Toyota Kirloskar Motors announces its foray into the used car auction business in India. All such auction operations will be conducted from the company’s dedicated auction facility in Bidadi, Bangalore in Karnataka.
The first used car auction under ‘Toyota Auction Mart’ will be conducted on 15th September 2015 (tomorrow), marking the company’s endeavour to establish a transparent and reliable used car auction service for buyers in India.
The business model will be same as is seen with Maruti Suzuki, Hyundai Motor, Volkswagen, Honda and luxury carmakers like Audi, BMW and MercedesBenz; all of which who have entered the used car business – but none auction their used cars.Demand of used cars is growing at a much faster pace than demand for new cars in India.
Each car on auction at Toyota Kirloskar Motor Bidadi facility will be put through detailed inspection to examine every aspect of the vehicle. This 203 point inspection will be based on global Toyota standards of Quality, Durability and Reliability while detailed scrutiny of documentation will also be undertaken by the company.
Through ‘Toyota Auction Mart’, Toyota Kirloskar Motors moves closer to enabling fair used car ecosystem in the country and a one stop shop for used car customers. This used car business in India is about 1.3 times bigger as compared to the 2.5 million new cars sold each year in the country.
Mahindra First Choice was the first and largest multi brand used car player with over 3 million used cars sold. Toyota now plans to expand domestic sales by tapping into the used car market making used car purchases more reliable and transparent. Toyota Kirloskar Motors increased their market share of 5% with total sales this fiscal at 141,347 units. This was a 9% increase in sales as compared to the same period in the previous year.