Cazoo Wants To Revolutionise How We Buy Our Cars
Yesterday marked the official launch of the startup Cazoo. It wants to change how we buy an annual eight million used cars via a ‘digital transformation’…
We live in an age increasingly defined by convenience and this, more often than not, takes the form of online shopping. With a few clicks of a button, we can get our hands on groceries, technology and services within hours. Until now, however, the process hasn’t yet fully reached the automotive industry; with only a few narrow and experimental forays into the territory. Enter Cazoo. The next venture of the founder of Zoopla and LoveFilm, Alex Chesterman. Cazoo wants to make buying a car literally a case of pressing a few buttons. It’s making it possible to order a used car via an entirely online process; without any need to visit a dealer or seller.
A Comprehensive Offer
The start-up has launched with around £80 million in funding; making it one of the best-funded new ventures in the nation’s history. It owns all of the cars it intends to sell, currently around 1,500 and many of which are EVs. It’s storing them at a 55-acre facility located in the Midlands. Customers are able to inspect vehicles via 360-degree, high resolution images. This includes service history and features. Prices are fixed and can be payed for in full or via finance deals. Most cars will be delivered to customers within 72 hours. Each car comes with a recent MOT and service, seven days’ free insurance and a 90-day warranty with the RAC. A seven day money back guarantee serves to replace the traditional test drive, too.
Alex Chesterman, founder & CEO of Cazoo, has suggested the car industry is overdue digitalisation. He said, “used cars are one of the last remaining consumer markets yet to benefit from any digital transformation”. He stressed the service’s practicality, “Cazoo makes used car buying simple and convenient like buying any other product online today. We take away the need to travel, to haggle, to spend countless hours at a dealership and to risk any buyer’s remorse”.
The Convenience Economy
Today, consumers value convenience more than anything else; arguably even more than brand loyalty. As a result, automakers are scrambling to make their products and services as accessible as possible. In the UK used car sales are traditionally solid, even when new sales stagnate or decline. So Chesterman’s new venture makes perfect business sense. The Cazoo service, at least in theory, seems to have preempted all of the potential concerns a driver might have about buying a car without ever seeing it; providing an exhaustive list of guarantees and proof of quality or desirability. Whilst tech start-ups are ten-a-penny nowadays, Cazoo’s core concept may very well have the power to be disruptive. The only question, however, is whether more established traders (including car manufacturers themselves) will follow suite. We suspect they will.
Drivers Will Soon Buy Cars In The Same Way As Their Groceries – https://www.autoserveclub.co.uk/blog/drivers-will-soon-buy-cars-in-the-same-way-as-their-groceries/
Computers On Wheels: The Rise Of Connected Cars – https://autoserve.co.uk/motoring-news/computers-on-wheels-the-rise-of-connected-cars/