Cars24 is one of India’s most popular car apps for buying and selling used cars. It makes buying and selling a car simple, fair, and quick.
Cars24 has made it much easier to sell your used car on the internet. The Gurugram-based startup has found a solution to a problem that most people have overlooked. But how exactly does it accomplish this? What exactly is the Business Model of Cars24?
Do you ever wonder what the secret is to this huge success? We will look at Cars24 India’s target audience, products for attracting new and existing customers in this case study.
We’ll go over the business model in more detail later, and see what distinguishes Cars24 from the crowd. So, let’s first take a look at Cars24 company.
Cars24 is the largest automotive technology company in the world. Cars24’s CEO and co-founder is Vikram Chopra. Mehul Agrawal, another co-founder of Cars24 and the platform’s COO, is also a co-founder. Gajendra Jangid is yet another Cars24 cofounder. He is also the platform’s CMO. Chief Financial officer Ruchit Agarwal is also Cars24’s co-founder.
Cars24 is a next-generation e-commerce platform for used automobiles (cars and bikes). It is a used car marketplace that is based in Gurugram, Haryana, India.Cars24 can be thought of as a car-related eBay. It is so simple, but it solves every problem that the customer encounters while purchasing.
Now that we have the idea of Cars24 company, let’s see the business model of the company in detail.
Business Model of Cars24
A business model is a company’s primary strategy for conducting profitable business. Models typically include data like the products or services that the corporate intends to sell, target markets, and any anticipated expenses. A business model’s two levers are product and services. Let’s get to know in detail.
Cars24 is, at its core, an online marketplace for buying and selling used cars. Cars24’s business model and the people who are propelling it to new heights.
Every year, the company sells over 150,000 cars. The company is regarded as one of India’s four major organized players in the used car segment. The products offered by the company are having a huge amount of responses from its audience. Let’s take a look at who the target market is.
Cars24’s primary target audiences are car owners between the ages of 30 and 50 who live in metros and other major cities and have at least 3-4 years of car ownership experience and their own e-commerce platform.
With Boman Irani as the brand endorser, the average person could identify with him while watching the TV commercial. Customer service provided by the company is top-notch. So now let’s see the customer service provided the custom service
Cars 24 offers the best experience for car buyers by offering a large selection of certified cars that can be delivered to your home with the click of a button, while sellers can get the best price for their vehicles in less than an hour. The one-of-a-kind auction system of Cars24.
The auction seems almost impossible to imagine, but four people had the audacity to pull it off and walk away with a fortune.
Now let’s look at the customer service business model of Cars24 in detail.
C2B (Customer to Business) Model
The platform is designed with a customer-to-business (C2B) model in mind. It purchases automobiles from customers and resells them to dealers.
Cars24 is primarily a used car resale company. The platform’s business model is based on the criteria of purchasing a car from its owner at the most appropriate and competent price in comparison to other alternative car resale services in the neighborhood.
The platform primarily operates in automotive, e-commerce, retail, and used car trade, and has progressed at a rapid rate since its inception based on this leading model.
Customer-to-Client (C2C) Business Model
The company has recently expanded to include the C2C business model as well.
In this model, to purchase a car, the user must first select the vehicle of their choice from the platform’s website or visit the platform’s nearest branch to assess and test the vehicle.
The business model is based on having an online auction system set up that allows anyone in the country to participate and place a bid within a set time frame
This concludes the business model segment of Cars24. Let’s wrap up with the findings.
The business model of Cars24 does not end with online bidding, but rather begins there. By making the entire transaction end-to-end, the company works to remove every stone, twig, and rock that stands in the way of a customer’s buying and selling process.
On a high level, this is how Cars24 works. Essentially, it eliminates all ambiguity between the buyer and seller and provides a flawless customer experience from start to finish. It’s also a lucrative business.
If you’re interested in learning about the case studies of other companies, try in IIDE’s website. Also, try digital marketing basics for free to enhance your digital marketing skills.