AI Implementation in Business: In Conversation with Mr. Sanjay Varnwal, Co-Founder & CEO, Spyne

Competing in today’s market requires adapting to emerging technologies like Artificial Intelligence (AI) to transform business strategies, streamline operations, and gain a decisive edge. However, adopting AI isn’t just about deploying a new tool within the system; it’s also about reshaping the organization’s business model and aligning its culture, goals, and resources. It requires careful planning, execution, and ongoing maintenance to ensure success.

This conversation exemplifies how Mr. Sanjay Varnwal, Co-Founder and CEO of Spyne, implemented AI into his business vertical. During the conversation, Mr. Sanjay highlights how AI reshapes automotive sales and empowers dealerships in the digital era.

He also illuminates the ethical use of AI and what future leaders can expect from this technology.

Q. To begin with, can you tell us something about your role as a CEO at Spyne? Any key highlights that you want to mention?

Varnwal: As the CEO and Co-founder of Spyne, my focus has always been clear: use technology meaningfully to solve real, everyday problems in automotive retail. What started as an idea to eliminate the pain of expensive car photoshoots has evolved into a vision for a full-stack retail OS for modern dealerships, all powered by AI.

We now empower dealers to digitally merchandise, price, list, market, and sell vehicles using AI — in minutes, not days. Not just that, we are deploying sales and customer service AI agents right on the website car listings to instantly engage with visitors, collect and qualify leads, book test drives, create reports, and a lot more, all via 24/7 availability through calls, chat, and email. Intending to enable smart dealerships, we are reimagining how cars would be retailed in today’s AI-native digital age.

As a techie myself, my role is intensely hands-on. Whether it’s brainstorming product features with our engineering team or sitting across the table with a dealer in a small town or a global marketplace, we stay close to the problem and closer to the people we’re building for.

What I’m most proud of is how we’ve made powerful technology accessible. We’ve given small and mid-sized dealers, who often get left behind in digital transformation, the tools to compete and thrive in a fast-moving, AI-first world.

We’ve grown across India, the US, and Europe, but for us, scale isn’t the headline. It’s about building something that makes a difference. In that journey, I see Spyne not just as a disruptor but also as a builder of the new playbook for smart automotive retailing experience, all powered by AI.

Q. In the present world of AI, how is your company making use of this latest technology? How do you envision the role of AI in driving the company’s future growth and competitive advantage?

Varnwal: At Spyne, we see the dealership not as a storefront, but as a system; one that can be reimagined end-to-end through AI. Our mission is to turn every touchpoint in the used car retail journey into an intelligent, automated workflow, uplifting the experience for both the dealers and car buyers.

We apply AI across the full retail stack, starting with inventory acquisition. Dealers no longer need to rely on gut instinct or scattered listings. Our sourcing engine surfaces high-potential vehicles based on pricing trends, demand signals, and availability gaps, streamlining the buy-side process for dealers.

Then, the dealer can use our AI-powered merchandising suite – StudioAI where with just 1 walkaround video input they can generate 3 types of outputs (images, 360 spin and marketing videos) instantly. Our AI transforms simple smartphone-shot visuals into consistent, studio-grade visuals, complete with background replacement, image correction, immersive 360 spins, and short-form ‘reels’ type marketing video—all generated in under 2-5 minutes!

We then power automated syndication, pushing listings to marketplaces, websites, and social media, helping dealers stay visible without constant manual input.

When a buyer shows interest, our conversational AI agent steps in. Available 24/7, it handles lead qualification, answers inventory questions, and schedules test drives—all while syncing seamlessly with the dealership’s CRM.

Through our real-time intelligence layer, dealers get complete visibility into inventory performance, aging stock, conversion metrics, and campaign ROI. This means fewer missed opportunities and faster, more confident decisions.

Spyne’s AI stack doesn’t just automate tasks, it helps dealerships sell smarter, respond faster, and operate leaner. That’s our vision for the future: a digitally intelligent smart dealership that’s powered by AI.

Q. When you’re experimenting with your approach (using AI), do you have an internal evaluation set? How do you make sure you’re retaining performance while you tweak things?

Varnwal: For us, experimentation isn’t a side activity. It’s baked into our product DNA. But it’s never done blindly. Every AI iteration we test follows a structured, evidence-led process that’s anchored in real business outcomes.

We maintain benchmark datasets across different parts of our stack — image quality, lead response time, pricing accuracy, and more. These internal evaluation sets act as our “control group,” allowing us to track improvements or regressions clearly.

We don’t look at performance purely regarding technical metrics, either. We measure impact in the context of business outcomes: are dealers able to sell cars faster? Are they getting more qualified leads? Are their marketing costs going down?

Whenever we tweak or introduce new models, we run A/B tests, compare against historical baselines, and validate with live customer feedback loops. We also keep a close watch on edge cases and failure modes and involve real users early to ensure the changes actually solve the intended problems.

Ultimately, it’s about progress without compromise. We move fast, but we never trade off on quality or trust. That’s how we keep our AI sharp, reliable, and always tuned to real-world impact.

Q. How do you ensure your AI systems are ethically used and have transparency and fairness?

Varnwal: The real risk with AI in the workplace isn’t the technology, it’s how we choose to use it. When 73% of employees globally say they’ve made mistakes because of AI, it’s not just about imperfect systems but over-reliance. It signals a mindset shift where people stop thinking critically and let automation take the lead.

