The National Automobile Dealers’ Association (NADA) and the Southern African Vehicle Rental and Leasing Association (SAVRALA) have signed a Memorandum of Agreement (MOA), marking the formalisation of a relationship that has existed informally for many years. This milestone underscores the commitment of both organisations to working together strategically to strengthen the industry and drive key initiatives.
“There are so many common areas that NADA and SAVRALA focus on, but until now, we’ve tackled them separately. This agreement changes that,” says Brandon Cohen, Chairperson of NADA. “By working together, we become stronger in our engagements with key stakeholders such as government and financial institutions. Road safety is a primary concern for both organisations, given that our members are responsible for supplying and using vehicles on South African roads—whether rented, leased, or sold. There’s so much we have in common, from driver habits to legislation, salvage, and insurance, that it’s surprising it took this long to formalise our partnership. But now that we have, we can drive greater impact together.”
SAVRALA has always been a key stakeholder in the automotive sector, with its members sourcing vehicles directly from manufacturers and dealer networks. Over the years, NADA and SAVRALA have collaborated on various industry matters, frequently engaging with government, financial institutions, and other critical stakeholders. However, their joint efforts have never been formally structured—until now.
“Our members source their vehicles both directly from manufacturers and through the dealer network, so our relationship with NADA has always been key,” says Sandile Ntseoane, General Manager of SAVRALA.
“We’ve worked together for many years, sitting on similar platforms and engaging in negotiations with government. But this has always been informal. Now, with a structured and strategic approach, we can formally align on key industry issues and maximise our collective influence. NADA has always been a key strategic partner for SAVRALA, and this formalisation ensures we can work together even more effectively.”
The agreement also aligns with the strategic vision of the Retail Motor Industry Organisation (RMI) to lead the sector with a proactive, structured approach. By formalising this partnership, NADA and SAVRALA will enhance joint research, advocacy, and industry leadership, ensuring that they do not merely participate in discussions with government and other stakeholders but actively shape policy and industry direction.
“This is an exciting and long-overdue development,” says Ipeleng Mabusela, RMI CEO, of Strategy and Corporate Support. “Our engagements last year set the foundation for this structured and formal approach, and from an RMI perspective, this agreement aligns perfectly with our strategy to lead the industry. Through joint thinking, research, advocacy, and sector strategy development, we don’t just engage with government and key stakeholders—we lead them. This partnership between two great organisations is a major step forward in ensuring the industry has a unified, strong voice.”
From a business perspective, the cooperation agreement makes absolute sense. SAVRALA plays a significant role in the South African economy, and when combined with RMI’s substantial influence in the aftermarket – contributing approximately 2% to GDP – the collective strength of these organisations will provide a more powerful voice in policy discussions. This collaboration will enable them to engage government and industry stakeholders with a unified position, ensuring that their shared interests are effectively represented.
The signing of the MOA is a long-overdue step in cementing the synergy between NADA and SAVRALA. By working together in a structured and formal manner, both organisations are poised to lead the sector with a stronger, more cohesive approach, benefiting the industry and the economy.
