Carwow
 | |
| Type | Private |
|---|---|
| Founded | 2013 |
| Headquarters | London, UK |
| Area served | UK |
| Founder(s) | James Hind |
| Industry | Internet |
| Website |
www |
| Current status | Active |
Carwow is a platform for buying new cars from franchise dealers. It uses the reverse marketplace model to remove the need for buyers to negotiate with car sellers - users choose the car they would like to buy, along with the various specifications and features, then receive offers direct from dealers.[1] It also provides information to prospective purchasers and gives feedback on rogue dealers.[2]
The site is free to use and reportedly provides an average saving of £3,000 for the consumer. Dealers pay a fixed fee for each car sold. The company claims to be completely unique in Europe and plans to expand into the continent into commercial vehicles, used cars and vans.[3] The company has partnered with the RAC as part of RAC Cars' ‘search, buy, sell’ website. [4]
Carwow was founded by James Hind and launched in May 2013. The company's investors include venture firms Balderton Capital and Episode 1 Ventures.[2] The company had sold over 9,400 cars valued at £250m by April 2015.[5]
How it works
Users choose the car they would like to buy, specifying the make and model/features, then receive offers directly from dealers. They can then compare offers by price, location of dealer, reviews of the dealer and what's actually in stock. It's then up to the buyer to decide whether to contact the dealer based on their offer. They can make contact either anonymously via the Carwow platform or by giving them a call.[1]
History
The company originally launched in 2010 as car research site Carbuzz. It offered aggregated expert reviews, user reviews, statistics, videos and images to help consumers looking to purchase a new car find the best vehicle for their taste, budget and requirements.[6]
The team realised that consumers were missing a quick and easy way to compare dealers' prices on new cars, instead having to spend hours travelling round and negotiating with multiple dealers.[7] In May 2013 it relaunched as a car buying platform. The company then raised £1.3m venture capital finance from Balderton Capital, Episode 1 Ventures and Samos Investments, as well as a number of angel investors including Alex Chesterman and Simon Murdoch, in February 2014 to fund growth.[1]
By December 2014, Carwow had 600 car dealerships signed up and 35,000 new users each month.[3] Its investors provided a further £4.6m of capital in so the company could 'expand the team further, roll out above-the-line advertising campaigns and start exploring new markets'.[1]
The company had sold over 9,400 cars valued at £250m by April 2015.[5]
References
- 1 2 3 4 O'Hear, Steve (December 14, 2014). "Car Buying Platform Carwow Secures £4.6M Series A To Step On The Gas". TechCrunch. Retrieved 22 April 2015.
- 1 2 Quinn, James (February 22, 2014). "Zoopla for cars: property site bosses back start-up carwow". Daily Telegraph. Retrieved 22 April 2015.
- 1 2 Wayment, Lucy (December 18, 2014). "Top new businesses of 2014: carwow". Startups. Retrieved May 4, 2015.
- ↑ Brown, Dave (June 3, 2015). "Carwow and RAC partner to offer innovative new car-buying experience". Car Dealer Magazine. Retrieved June 8, 2015.
- 1 2 Kirwan, John (April 17, 2015). "Carwow set to break through 10,000 sales barrier". Motortrader.com. Retrieved 8 May 2015.
- ↑ Love, Martin (November 28, 2010). "Car review: Porsche Cayenne S Hybrid". The Guardian. Retrieved 4 May 2015.
- ↑ Bennett, Asa (January 11, 2015). "Young Entrepreneur Of The Week: Carwow's James Hind". Huffington Post. Retrieved May 5, 2015.