Maruti Suzuki evaluating used car subscriptions

Maruti Suzuki has expanded the model portfolio for its subscription service and is considering offering used cars

Published On Jan 11, 2021 08:00:00 AM

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Maruti Suzuki evaluating used car subscriptions

The Maruti Suzuki Subscribe programme has been expanded to include more models from the brand's portfolio, and there's another, even bigger expansion on the cards.

Models like the WagonR, Ignis, and S-Cross are now also available for subscription
Subscription programme currently running as a pilot in 8 cities
Company plans to expand subscription model to over 2,000 Indian cities

As the automobile market evolves, subscription-based leasing is also gradually gaining ground. To tap into the trend better, market leader Maruti Suzuki has expanded its model portfolio available under Maruti Suzuki Subscribe and is also considering offering used cars under this subscription model.

What Maruti Suzuki Subscribe currently offers

Along with the previously offered Swift, Baleno, Dzire, Ciaz, Vitara Brezza, Ertiga and XL6, the Maruti Suzuki Wagon R, Ignis and S-Cross will also be available under this leasing programme. The all-inclusive monthly subscription charge now starts at Rs 12,722 for the Wagon R Lxi in Delhi (including taxes) for a tenure of 48 months. Along with more models, Maruti Suzuki plans to offer the subscription model in six more cities during this financial year. Currently, as a pilot project, it is available in 8 cities – Delhi, Gurugram, Pune, Mumbai, Hyderabad, Bengaluru, Ahmedabad and Chennai.

Maruti Suzuki Subscribe: Pre-owned cars and growth

The carmaker is also weighing the option of offering pre-owned cars under Maruti Suzuki Subscribe and add scale to the business by tapping an additional customer segment.

With such a move, it plans to take the subscription ownership model to over 2,000 cities across India through its retail network.

Maruti Suzuki expects its newest business vertical to be a significant contributor to its overall sales. "If the current trends of this asset light ownership sales model continues Subscription can contribute significantly to sales," said Shashank Srivastava, ED – marketing and sales, Maruti Suzuki in an interview with our sister publication Autocar Professional recently. There are currently around 11,000 'active cases' under verification in the Maruti Suzuki Subscribe business.

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