We don’t believe in that kind of passive adoption. AI should amplify ownership, not replace it. That’s what all of us at Spyne believe. Our teams aren’t just given tools; they’re responsible for using those tools thoughtfully, ethically, and with intent.

For us, fairness and transparency aren’t features; they’re fundamentals. We build with clear boundaries, audit with discipline, and ensure our systems remain explainable and accountable. But above all, we stay connected to the people behind the tech. In the end, it’s not just about what AI can do; it’s about how humans use it.

Over the last 15 months, this approach, pairing innovation with ownership, has helped us scale 5x, not by chasing every new capability, but by staying rooted in purpose, speed, and trust.

AI is powerful. But it only moves the needle when humans remain in the driver’s seat; with clarity, courage, and care.

Q. Do you think Agentic AI is here to stay? Will it take over humans’ jobs in the future?

Varnwal: Agentic AI isn’t just here to stay—it’s about to become foundational to how dealerships operate. At Spyne, we see it as the next logical evolution in automotive retail technology.

Our focus has always been on removing friction across the used car retail journey—starting with visual merchandising, and now expanding into intelligent automation across sourcing, sales, service, and customer engagement. Agentic AI is the key to delivering that at scale.

We’ve already embedded this approach into our platform. Our conversational AI assistant, Vinnie, doesn’t just respond to inquiries—it actively manages conversations, qualifies leads, schedules test drives, follows up, and integrates seamlessly with dealership CRMs. It acts like a virtual team member that’s available 24/7, ensuring no lead goes cold, no opportunity is missed.

But we’re not stopping at lead engagement. Agentic AI at Spyne will soon power intelligent pricing decisions, real-time service updates, personalized customer re-engagement, and even internal dealership analytics—executing tasks autonomously while keeping the human team in full control.

We don’t believe Agentic AI will take over jobs—it will reshape them. The tedious, repetitive processes will disappear, while dealership teams can focus on what truly matters: building relationships, closing deals, and delivering great customer experiences.

Over the last 15 months, we’ve proven that AI can drive measurable results—higher conversions, faster inventory turnover, and lower operating costs. Agentic AI is how we scale that impact across markets, without scaling complexity. It’s not about replacing humans—it’s about amplifying their potential. And that’s exactly what we’re building toward.

Q. How do you balance the potential benefits of adopting new technologies like AI with the associated risks and costs?

Varnwal: At Spyne, we’re excited about what AI can unlock, but we’re also intentional about how we adopt it. We don’t chase every new trend. We focus on building what’s practical, scalable, and genuinely needed for the business.

Every new technology comes with risks, be it cost, complexity, or unintended consequences. The way we balance that is by being clear on the problem we’re solving and what success looks like. Let’s take the example of our Conversational Agentic AI assistant, Vinnie. It wasn’t built just to showcase capability; it was built to help second-hand auto dealers scale faster, respond in real-time, and convert more, without adding to their operational burden.

We’re careful with rollout, we put strong guardrails in place, and we ensure our teams are trained to use AI responsibly, not passively. For us, it’s not about playing safe, it’s about building with clarity and speed.

That’s how we’ve made AI a value-driver, not a cost centre.

Q. How do you ensure that all employees are adequately trained and equipped to use new technologies effectively? How do you foster a culture of innovation and adaptability within an organization?

Varnwal: We look at technology as a partner, not a replacement. When we introduce new tools, we don’t just teach people how to use them. We help them understand when to use them, where to question them, and why their judgment still matters most.

AI can do a lot; it can speed things up, automate repetitive tasks, and help teams go further and faster. But we make it clear from day one: it’s not a shortcut for thinking. It’s there to support the work, not replace the thought behind it.

That’s where our training begins with the mindset. We encourage people to experiment, to ask questions, and to take full ownership of the outcomes. Because overdependence isn’t a tech issue, it’s a leadership one. And we believe in building teams that think critically, stay curious, and know when to step in.

We’ve scaled 5x in the last 15 months because we used AI and paired it with extreme ownership, speed, and clarity. We give our teams the freedom to try, the tools to grow, and the trust to lead.

At the end of the day, adaptability isn’t about chasing every new trend; it’s about building confident teams that can navigate change. That’s the culture we’re building every single day.

Q. What advice would you like to give to future leaders?

Varnwal: In 2022, we walked away from 80% of our revenue to double down on what was truly working. It was a complex, uncertain, and uncomfortable decision, but it provided the clarity we needed. That focus became our biggest unlock. That’s the first lesson for any future leader: clarity over comfort.

Leadership is not about doing more; it’s about doing what truly matters. That often means choosing the harder path, saying no to the easy wins, and aligning your team around a sharp, clear direction.

Secondly, go deep before you go wide. It’s tempting to chase every opportunity, especially when things start working. But real momentum is built when you commit to solving one problem. That depth sets you apart and eventually allows you to scale across markets and categories confidently.

Third, build with empathy, act with speed. At Spyne, we were built in India but scaled in the US. We leaned into our strengths—engineering, efficiency, and resilience—and paired that with a deep understanding of our customers’ pain points. That combination helped us move faster than our larger competitors.

And finally, stay uncomfortable. Discomfort is where the growth is. When things feel too easy, you’re probably playing it too safe. Leadership is about staying agile, asking the hard questions, and moving forward with conviction, even when the path ahead isn’t obvious.

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