Toyota Kenya intends to enter the automobile trade-in sector as part of its aim to increase sales of its new vehicles. A driver will be able to surrender his or her vehicle and pay an extra fee to obtain a new model.
The dealer, now known as CFAO Motors Kenya Limited, will operate the trade-in model in collaboration with its affiliates that sell old automobiles.
The practice is prevalent among used car lots, which allow consumers to hand in their automobiles and pay the extra money to drive away with a model with a better price and/or specs.
“We are venturing into trade-in of cars to increase sales of new vehicles in the country,” said Arvinder Reel, the managing director of CFAO Motors Kenya Limited.
Toyota is the country’s largest new vehicle vendor, selling a range of its own models such as the Land Cruiser, Fortuner, and Rav 4.
The addition of trade-in will make it easier for the company’s clientele, who include private firms and rich people, to upgrade their vehicles, resulting in faster sales.
The firm stated that it will handle trade-ins through a subsidiary named Automark, which specializes in certified pre-owned autos.
Another company, AutoFast, provides automobile servicing, while Winpart sells used genuine replacement parts.
All the businesses are ultimately controlled by Japanese conglomerate Toyota Tsusho Corporation which also owns DT Dobie and the pan-African firm CFAO Group.
CFAO Motors Kenya is among the formal dealers that recorded higher sales last year as the industry recovered from the depths plumbed in 2020 as a result of the fallout from the Covid-19 pandemic.