Automotive aftermarket major TVS Automobile Solutions has formed a new digital subsidiary called Ki Mobility Solutions to support its growth strategy. Ki Mobility is said to be India’s first full-stack O-to-O (online-to-offline) digital platform that will offer service to owners of two-wheelers, passenger cars and commercial vehicles across the country.
The company also announced 100 percent acquisition of goBumpr, one of the largest B-to-C service aggregation platforms in India. With this, Ki Mobility Solutions will become a one-stop-shop for all service requirements to automobile owners where they can access high-quality repair management services, parts, accessories, tyres, batteries, insurance and on-demand roadside assistance.
TVS Automobile Solutions says it has over three million customers, by far the largest in the aftermarket industry, and aims to increase this parc to 10 million by FY2025. As for the offline model, with the recent acquisition of Mahindra First Choice (MFC), the company has successfully rebranded the MFC network into the myTVS fold, thereby creating one of the largest multi-brand service networks across 270 towns in the country.
The digital platform is a maiden attempt in the industry to enhance the livelihood of small-scale auto industry entrepreneurs. The company aims to include and provide nearly 10,000 retailers and 20,000 garage owners a single digital ecosystem. This will give them an opportunity to increase their business, access high-quality parts with better margins, link with a large pool of suppliers, and benefit from digital technology solutions to provide superior services to their customers, get digital learning to upgrade their skills and financial solutions to manage their working capital.
R Dinesh, Director, TVS Automobile Solutions, said, “Launching Ki Mobility is a milestone moment in the Indian automotive aftermarket industry and equally a logical next step of our technology investments so far. We will fully leverage the cutting-edge technology solutions and create a digital ecosystem for over 20,000 entrepreneurs to enhance their future relevance.”
“Ki by itself was between Rs 575-600 crore (revenues) last year. We would like to cross Rs 1,000 crore by FY2022. At ASL, we closed around Rs 1,180 crore business last year. Going forward, we would see lesser growth in the traditional business model,” he added.
G Srinivasa Raghavan, MD, TVS Automobile Solutions, said, “Ki Mobility will provide quality, transparent and cost effective first-time-right service solutions to vehicle owners with the unmatched convenience of thousands of organised multi-brand garage owners in 270 towns across the country. I firmly believe that the unique O2O business and technology model will create large value to all stakeholders – individual vehicle owners, garage owners and retailers – and help parts manufacturers to increase their market share.”
Ki Mobility Solutions has also announced a fund raising of Rs 85 crore from tech investors led by Pratithi Investment Trust (represented by its trustee S. Kris Gopalakrishnan, co-founder of Infosys and SeaLink Capital Partners).