Mahindra finance launched its car lease program in India by named ‘Quiklyz’. The company aimed to give hassle-free, easy ridership to the customers with minimum fees.
Mahindra & Mahindra Group announced its entry into the field of car leasing and subscription business. Mahindra & Mahindra Finance Services Limited (Mahindra Finance) Thursday (16 September) announced they would use ‘Ouiklyz’ as their brand name.
The name Quiklyz denote an ambitious mindset of ensuring hassle-free and easy vehicle ridership to the customers. The representation Quiklyz is made with two words Quick and Lease. And the company aimed at building an elegant model with very high asset quality.
This vehicle leasing and subscription service are the same as home leasing. In this case, consumers pay a monthly fee for using the car. They can choose any vehicle from any brand as per their choice for the leasing process and sign an agreement between 3 to 5 years.
The vehicle leasing and subscription model now became very famous in India. Where buying or owning a car becomes hectic for people, this new model gives freedom to them by paying a small amount. In this case, you pay a monthly fee, and you don’t need to worry about vehicle servicing, Insurance and other paperwork stuff.
Mahindra and Mahindra Financial Services is a part of the Mahindra Group. It’s a non-banking finance company providing vehicle and tractor finances. They also offer loans to SMEs and offer fixed deposits.
The company always focused on the rural and semi-urban sectors. The company has a total of more than 4.7 million customers to date.
The vice-chairman and managing director of Mahindra Finance, Ramesh Iyer, said the goal is to make the ownership process convenient for consumers in both the individual and corporate segments alike. He is confident that ‘Quickly’ will add substantial value to their existing financial business portfolio. Mr Iyer also said, “We aspire to tap all emerging opportunities in this space,”
Senior Vice President and Head of the leasing and subscription program, Turra Mohammed, said Millennials are the very important set of consumers for its new business, those who aspire to own a car and do so in a hassle-free manner.
Turra said, “Quiklyz will provide that convenience while allowing them to frequently change or upgrade to newer models entering the market without any down payment.”
The concept is not new here. Companies like Hyundai and Volkswagen already offer their cars for lease and subscription. In the United States, Volkswagen offering its used all-electric ID cars for lease.
And Hyundai provides their service in Malaysia. Hyundai launched their Hyundai Grand Starex Smart lease programme with Sime Darby Rent A Car (SDRAC) in a partnership. The deposit money and monthly fee will be charged based on the Car Model and your fixed car mileage. If you exceed the limit, then you have to pay more as per companies fear chart.
In India, we saw something similar from 2013, after the launch of Zoomcar. The Bangalore based self-drive car rental company. Zoomcar and many other companies like Revv Cars, Driverzy, MylesCars, Ola Drive and other companies provide rental car services in various cities.
But there are some significant differences between Rental and Leasing services. The rental vehicle is committed for a short time, like one or two weeks, where Lease service makes you equal to the owner for 3 to 5 years.
Car dealerships provide leased cars, they also sell cars, and in case of rental service, they come from rental agencies and basically, they don’t sell them.
