To launch an exclusive hybrid ecosystem for its used commercial vehicle business, Ashok Leyland has signed an MOU with Mahindra First Choice Wheels Ltd (MFCWL). The duo is working on a Phygial platform that will be used for the disposal and purchase of second-hand commercial vehicles.
Ashok Leyland plans to use its digital platform, channel partners and physical stores for used commercial vehicle business. The company noted that it is present in over 700 parking yards in the country. It is of the view that customers, on average, look to replace their commercial vehicles every four to seven years. It will also be offering access to other value-added services like iALERT telematics solution, Driver SAATHi skilling solution, valuation, breakdown services and fuel solutions. Mahindra First Choice has over 600 dealerships in India.
Sanjeev Kumar, Head - MHCV, Ashok Leyland, said, “It is a great moment for us on this association of Ashok Leyland with MFCW to provide a larger option of our customers with combined strength of our knowledge in CV and MFCW strength on the yards, digital ecosystem. We believe this relationship will provide enhanced value to our customers.”
Ashutosh Pandey, CEO, MFCWL, said, “It’s our pleasure to collaborate with Ashok Leyland to expand their pre-owned vehicles business. eDiiG is the largest used vehicle auction platform and we are glad all leading OEMs see great value in partnering with us.'
Through the OEMs expertise in the commercial vehicle segment and its phygital auctions platform, which includes 20,000+ eDiiG network strength spread across India, MFCWL aims to bring further innovations in the pre-owned vehicle segment for end consumers and institutional clients, he added.
According to a report from FADA, a total of 652,125 units of commercial vehicles were sold in India during FY22. Ashok Leyland, during the year, had sold 92,585 units of commercial vehicles. With 275,380 commercial vehicle sales, Tata Motors had led the commercial vehicles segment during the year. Mahindra & Mahindra sold 141,950 units