India EV Market Shifts Focus to Ownership as VinFast Tops Dealer Satisfaction Study

Electric passenger-vehicle registrations rose 50% year on year to 30,325 in August, taking EV penetration to 7.4%, according to Vahan. As electric vehicles become more common, dealerships are assuming a larger role in the overall ownership experience.

Unlike conventional car buyers, who can generally enter a traditional dealership with a basic understanding of how their vehicle works, EV buyers face additional questions about battery charging, ownership costs, software-related issues and access to technicians equipped to handle electric vehicles.

These concerns are equally important for dealers seeking to provide comprehensive customer support. Addressing them requires training, equipment and a workable business model. FADA’s 2025 Dealer Satisfaction Study surveyed more than 1,800 dealer principals representing nearly 5,000 outlets. After-sales service emerged as the most important factor in dealer satisfaction, followed by business viability and policy. Inventory, margins and training costs were among the concerns affecting dealers.

Against this backdrop, the latest FADA study has provided an EV-specific indication of dealer sentiment. VinFast ranked No. 1 among electric passenger-vehicle OEMs in dealer satisfaction. The study measures dealers’ perceptions and experiences in their engagement with OEMs, making the ranking a measure of the relationship between an automaker and its retail partners rather than the cars themselves.

The relationship becomes particularly important when an EV manufacturer is expanding its dealer network while building its customer base. VinFast recently opened its 60th dealership in Patna, a 3S facility combining sales, after-sales service and customer support. The company plans to reach 75 dealerships across more than 60 cities by the end of 2026, with its network extending into tier-2 and tier-3 markets.

VinFast has also signed with multiple Indian banks to support inventory financing, an important part of the dealer equation as new outlets require dealers to commit more capital to growing vehicle stocks.

The expansion beyond India’s biggest cities also highlights the next challenge for EV adoption: making ownership accessible wherever customers live. The next wave of buyers will come from cities where proximity to a service centre may be more important than another 20 kilometres of claimed range. A familiar local dealership can contribute significantly to customer confidence alongside the features listed on a specification sheet.

Building such a network, however, involves more than opening additional showrooms. As EVs expand into more cities, dealers must become comfortable selling technology that many customers are still learning about themselves. This requires trained sales teams, prepared technicians and service operations capable of keeping pace with vehicle sales.

The relationship between an automaker and its dealers is therefore increasingly important to both sides. A dealer that feels supported has greater reason to invest in training, service capacity and inventory, while an OEM with a well-supported network has a stronger opportunity to reach customers beyond the biggest cities.

VinFast has built a nationwide dealer network in less than two years in India and is now among the country’s top five EV automakers. Its No. 1 ranking in FADA’s latest study does not explain that growth on its own, but it provides an indication of how the company’s relationship with its dealers may be supporting its expansion.