German premium car manufacturer Volkswagen on Wednesday said it has launched a subscription-based car ownership model in collaboration with omnichannel mobility solutions provider Orix.
As part of the partnership, which is being launched across 30 outlets spanning over Delhi-NCR and six other key cities in the first phase, Orix in association with Volkswagen India will provide its customers 100 percent on-road financing, periodic maintenance, insurance cover, and an option to upgrade or return the car at the convenience of the customer, Volkswagen Passenger Cars India.
Customers availing of the offer can opt for a hatchback Polo, mid-sized Vento, or T-Roc SUV, which will be available in 24, 36, and 48 months tenure, depending on the needs of the customers, it stated.
While the all-inclusive monthly lease rentals for Polo start from 16,500 and Rs 27,000 for Vento, the T-roc SUV lease rentals start from Rs 59,000 T-Roc, it said.
These rentals will be inclusive of financing, maintenance, and insurance supported by Orix, the European carmaker said.
Volkswagen has been in partnership with Orix Auto Infrastructure Services (OAIS) since 2019 when it introduced a power lease program in association with the latter.
The rollout of the subscription-based car ownership model further enhances this partnership, it said, adding that the company has signed an initial pact to offer a subscription-based car ownership model to the evolving Indian customers.
The subscription-based model will be launched at 30 outlets across Delhi NCR, Mumbai, Pune, Ahmedabad, Bangalore, Chennai, Hyderabad as part of phase-I, Volkswagen said.
"Car subscription is gaining popularity, especially amongst the urban young middle class, looking for a convenient ownership experience," according to Ashish Gupta, brand director, Volkswagen Passenger Cars India.
"Catering to the needs of this customer segment, we have extended our partnership with Orix, and enhanced our leasing and subscription platform, which will focus on providing accessibility and a peace of mind ownership experience to our prospective customers," said Gupta.
The mobility space has been witnessing a significant change in the recent past with a bias towards newer ownership, usage models; the subscription-based platform has witnessed substantial growth in the past few months, said Sandeep Gambhir, Managing Director, and Chief Executive Officer at Orix.
"We believe this platform will help Volkswagen become more accessible to their customers," he said, adding that the cars leased under the subscription model will come with white number plates, it said.