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Volkswagen has launched subscription plans in India. To facilitate this subscription based car ownership programs, the Wolfsburg based company has tied-up with ORIX Auto Infrastructure Services Ltd (OAIS).
Under the newly introduced subscription based car ownership program, cars like Polo, T-Roc, and Vento will be available to customers. However, the subscription program does not include the upcoming Volkswagen Taigun SUV, which is set to make its India debut on September 23.
According to sources, Volkswagen has already signed a memorandum of understanding (MoU) with OAIS. However, during the initial phase, the subscription plans will be available in 7 Indian cities such as Delhi NCR, Mumbai, Pune, Chennai, Bangalore, Hyderabad and Ahmedabad.
According to Volkswagen, customers can use the subscribed vehicles as private vehicles only and cannot use as a Taxi or self-drive rentals.
Subscription plan includes 24, 36 or 48 month tenures, and customers can choose between Polo, Vento and T-Roc. The subscription plan starts from just Rs 16,500 for the Volkswagen Polo and goes all the way up to Rs 59,000 for the Volkswagen T-Roc. While the Vento is priced at Rs 27,000.
According to the company, the cost includes 100 per cent financing, maintenance, and insurance that will be supported by ORIX Auto Infrastructure Services Ltd (OAIS).
This decision is inevitable to automotive manufacturers as more and more younger and middle class customers are interested in subscription programs that outright purchase of a car. These subscription plans are accessible via the Volkswagen India's official website from 9th September onwards.
At present, Volkswagen India is gearing up for the launch of much awaited Volkswagen Taigun in India on 23rd September 2021.
Once launched, the Volkswagen Taigun will enter into one of the most competitive segment in India and will compete with Hyundai Creta, Kia Seltos, Skoda Kushaq, Tata Harrier, and MG Hector.
The VW Taigun will be offered with a choice of two petrol engine. There is frugal 1.0-litre turbocharged 3-cylinder engine capable of producing 113.39bhp, whereas the more power 1.5-litre turbocharged 4-cylinder engine capable of producing 148bhp.
Both engines will come with a 6-speed manual transmission as standard, however, the 1.0-litre TSI engine can be equipped with a 6-speed automatic gearbox, whereas the more powerful 1.5-litre TSI engine can be equipped with quick shifting 7-speed DCT gearbox.
We expect Volkswagen India to price the Taigun competitively with a price tag similar to the Skoda Kushaq.
Volkswagen is also planning to launch the Virtus sedan in India, and will be based on Volkswagen's MQB A0 platform. This means that the upcoming VW Virtus could be offered with similar engine options as the VW Taigun.
However, we are not sure whether the upcoming VW Virtus sedan will replace the VW Vento or it will be sold alongside VW Vento as a more premium offering.
THOUGHTS ON VOLKSWAGEN INDIA'S SUBSCRIPTION PLANS
As the Indian auto industry has already witnessed the exit of two major automotive manufacturers, automotive manufacturers are doing everything in their stride to attract more potential customers towards them.