CarDekho Group plans to have a presence throughout Southeast Asia in the next two years, Auto News, ET Auto
New Delhi: The CarDekho Group automotive platform continues its international expansion plans with the aim of being present throughout Southeast Asia over the next two years, according to a senior company official. The company, which is currently rolling out $ 25 million for the expansion program, will enter Malaysia this year, followed by Thailand and Vietnam next year.
“The idea is very clear that we will be a player across South East Asia and all other major markets with our new automotive business over the next two years. On the auto finance side, we’ll likely see about three entering. markets, ”said CarDekho Group Co-Founder and Chairman Umang Kumar.
Kumar, who heads the group’s international business operations, added: “Right now we are looking at Malaysia, next year we will be looking at Thailand and Vietnam. We are already the leading automotive site in Indonesia. and the Philippines “.
For the Southeast Asian market, he said the company will follow a similar strategy that it has successfully adopted in India.
“(In) the long term, the goal is very clear, the way we have built business in India. We first got into the new automobile, then we got down to auto finance, then we got into the new automobile. “We are attacking used car transactions. It is a very similar strategy that we will adopt in these countries,” Kumar added.
In India, the CarDekho Group operates automotive portals such as CarDekho.com, Gaadi.com, ZigWheels.com, BikeDekho.com and PowerDrift.com. In addition, it offers customers opportunities for the sale and purchase of used cars and provides financing facilities.
Asked about investments for international expansion, Kumar said the group has allocated a total investment of $ 25 million for Southeast Asia, which has already been widely deployed.
“It started three years ago. We started with a $ 9 million deployment and then doubled down a few years ago. What basically happens is that every year we reassess whether or not more capital is needed. So, cumulatively until March 2022, we would have deployed approximately $ 25 million in our activities in Southeast Asia, ”he added.
Further investments will depend on the growth of the business and the willingness of the company to invest more capital on used car deals in this part of the world, Kumar said.
Bullish on international expansion, he said in the wake of the coronavirus pandemic, many more OEMs are focusing on how to go digital, what is the right strategy to take and so they have a lot more of conversations with us on how to enable digital and move forward ”.
In 2016, CarDekho entered Indonesia under the brand name OTO.com. Later in 2019, the group made a foray into the Philippines and acquired Carmudi.
In its international activities, CarDekho will focus on New Automotive, Media Sales & Solutions, Used Automotive, Finance, Auction and B2C Retail.