Toyota Kirloskar Motor (TKM) has launched a new Toyota’s Mobility Service (TMS) – a new initiative to offer car leasing and subscription services in India. In the first phase, these mobility services will be available in Delhi-NCR, Bengaluru, and Mumbai only. The company will extend its range to 10 major cities in India in the first year.
For this, the Japnese carmaker has tied up with Kinto under Toyota financial services, ALD Automotive India, and SMAS Auto Leasing India. This program is available on all the Toyota cars including Fortuner, Innova Crysta, Yaris, Glanza.
This service will also be available on the upcoming Urban Cruiser sub-compact SUV.
Toyota’s Mobility Service: Leasing and subscription programme
Under the program, corporates can choose the car of their preference for a tenure of 3 to 5 years on a fixed monthly fee on lease. This monthly fee will also include vehicle maintenance, insurance, and roadside assistance charges.
For individual customers, Toyota has provided a subscription scheme. Under this, customers will be having the flexibility to opt for a period of 2 years to 4 years.
Also Read: MG Hector, Hector Plus And ZS EV Are Now Available On Zoomcar's Subscription Plan
What are the monthly charges?
Well, the monthly charges vary as per the tenure, model, and city you choose. For example:- The entry-level Toyota Glanza's G variant (manual) will cost you Rs 30,848 / month for the tenure of 2 years in Bengaluru. While for the 4 years tenure the monthly fees will be Rs 23,116 for the same model. These charges are inclusive of GST.
Click here to see the subscription or leasing fees for your preferred car.
Toyota's Official Comment
Commenting on the launch, Naveen Soni, Senior Vice President, Sales, and Service, Toyota Kirloskar Motor, said:-
The automotive industry globally is experiencing a ‘once-in-a-century’ profound transformation and it is imperative that we as automobile manufacturers, transform ourselves from a traditional car company to a mobility company. Be it product or services, as a customer-centric company, it has always been our endeavour to introduce products and services in line with the evolving customer needs. The role of Toyota’s Mobility Service is aimed at providing one such solution catering to emerging mobility needs of the customers. Both leasing and subscription are expected to grow significantly in the coming years. In time, we want to provide all possible models of mobility service by working closely with our corporate, fleet customers and subscribers to understand their needs and offer customized and futuristic solutions such as Mobility-as-a-Service and connected cars.
However, there is a need to create more awareness among customers as they may not be cognizant of the many benefits. For instance, customers may not be aware that they can lease new vehicles as per their preferences – models, variants, maintenance packages. Further, the main advantage of corporate leasing is that it enables tax merit for corporate employees.
Author's Take
Subscription plans have their own perks and cons. It allows the owners to upgrade their cars as per their needs. It gives hassle-free ownership experience without worrying about the long term commitments and the expenses that we spend on the service/maintenance. However, in some cases, the subscription fees touch almost the actual cost of the vehicle. Hence, perhaps companies should also pay attention to this.
Subscription-based ownership is a good option for those customers who frequently change their cars in 2-3 years or who have to constantly pack their bags in order to cater to their job demands.
Anyways, Would you consider owning a new car on a subscription basis? Write to us on our social media handles: Instagram, Twitter, and YouTube.