Volkswagen, Zoomcar partner in shared mobility

India’s largest self-drive mobility platform, Zoomcar, has partnered with global automobile giant, Volkswagen, to broaden the spectrum of shared mobility across the country

June 25, 2019

India will potentially be leading the shared mobility business by 2030 through innovation and customer satisfaction

Volkswagen will offer Zoomcar customised financial, maintenance, and repair services, among other benefits

Customers will have the power of choice, convenience, flexibility, and enhanced accessibility to a host of products through subscription

Volkswagen Polo cars will now be available under Zoomcar’s ZAP Subscribe model, across key cities in India

The automotive industry in India is steadily evolving as consumer priorities change along with changes in urban population, affordability, awareness, among other factors affecting the locomotive space. To make the best of this shift, Zoomcar, India’s largest self-drive shared mobility platform, and Volkswagen have entered into a strategic partnership. 

As per an announcement on June 25, the companies will together improve the quality and quantity of shared mobility solutions available in India. This partnership allows Volkswagen India to enter the world of shared mobility and subscription services with Zoomcar’s ZAP subscription model, granting potential customers access to integrated services, along with other benefits.

Customers will enjoy an enhanced subscription experience through customised financial, maintenance and repair services (4EVER Care). In the future, Volkswagen and Zoomcar intend to deepen this partnership by expanding the catalogue of vehicles available.

The opportunities for investors in India have grown as a new wave of mobility startups, focused on making commuting easier, cleaner and cost-effective, have come up and are attracting investors in a big way. It is expected that India will be leading the shared mobility space by the year 2030, driven by changing consumer preferences. The country sees significant growth through increased levels of urbanisation and an overall rise in living standards, while its growing skilled workforce enjoys an enhanced disposable income.

Private car ownership has grown at 8 per cent CAGR in the last 10-15 years, while road length has only grown at 3.5 per cent CAGR. For this reason, there has been an increased focus on encouraging the use of public transport and shared mobility services. Southeast Asia’s ride-sharing market is predicted to grow to $13 billion by 2025, according to a report co-authored by Temasek and Google. India currently has all the right ingredients to become one of the world’s largest markets for shared mobility solutions.