Carmaker Volkswagen is planning to make a foray into used car market this year. It will start with a pilot, either in Delhi or Mumbai, and by year-end, offer the facility at 8-10 dealerships across the country. Stating this here on Tuesday, Neeraj Garg, board member, and Director, Volkswagen Passenger Cars India, said the company wanted to launch the service in Tier-I and Tier-II cities.
“Customers do not have a disciplined used car market,” he said, adding that they looked for convenience and trust. It is to fill this gap Volkswagen had decided to get into the used car market. It would deal with any car brand. “When I sell it will be after upgrading the [used] car and with a warranty,” Mr. Garg said. Volkswagen Financial Services, set up recently to finance cars, would enhance the level of convenience for customers in this segment too, he added.
On the car financing arm, he said it was unique as, apart from the repayment component, the EMI would factor in the cost of maintenance and insurance for three years for those purchasing new Volkswagen cars. While the rate of interest would be similar to those prevailing in the industry, what would set apart the financing model would be its emphasis on offering greater convenience to customers.
Mr. Garg was briefing presspersons on the launch of IPL editions of the Polo and Vento.