PumPumPum, the fintech mobility company, has forayed into the Bengaluru market to tap the growing demand for used car leasing during the pandemic. With this foray, the start-up aims to make used car leasing the new norm for both retail and corporate user base.
According to recent studies, car leasing and subscription is picking up pace as the new-age car buyer is getting younger, changing cars more frequently, and is avoiding public transport for safety reasons (especially after the pandemic).
PumPumPum said car subscription provides hassle-free ownership and also helps save tax, and is a more affordable means of car ownership compared to outright purchase. The start-up said “it provides IoT-enabled pre-owned cars at affordable and flexible subscriptions for short- to long-term duration without any hassles of services and maintenance.”
Recently, it secured Rs 5.5 crore pre-series A funding led by Inflection Point Ventures.
“Corporates are now considering car leasing as an end-to-end employee mobility solution and a critical part of their employee safety initiatives,” said Tarun Lawadia, founder & CEO, PumPumPum. “During these times (of the pandemic), many employers are focusing on ensuring that employees commute to office with minimal infection risk. The trend of used-car leasing is here to stay even in the post-Covid-19 world.”
Sameer Kalra, co-founder & chief growth officer of the start-up, said that PumPumPum is the only company in the used-car leasing space to provide a car with a white number plate, “ensuring a sense of pride and security for our customers.”
The start-up said it has aggressive plans to reach out to over 15 cities in the next three years, as it is witnessing a huge demand for used-car leasing from metros as well as non-metro markets.
The start-up has tie-ups with financial partners such as ICICI Bank, IDFC Bank, Canara Bank and Kogta Finance; sourcing partners such as Cars24, OLX, Avis, SMAS, LeasePlan, VW Das Wels Auto, Renault Select; and corporate tie-ups with Xceedance, Snapdeal, People Strong, Bira, Ashiana Group and Chaayos. It offers monthly subscriptions starting Rs 10,000 onwards.
Also, all the cars it offers are IoT-enabled cars (OBD device), capturing customer driving behaviour and car health parameters.
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