Cars24 is an Indian-based startup company that has been performing well in the last couple of years. The company’s main business is selling pre-owned vehicles through an online transaction platform. This new startup company within a short span of time reached different heights and has been recognized as a unicorn. Soon after the lockdown, the growth of online platforms has increased tremendously. This is mainly because of the fact that people prefer to stay home and looking for an option for completing their tasks. It’s clear that these platforms have great potential in the upcoming days bringing huge traffic. The startup company has been valued at more than $1 billion, which is one of the greatest achievements that many startup companies are looking for.
It’s reported that this startup firm has raised $200 million in Series E funding. This funding session was led by the Russia-born billionaire Yuri Milner’s DST Global during the post-money valuation which is estimated to be $1 billion dollars. It looks like the valuation of this online used car selling platform has doubled since the last year October, it’s clear that pandemic has paved way for their exponential growth within a short period of time. Exor Seeds, Moore Strategic Ventures, and Unbound are three investors who are currently having a strong investment in the firm and also have participated in increasing their strategic partnership with these companies.
It’s expected that these investments will push the company to increase its network bandwidth, product innovation, enhancing its technology. Based on the latest reports from the company, it looks like Cars24 online website has reached annual transactions exceeding 200,000 units. This figure is a 4x increase in website engagement when compared with the in previous years. Cars24 is playing a healthy competition with other similar players which are in the business for a quite long period of time. The continuous research and development by the experts in the industry make the company to receive a decent amount of healthy traffic every year.
CarDekho, Droom, CarTrade, and OLX are the other players in the online market who have also participated in the funding process. It looks like the company has shared a strong foundation in technology which is one of the main advantages for the growth within a short span of time. It has also assured that they are enhancing the customer experience. The company has added many control options and computational features in determining the condition of the vehicle based on the vehicle owner’s input parameters. Based on the input parameters from the owner’s it will calculate the price of the vehicle through their artificial intelligence feature that’s placed inside the algorithms.
Apart from this deal, the online platform has raised a total capital of $193.8 million from investors. This clearly shows that the company has attracted many investing firms mainly due to their storing fundamental logic. During Series D this online platform has raised $100 million, which pushed the company to bring in new changes with a motive that it will help the company in a long run.