Cardekho parent Girnar Soft is looking to continue its acquisition streak and is reportedly eyeing as many as five acquisitions by March for its global expansion ambitions, reports LiveMint. FYI, CarDekho already has Carbay, its global arm with presence in over 25 countries.
This expansion will be into the Asia-Pacific region and will also include the Middle East and Latin American region in the later phase.
These regions, the company believes, are still 4-5 years behind India in terms of technology and hence carry an enormous potential for growth and development. The company has started the hiring process for these regions and expect to start the marketing process by February.
On the other hand in India, this year Cardekho has been focussing heavily on providing value-added services and diversifying its business after establishing itself as a key platform for used cars. These include expanding their platform to new cars, launching tyredekho.com, pricedekho.com and TrucksDekho, and providing accessories and insurance covers.
Now it is also planning to launch roadside assistance services such as changing flat tyres, towing, assisting with dead batteries and medical help to name a few.
In the case of emergencies, when the vehicle breaks down, there is always help needed, and an assured and reliable roadside assistance scheme is difficult to find; hence, we saw an opportunity,
said L.K. Gupta, chief marketing officer with Cardekho.
These services are expected to launch in Mumbai and few other cities by January 2016 and will be available to the users through annual subscriptions costing 999-1,699.
CarDekho has made key acquisitions this year in order to expand their business. These include the recent acquisitions of its closest rival Zigwheels and price comparison website BuyingIQ as well as strategic partnership with online insurance platform Coverfox.
In fact, this year, the online auto classifieds market has rapidly grown and consolidated with major acquisitions and funding rounds. Apart from Cardekho’s acquisitions, its close rival CarTrade also acquired a smaller rival CarWale for close to $90 Million.
As far as investments are concerned, in the beginning of the year, Cardekho itself raised a $50 Million worth Series B round led by Chinese investment management firm Hillhouse Capital and Hong-Kong based Tybourne which was later followed by investments from Ratan Tata and HDFC bank. Apart from Cardekho, new players such as CredR and Truebil also raised $15 million and $500K in funding this year.
Car-rental and buying space in India has been getting a lot of heat recently. E-commerce portal Snapdeal also launched a subsidiary platform, called Snapdeal Motors, dedicated specifically for selling two and four wheelers and has targeted a gross merchandise value of $2 billion from the sale of automobiles within the next two years.