Mumbai August 28, 2019: CarDekho Gaadi store, a retail auction model for pre-owned cars, today launched 7 stores in Mumbai. The opening of these stores is a part of an ambitious move by CarDekho to establish 200 Gaadi stores across India by 2020. It already has 49 stores in Delhi-NCR, Bangalore, Jaipur, Pune, Lucknow, Ahmedabad, Hyderabad, Karnal and Mumbai’s expansion marks the milestone 50th store within three months for CarDekho Gaadi. CarDekho has targeted to invest Rs 200 crores in the expansion of its Gaadi stores. To date, it has already invested Rs 50 crore to bring quick and wholesome solutions for customers at the stores.
Mumbai, the financial hub of India attracts people from across the country/globe, with more younger population migrating in there, it is witnessing a surge in car sales. Further as per the reports, the pre-owned car market in India has continued to grow over the past year and is now larger than the new car market. This has created a positive market opportunity in this segment and enabled/ empowered Cardekho to open 7 stores in the city. CarDekho Gaadi stores also help customers with RC transfer, loan closure assistance, instant money transfer, and scientific car inspection. In the Q1 of FY19-20, CarDekho posted 263% y-o-y growth in its used car transaction services; the revenue of the company stood at 13 million.
Mr. Vibhor Sahare, co-founder & CEO Gaadi.com said, “It’s a proud moment for us that we have opened our milestone 50th store in Mumbai. We have been receiving a phenomenal market response at our CarDekho Gaadi stores across regions and we are excited to foray into Mumbai which is an important market for us. The company’s fast-paced expansion is a testimony of our right strategy meeting customers’ needs. Our aim is to be able to buy 14000-15000 cars each month by the end of this financial year. With this launch, we have further deepened our root in the used car ecosystem of Maharashtra and now are here to provide ease of selling and buying used cars for our Maharashtrian customers. We will continue to invest our time and energy in building a trusted platform for selling used cars in India.”
According to a study by McKinsey & Company, the used-cars segment will continue to grow in India. It has already become Asia’s third-largest car market. Besides, due to the growing focus on the lifespan of cars and stricter norms on emissions and safety, and the upcoming launch of multiple electronic cars, people are wary of purchasing new vehicles. To talk numbers, in the last fiscal year, 4 million second-hand cars were bought and sold in India.
The Society of Indian Automobile Manufacturers (SIAM), in a similar forecast, states that market growth will increasingly be driven by rising penetration of online platforms such as Cardekho Gaadi, which enable used car dealers to reach larger audiences