Table of Contents
Cars24-success-story- Bio, facts, Net worth, Business, Income, Growth, Investments, Challenges Faced. Personal life.
Before internet portals made our lives easier, selling an automobile was a laborious process. Mahendra Singh Dhoni, the former captain of India's cricket team, is a supporter of CARS24.
Mehul Agrawal, Gajendra Jangid, Ruchit Agarwal, and Vikram Chopra launched CARS24, an online automotive marketplace. Its goal is to simplify and optimize the entire car-buying and selling process.
In today's used automobile market, CARS24 is a unicorn. The company raised $200 million in Series A fundraising on November 24, 2020, which allowed it to join the Unicorn Club. DST Global, whose post-money valuation for CARS24 was $1 billion, was leading the charge. Right now, Its valued nearly $3.3 billion.
Vikram Chopra, Mehul Agrawal, Gajendra Jangid, and Ruchit Agarwal launched CARS24.
Vikram Chopra is the CEO and co-founder of CARS24. He graduated from the University of Pennsylvania with an MBA in finance and the Indian Institute of Technology, Bombay, with a BTech and MTech in engineering. In addition to being a business analyst at McKinsey & Company, Vikram was the co-founder of FabFurnish and an investment analyst at Sequoia Capital.
Co-founder and COO of CARS24, Mehul Agrawal has experience working with BCG and possesses an MBA from IIM Calcutta. Before that, Mehul founded FabFurnish, an online furniture business.
Co-founder and CMO of CARS24 Gajendra Jangid received his BTech and MTech in engineering from the Indian Institute of Technology, Bombay, just like Vikram. Prior to Gajendra co-founding CARS24, she was employed by Schlumberger.
The Chief Financial Officer and Co-Founder of CARS24 is Ruchit Agarwal. Ruchit, a Cornell University alumnus, co-founded CARS24 after serving as a vice president at Bank of America Merrill Lynch.
By 2020, CARS24 will have over 150 branches in 35 Indian cities, supported by a staff of more than 700 workers.
As soon as the founders scanned the used automobile market, they saw that it was completely disorganized. In addition, there are other gaps in the market that have existed since the beginning. For this reason, there is no conventional method at all when it comes to buying or selling a secondhand car. In addition, the business lacked any technical innovations that could have aided in used automobile pricing and ultimately proved beneficial.
Reaching potential customers without running across disorganized market participants who are unaware of a thorough evaluation of the vehicle is another challenge associated with the used automobile market. Thus, the creators of CARS24 made the decision to develop a technology that would aid in resolving these problems and streamlining the online buying and selling of used vehicles after carefully observing the disparities in the market.
Although it hasn't revealed the origin of the name, it is likely derived from their goal to become a platform for buying and selling cars around-the-clock.
The CARS24 business is based on the premise of a used car reselling company. The core of the CARS24 business concept is to purchase any vehicle from its owner for the greatest price when compared to other local auto resale businesses. In essence, it wants to provide Indian customers with a straightforward and easy-to-use substitute for traditional laborious methods of selling a used automobile.
Regardless of the make, model, age, or condition, CARS24 gives a price guarantee on any vehicle. Thus, owners of used cars can sell their vehicle at any CARS24 office in a single visit. Additionally, the user of this service can get an approximate valuation based on the details of their car. When potential sellers use this site to sell their cars, they get paid right away.
At no extra expense to the seller, it also handles the transfer of any applicable legal paperwork pertaining to the registration of the car. This business, which mostly deals with used cars, retail, e-commerce, and automotive services, has expanded significantly since its founding thanks to this outstanding business model.
CARS24 operates on a business-to-business (B2B) basis. Cars are bought by it from private sellers and sold to dealers. CARS24 facilitates end-to-end transactions and charges a commission for each one, equivalent to 4-5% of the transaction amount, in contrast to a classified platform. The company's main source of revenue is the pre-owned inventory sale. The finance services that CARS24 provides to its clients come next, and then commission and service income. The return on financial assets is another source of non-operating revenue for unicorn user-car sellers.
With more than 90% of the market, CARS24 is presently praised as the industry leader in the online used automobile market. To date, the company has recorded more than four lakh transactions.
Online bidding is not the end of Cars24's economic model; rather, it is only the beginning. The organization strives to eliminate every obstacle that impedes a customer's purchasing and selling procedure by handling the full transaction from beginning to end.
This is the general operation of Cars24. In essence, it removes any doubt from the transaction between the buyer and seller and offers a faultless client experience from beginning to end. It's a profitable enterprise as well.