This article was first published on the AIM Group site, written by Hu Huijun.
Singapore-based automotive marketplace Carro has announced the launch of the first subscription-based car service in Singapore. Consumers can simply select a suitable plan, depending on their budget and needs, pay, and conveniently drive off.
“A typical person takes nearly six years to pay off their car loan. Two-thirds of them even trade in their vehicle before they’ve paid it off, picking up yet another loan…” founder Aaron Tan explained. “We are empowering consumers with the flexibility to drive the car of choice with the option to return it at any time, no strings attached.”
Customers can choose from three subscriptions plans: Daily ($885 U.S. a month for economy hatchbacks), Roomy ($1,106 a month for SUVs and 7-seater cars) and Fancy ($1,475 a month for luxury vehicles). Fees cover the costs usually associated with car ownership like insurance, road tax, warranty, 24-hour assistance, and maintenance costs.
Customers can switch or end their subscription at any time. They also won’t need to worry about answering questions related to minor wear and tear, dents, and scratches.
Founded in 2015, Carro began as a marketplace featuring used cars. It’s since expanded its services to include in-house financing, warranty options, insurance, and roadside assistance. The company has offices in Thailand and Indonesia along with its headquarters in Singapore. It claims to be the market leader, facilitating more than $500 million U.S. worth of transactions in 2018.
Carro closed a $90 million extended Series B round backed by SoftBank Ventures Asia and other investors in March.