Toyota Prepping Leases And Short Term Subscriptions For India

Toyota will offer its buyers in India new leases or shorter-term subscriptions in a bid to draw in buyers that would rather use a passenger car than public transport during the pandemic.

The Japanese carmaker said that it would offer three to five year lease plans to both corporate and retail customers, across its entire portfolio of cars, which includes models like the Glanza, Yaris sedan and Fortuner SUV.

Indian buyers will be able to drive a Toyota for as little as 21,000 rupees ($281) per month, reports Autonews.

According to Naveen Soni, the company’s senior vice president of sales and service for its India unit, the need for safe transport is growing, and given the current financial climate, it is more cost-effective to lease or enter into a subscription program than straight up purchasing a vehicle.

Until now, leasing and subscription services in India were largely focused on high-end models, thus making up just a fraction of the overall numbers, added Soni.

“The lower end of the market is where the bulk is,” he said, while also stating that was where Toyota would focus its efforts.

The Japanese carmaker’s rivals in India, such as Maruti Suzuki and Hyundai already offer similar services, as car companies continue to try to increase profits during the pandemic.

Going forward with this plan, Toyota’s India unit will work alongside Kinto, its parent company’s mobility services brand, as well as ALD Automotive and SMAS Auto Leasing.