“We have been in the Indian market for quite sometime. We think there are people who want to change their car after two-three years. There is a demand for pre-owned cars here and we think this is the right time to enter the segment,” said Neeraj Garg, director, Volkswagen passenger cars, Group Sales India. He, however, refused to say when. But sources say Volkswagen may foray into this venture by May. It has two other brands under its belt – Audi and Skoda. Volkswagen Finance India, a part of Volkswagen Financial Services AG and wholly-owned subsidiary of the German auto maker, has recently received a licence from the Reserve Bank of India to start a non-banking finance company to finance the company’s pre-owned cars.
Mercedes-Benz was the first luxury car maker to foray into the used car business in the country, in 2009. BMW started in June last year.
Though there are chains of branded used cars such as Maruti’s TrueValue, Honda Auto Terrace, Ford Assured, Toyota U Trust, Hyundai Advantage and Mahindra and Mahindra’s First Choice, the market in India is still unorganised. “This is a very personalised business.
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