managing leads, customer data, and follow-up discipline.

5)     To examine the impact of technology-oriented features (ADAS, connected car systems, EV technology) on customer perception of MG vehicles.

6)     To identify challenges faced by the dealership in sales operations, customer communication, and lead conversion.

7)     To provide insights and recommendations that can help improve dealership marketing effectiveness and customer satisfaction.

 

4.2. RESEARCH QUESTIONS

1)     How do the marketing and sales practices at Tejpal MG Motors influence customer buying behaviour?

2)     What factors do customers consider most important when evaluating MG vehicles at the dealership?

3)     How effective is the CRM system in managing enquiries, follow-ups, and lead conversions?

4)     What role does the test-drive experience play in shaping customer confidence and purchase intention?

5)     How do digital enquiries and online interactions affect the overall sales process at Tejpal MG Motors?

6)     What challenges do sales executives face during customer handling and conversion?

7)     How do technology-driven features (ADAS, connected car systems, EV capability) influence customer perceptions at the dealership?

 

5. DATA COLLECTION

Data collection is a crucial part of this research, as it provides the information required to analyse customer behaviour, dealership practices, and the effectiveness of marketing and sales strategies at Tejpal MG Motors, Kalyan. The study uses both primary and secondary data sources to ensure accuracy, reliability, and a comprehensive understanding of dealership operations.

 

5.1. Primary data

Primary data was primarily collected using a structured questionnaire, comprising multiple-choice questions and statements on a Likert scale to gauge customers' opinions. Besides the questionnaire, informal interviews and discussions were also carried out with the dealership's staff and some of the respondents to get more in-depth insight into customer expectation, buying behaviour, and practical obstacles in the process of buying a vehicle.

 

5.2. Secondary data

Secondary data for this study was obtained from different reliable sources: previously published research papers, automobile industry reports, e-books, online articles, official publications of MG Motor India, car review websites, and academic journals. These provided theoretical background and helped strengthen the interpretation of the primary data.

 

6. DATA ANALYSIS

The data collected from 30 respondents was analysed using descriptive statistics, mean scores, and correlation techniques to understand customer perceptions and evaluate the effectiveness of dealership-level marketing and sales practices at Tejpal MG Motors. Responses were processed through SPSS software, which helped identify patterns in customer expectations, test-drive influence, CRM follow-up quality, and the impact of digital enquiries on buying decisions. The analysis revealed that technology-driven features, personalised product demonstrations, and timely follow-ups were strongly associated with positive customer experience and higher purchase intention. Mean scores showed that customers placed high importance on safety features, pricing clarity, and sales executive behaviour, while correlation analysis indicated a significant relationship between test-drive satisfaction and overall buying confidence. The findings suggest that dealership operations, especially communication quality and responsiveness, play a crucial role in shaping consumer decisions in the automobile market.

 

 

 

 

 

 

 

 

7. DEMOGRAPHIC ANALYSIS:

1)    How do the marketing and sales practices at Tejpal MG Motors influence customer buying behaviour?

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The first graph shows that 40% of respondents rated their experience as “Very Positive”, followed by 30% rating it “Positive” and 30% “Neutral.” This indicates that the majority of customers had a favourable experience at Tejpal MG Motors, though a segment remains neutral, suggesting opportunities to further improve the dealership’s overall service quality and customer engagement.

2)    What factors do customers consider most important when evaluating MG vehicles at the dealership? 

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This question was to determinate the gender division who filled the questionnaire. Out of 30 respondents, 52.2% were female & 47.8% were male. This means that this questionnaire was answered by 105 female respondents and 96 male respondents.

3)    How effective is the CRM system in managing enquiries, follow-ups, and lead conversions? 

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From the third graph, 60% of respondents found CRM follow-ups “Effective,” while 30% rated them “Moderately Effective” and 10% “Highly Effective.” This demonstrates that customers appreciate the follow-up process, though improving speed, personalization, and frequency could help shift more responses towards "highly effective."

4)    What role does the test-drive experience play in shaping customer confidence and purchase intention? 

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The fourth graph reflects that 30% of customers consider test drives “Extremely Important,” 30% “Very Important,” and 40% “Moderately Important.” This confirms that test-drive exposure meaningfully shapes customer confidence, but its impact varies across buyers—highlighting the need to create more personalised and informative test-drive experiences.

5)    How do digital enquiries and online interactions affect the overall sales process at Tejpal MG Motors? 

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According to the fifth graph, 60% believe digital enquiries “Improve the sales process,” while 30% feel they “Strongly Improve” it and 10% believe they have “No Major Impact.” This shows that digital leads are highly effective for customer engagement and play a critical role in converting online interest into showroom visits.

6)    What challenges do sales executives face during customer handling and conversion? 

 

 

The sixth graph indicates that the most common challenges include Communication Gaps During Follow-Ups (30%) and Delayed Customer Decisions (20%), along with Competition Comparison (20%) and Lack of Documents (20%). This implies that sales executives must focus on improved communication, clearer brand differentiation, and better documentation coordination.

7)    How do technology-driven features (ADAS, connected car systems, EV capability) influence customer perceptions at the dealership?

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The seventh graph shows that 40% of respondents felt a “Very Strong Influence” from technology-driven features, 20% reported a “Strong Influence,” and 40% noted a “Moderate Influence.” This highlights the growing importance of MG’s signature tech features (ADAS, connected systems, EV capabilities) in customer decision-making.

