CARDEKHO
BUSINESS MODEL
CEO: AMIT JAIN & ANURAG JAIN
GLANCE: CarDekho.com is India's leading car search venture that helps users buy
cars and bikes that are right for them. It is a subsidiary of GIRNARSOFT
INVESTORS: Google Capital, Tybourne Capital, Hillhouse Capital, Sequoia Capital,
HDFC Bank, Ratan Tata and Times Internet.
COMPETETORS: CARTRADE, CARWALE, DROOM.
DATE LAUNCHED: 2008
Advertisements-GOOGLE AD-SENSE and sponsored advertisements
E-COMMERCE-E-store for automobile accessories
THROUGH COMMISSIONS FROM MANUFACTURERS, SELLERS AND
DEALERS
PREMIUM LISTING IN USED CAR SECTION
BY PROVIDING DIFFERENT TYPES OF LOANS THROUGH FINANCE
COMPANIES
ROADSIDE ASSISTANCE SCHEMES
WORKING MODEL
CarDekho acquired Gaadi.com to increase their customer base and offer more refined
options to its customers.
The company adopted several marketing techniques since its inception to promote its
business and increase sales and awareness among the customers.
Digital promotion has been done on large scale for increasing its reachability across
the globe and to higher the engagement over the website.
The company is spending a lot on brand promotion through tele-ads and print media
advertisement. A regular advertisement promoting the brand can be seen on
televisions and print media now a day.
Mobile Marketing, Social media advertising, Email marketing
REVENUE MODEL
Lead Generation for Dealers- Cardekho works with thousands of car dealers across
the country and gets paid for every lead it generates. Generating leads for dealers
forms one of the most important sources of revenue for the company.
Advertisement Revenue- CarDekho is a very popular website with a niche audience
which has an interest in cars. It is because of this that CarDekho is able to attract
advertisements from car manufacturers looking to rev up interest in their cars.
TrustMark Certification- TrustMark is a used car certification and warranty
program under the CarDekho brand. It is like a certificate that endorses the quality of
a used car – based on the checks performed by CarDekho engineers. The certification
is aimed at providing a used car buyer with the assurance that the used car they are
buying is free from any major defects, that the papers are genuine and the car has not
been involved in an accident.
Commission on Car Loan and Insurance- Cardekho also has tie-ups with car loan
and insurance providers where they work on a commission model.
STP of Cardekho
Segmentation It’s a broad segment where it totally comes
under “demographic segmentation”, people
who are willing to buy cars, people involved
in automobile business-dealers, OEM
manufacturers, Insurance providers, car
accessories.
Targeting Customer (who are buying the cars)-Young
generation, Millennial, Low middle class
people
Automobile- dealers, OEM manufacturers
Loan-Insurance providers
Positioning “one-stop destination” for all the business
related to automobiles
Marketing Mix of Cardekho
i) Product:
New and used cars-Low range, Mid-range and Luxury
E-stores for automobile accessories
Loans
Insurance
ii) Place:
Cardekho is one of the largest companies in India dealing with auto-media
vehicles. The company is determined to serve both owners and prospective
buyers with equal efficiency and honesty. The company provides a platform
where both parties come together and arrive at a satisfactory result in terms of
buying and selling. It is actually a stage where a comprehensive discussion
about cars is possible by talking and discussing.
The company has its official website which provides detailed information
about every vehicle. Its network is spread over two hundred cities and towns
in India. In the year 2010, Cardekho became the single-largest cause of car
sales in India. Presently it is the first website for cars in India that has its own
editorial team and several types of equipment for testing various categories. It
also publishes all its findings in its columns on its portal.
iii) Price:
In the year 2008, Cardekho came up with one of its innovative schemes and
introduced price guide for used cars. It was for the first time that both seller
and buyer could know the market value of concerned vehicle depending on
mileage, condition, age, variant and model of the car. This guide has now
become a credible information source for used cars and company now
provides estimated offer prices for most of the popular cars sold in the Indian
market. Their revenues are mostly earned from advertisements and tie-ups
with dealers. As this portal is one of the most visited ones in India, it generates
huge revenues for the company.
iv) Promotion:
The mission of company Cardekho is to bring happiness for both owners and
prospective owners.
Social media promotions Events like “vintage car show”
CSR Advertisements--Email, Mobile marketing, Banners etc
Promotional offers to new/existing customers
Content marketing- keyword, highlighter
SWOT Analysis of CARDEKHO
i) Strengths-
a) Quality Meals & Product Innovation
b) Reliable suppliers
c) Strong captured marketing & promotional advertisement
d) Quick and fast delivery system
e) Price range
f) Internal dough manufacturing
g) Customer services
h) Strong brand equity
i) Highly skilled employees
j) Strong distribution network
k) Good ROI
ii) Weaknesses
a) Low number of outlets
b) Franchise related issue
c) Operational difficulties
d) Need of high technology
e) Net income
iii) Opportunities
a) New environment policies
b) Demographic changes
c) New preferences
d) New trends
iv) Threats
a) Hugh competitors
b) Regulated pressures
c) High operational cost
d) Lack of long-term contracts with suppliers
