Toyota Kirloskar unveils used car unit

Bangalore: Toyota Kirloskar Motor (TKM) has announced the launch of used car division under the brand name ''Toyota U Trust''. The unit will facilitate sales, purchase and exchange of Toyota and non-Toyota cars, and aims to offer prospective customers the opportunity to exchange their old car of any other manufacturer in lieu of a brand new Toyota. Additionally, the unit will also cater to a niche of customers who would like to exchange their cars for competitively priced used Toyota cars. Value added services that the unit will proceed at the ''Toyota U Trust'' outlets include finance options. India''s used car segment is largely unorganised, barring car companies setting up their used car initiatives largely to spur along new car sales and enhance customer loyalty, and a few organised initiatives by a few, large players. According to a release, Toyota is entering the segment so as to offer choice, convenience and transparency that will allow customers to make an informed buy or sale. The service will also provide certifications for the Toyota vehicles sold through the ''Toyota U Trust'' outlets, along with warranty as well, of one year or 15,000 kms. Other benefits include up to three labour free services at Toyota dealerships. Warranty would cover the engine and gearbox/driveline of all certified Toyota cars. TKM''s deputy managing director M Kawabata estimates the used car market in India as "almost as big as the new car market", and called it "important even for the growth of new car segments". The company is looking at around 10-15 per cent of new car business to be routed through the ''Toyota U Trust'' initiative. For now, ''Toyota U Trust'' has bee launched in Chennai and Bangalore, with plans to extend it to metros and other cities over the next one year.