 

8. FINDINGS AND ANALYSIS

The study highlights that effective marketing and sales practices at Tejpal MG Motors significantly shape customer experience and dealership performance. Employee-based responses show that customers are strongly influenced by MG’s technological features, safety ratings, and overall brand positioning. Digital enquiries and online research consistently impact walk-ins, indicating that customers arrive at the dealership with prior knowledge, expectations, and feature comparisons.

1)    Customer Experience and Perception

The analysis reveals that most respondents believe customers perceive the dealership experience positively due to attentive staff behaviour, detailed product explanations, and transparent communication. Employees also indicated that MG’s modern showroom ambience and organised workflow help build trust and ease customer decision-making. However, neutral responses suggest that some customers still expect quicker processes and more personalized follow-ups.

2)    Influence of Product Features and Technology

A major finding is that MG’s advanced features—such as ADAS, connected car technology, and safety systems—play a critical role in shaping customer interest. Staff responses show that buyers frequently ask about digital features, EV capabilities, and comparison with competitors. This confirms that technological superiority remains one of MG’s strongest differentiators in the automobile market.

3)    CRM Efficiency and Follow-Up Discipline

Employees reported that CRM follow-ups are effective and help maintain customer engagement; however, delays due to workload, lead volume, or miscommunication occasionally affect conversion potential. The findings emphasise the importance of consistent follow-up strategies, timely call-backs, and better utilisation of CRM tools to prevent lead leakage and loss of potential buyers.

4)    Impact of Test-Drive Experience on Sales

The test-drive experience plays a crucial role in converting customer interest into intent. According to employees, customers show higher purchasing confidence after experiencing the ride quality, comfort, and handling of the vehicles. The analysis reveals that the quality of the test-drive explanation, route selection, and clarity of feature demonstration also influence customer satisfaction.

5)    Role of Digital Enquiries and Online Platforms

The findings show that digital enquiries strongly support the sales process, with most customers initiating contact through MG’s website, social media, or listing portals. Employees acknowledge that digital leads have increased sales opportunities, although timely contact, filtering of non-serious enquiries, and competitive price clarifications remain areas for improvement.

6)    Operational Challenges Faced by Sales Staff

Employees highlighted several challenges such as price objections, comparison with competitors, documentation delays, and communication gaps during follow-up. The findings show that understanding customer concerns early, providing clear quotations, and offering better competitor comparison tools can help resolve these issues. Additionally, workload pressure during weekends sometimes affects the pace of customer handling.

7)    Customer Expectations and Buying Behaviour

The analysis indicates that customers prioritize brand trust, service availability, and long-term value. Employees reported that customers often take longer to finalize decisions due to EMI concerns, variant confusion, or external opinions. This demonstrates that the buying process is highly emotional and information-driven, requiring patience and relationship-building by the sales team.

 

9. CONCLUSION AND RECOMMENDATION

Conclusion:

The research concludes that marketing dynamics and sales practices at Tejpal MG Motors significantly influence customer engagement, dealership performance, and final purchase decisions. MG’s strong brand image, safety-focused design, and technology-rich vehicles exert a powerful influence on customer interest. The study also reveals that digital enquiries, CRM-based follow-ups, and personalised showroom experiences collectively shape customer buying behaviour in a competitive automobile market.

While the dealership demonstrates strong operational efficiency, several challenges—such as price-related concerns, competitive comparisons, and documentation delays—create friction in the sales process. Employee feedback shows that timely communication, structured follow-ups, and enhanced product presentations can further strengthen customer trust and conversion rates.

Overall, Tejpal MG Motors operates in a rapidly evolving automobile sector where customer expectations are shaped by digitalisation, online research, and modern features. The dealership’s success depends on its ability to provide an exceptional customer experience, maintain transparency, and deliver consistent professional service. With strategic improvements, Tejpal MG Motors can achieve higher customer satisfaction, stronger brand loyalty, and improved sales performance.

 

10. RECOMMENDATIONS

·        Improve CRM Follow-Up Quality

The dealership should adopt an automated reminder system, personalised message formats, and structured follow-up intervals to ensure timely customer engagement. This will reduce lead leakage and improve conversion rates across digital and offline enquiries.

·        Enhance Sales Training and Product Knowledge

Regular training sessions should be conducted to strengthen product expertise, competitor comparisons, and objection-handling skills. Well-trained executives can communicate value more effectively and address customer concerns with confidence.

·        Increase Digital Marketing and Local Engagement

The dealership can benefit from improved digital presence through reels, short videos, customer testimonials, and targeted advertisements. Local marketing activities like mall activations, business-park stalls, and community test-drive events can boost visibility and attract fresh leads.

·        Optimize Test-Drive Procedures

To strengthen the test-drive experience, sales teams should follow a fixed process that highlights key features systematically. Offering home test-drives and personalised demonstrations can further enhance customer satisfaction and build trust.

 

CONFLICT OF INTERESTS

None . 

 

ACKNOWLEDGMENTS

None.

 

REFERENCES

Autocar India. (2025). MG Vehicle Reviews and Automobile Market Trends.

CarDekho. (2025). MG Car Features, Specifications, and Price Comparisons.

Economic Times Auto. (2025). Indian Automobile Industry Insights.

EY India. (2024). Digital Transformation in Automotive Dealerships.

India EV Report. (2025). Electric Vehicle Market Forecast and Adoption Trends. https://www.indiaevreport.com  

MG Motor India. (2025). Official Website.

Tejpal MG Motors. (2025). Dealership Information.

 

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