CarDekho Business Model | How CarDekho Makes Money

The automotive industry was an epicenter of activity with profitable prospects in 2008. In an attempt to capitalise on the excitement, everyone joined the party and opened their own auto dealerships or companies.

Nevertheless, a significant gap was present in the midst of the frenzy: a dearth of unbiased, transparent, and dependable information regarding automobiles. CarDekho identified this need and began with a straightforward yet ingenious business plan by giving customers accurate and trustworthy vehicle information.

Let's take an intriguing tour of the CarDekho business model's many components to encourage aspiring young entrepreneurs to investigate comparable complex opportunities-

About CarDekho
CarDekho Business Model
How CarDekho Makes Money?
USP of CarDekho
SWOT Analysis of CarDekho

About CarDekho

Two brothers, Amit and Anurag Jain (founder of CarDekho), came up with the bright concept to launch CarDekho.com in 2008 as a one-stop shop for everything related to cars. It began modestly, resembling a car guidebook. CarDekho.com quickly grew as more people visited it, adding professional reviews, vehicle prices, and buying/selling advice. With its headquarters located in Jaipur, CarDekho has footprints in India, Indonesia, Malaysia, and the Philippines.

CarDekho Success Story - How It Finds the Right Cars for the Users? | Founders | Business Model | Funding | Revenue |

CarDekho founded by Amit and Anurag in 2008, is a car search venture that helps users buy the right cars. Learn more about CarDekho’s founders, business model, funding, growth, future plans, and more.

StartupTalkyRishabh Rathi

CarDekho Business Model

The main purpose of CarDekho's introduction was to provide a comprehensive and open source of information about cars. With all the clear and objective information on the car, greatly aids potential buyers and increases CarDekho's credibility and trustworthiness.

CarDekho helps consumers find the answers to their automobile-related questions by providing thorough information about a variety of cars, which ultimately helps them select the best car for their requirements. Currently, CarDekho runs a number of well-known Indian auto portals, including PowerDrift.com, Gaadi.com, ZigWheels.com, BikeDekho.com, and CarDekho.com. Customers can sell their used automobiles at its CarDekho Gaadi stores, and they can purchase used cars at its CarDekho Gaadi Trust Mark Stores.

CarDekho Is Eyeing An IPO Next Year; Aims to Raise INR 4100 Cr

CarDekho, an online marketplace for cars, is supposedly in advanced talks to choose merchant bankers for its planned IPO, which is expected to take place early next year.

StartupTalkyNitin Konde

How CarDekho Makes Money?

CarDekho discovered that only those who are interested in buying a car will use the website to view the models' specifications. As a result, after gaining the trust of the public with truthful data, they also made the process of buying a car easier by connecting the prospective buyer with the local top sellers and created a profitable business model. The company makes money through various modes:

Generating Revenue Through Advertising

CarDekho gives automakers and dealerships a range of advertising choices to advertise their goods and services. The business charges for sponsored content, banners, and display adverts on its website and mobile app.

Guiding the Customers and Generating Revenue

CarDekho connects automakers and dealerships with prospective customers to create leads. Depending on the buyer's interest and budget, the business charges a fee for each lead it generates.

Subscription Model

"CarDekho Plus," a premium subscription plan offered by CarDekho, gives consumers access to extra perks like longer warranties, free insurance, and exclusive discounts. For this service, the business charges a fee that is renewed annually.

Partnering with Third-Party Companies

CarDekho collaborates with a number of other businesses to market their auto-related goods and services, including finance, insurance, and accessories. Every sale made via the company's affiliate links results in a commission for the business.

The core of CarDekho's business strategy is offering a comprehensive platform for both car buyers and sellers in addition to other value-added services. The business is a major force in the Indian automobile sector since it makes use of its extensive network and data insights to produce income through a variety of channels.

Amit Jain: The Visionary Behind CarDekho’s Success | Biography | Education | Net worth

Amit Jain is the CEO and Co-founder of CarDekho and also the latest shark on Shark Tank India. Discover more about Amit’s education, net worth, personal and professional life, and more.

StartupTalkyMegha Rani

USP of CarDekho

CarDekho is the biggest consumer-facing internet site in India, with 50 million unique visitors each month, the largest automotive social networking platform, and the top player of automotive video content, with over 3 million YouTube subscribers.

SWOT Analysis of CarDekho

Strength

• For the first time, CarDekho reported a profit of INR 37 crore (excluding unusual items) in FY24. Compared to a loss of INR 143 crore in FY23, this was a major turnaround.
• Additionally, consolidated losses decreased to INR 340 crore from INR 562 crore in the prior fiscal year. These numbers indisputably show that the business is turning a profit again.

Weakness

• The majority of consumers feel apprehensive about the method CarDekho uses to evaluate cars and assign a price.
• Most of the customers believe that the price they are paying is far lower than what they would have received otherwise.

Opportunity

• Since the company has already launched its operations internationally, it can further expand its wings to other countries in order to increase its business operations.

Threats

• Competition is getting very intense in this domain.
• With startups like Spinny signing sports icon Sachin Tendulkar to promote their brand, it is critical for CarDekho to always look for new business opportunities in order to stay ahead of the competition.

Conclusion

The success of Car Dekho can be linked to its creative business strategy, customer-focused mindset, and efficient use of technology. Amit and Anurag Jain, the company's creators, have successfully established a distinctive online marketplace that serves the requirements of automobile buyers and sellers throughout India. Car Dekho is in a strong position to take advantage of the prospects and increase its market share as the Indian auto industry grows.

FAQ

Is CarDekho a B2B or B2C?

CarDekho operates as both B2B and B2C.

Who owns CarDekho?

CarDekho is owned by GirnarSoft, founded by Amit Jain and Anurag Jain.

What is the purpose of CarDekho?

CarDekho helps users buy, sell, and compare cars, providing vehicle reviews, insurance, and financing options.