Toyota Kirloskar Motor is now gearing up for a major expansion of its used car business that was started three years ago, and is present in three cities currently.
15 Jan 2025 | 3553 Views | By Autocar Professional Bureau
Toyota Kirloskar Motor said it has transferred its existing used car business to a new subsidiary as a prelude to a nationwide expansion of the network.
The company had entered the used car market in 2022 with a showroom in Bengaluru, and eventually expanded the used car operations to ...
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Toyota Kirloskar Motor said it has transferred its existing used car business to a new subsidiary as a prelude to a nationwide expansion of the network.
The company had entered the used car market in 2022 with a showroom in Bengaluru, and eventually expanded the used car operations to Delhi and Guwahati.
It said that the current network has been successful, and it now wants to scale up the operations significantly.
Varinder Kumar Wadhwa, Director of the newly set up Toyota Mobility Solutions and Services India, said the plan is to expand across "key metropolitan and tier-2 cities."
"By 2030, we envision a robust nationwide presence, offering customers a seamless and connected experience through our digital platform and physical outlets," he added.
The new company will be headquartered in Bidadi in Karnataka.
The company said it will ensure a "one price for all" policy to provide consistent pricing for all customers.
The company also claims that it subjects its cars to a 203-point inspection. "Each vehicle is refurbished using genuine parts, advanced cleaning techniques, and detailing materials to ensure a like-new finish. Safety is emphasized through thorough checks, and the service includes warranty, roadside assistance, and trade-in options," the company said.
Toyota Kirloskar Motor entered the pre-owned car market in 2022 with its first facility in Bengaluru, becoming the first automaker in India to offer fully OEM-refurbished vehicles. Subsequent expansions to Delhi and Guwahati in 2024 have further strengthened its position in the market.
Toyota Kirloskar Motor (TKM) is a joint venture between Japan's Toyota Motor Corporation and India's Kirloskar Group, established in 1997.
The company has been instrumental in Toyota's success in India through its manufacturing facilities in Bidadi, Karnataka.
Toyota's popularity in India stems from vehicles like the Innova, which has dominated the MPV segment, and the Fortuner, which leads the premium SUV category.
Despite entering the market later than some competitors, Toyota has established itself as a premium brand in India, particularly excelling in the utility vehicle segment with consistent sales growth.
India's used car market has experienced significant growth in recent years. Major auto manufacturers have established their own certified pre-owned car platforms - like Maruti Suzuki True Value, Hyundai H-Promise, and Toyota U-Trust - to capture this growing segment.
These organized platforms offer benefits like warranties, verified vehicle history, and professional inspections, helping build consumer trust.
However, the market remains largely unorganized with local dealers and online marketplaces. The certified pre-owned programs by manufacturers typically command premium prices but offer peace of mind through standardized processes and manufacturer backing.