Digital platform Cars24 to invest Dh367m for Gulf acceleration
Cars24 will channel these funds towards scaling up its tech framework
Dubai: Cars24, the platform for pre-owned vehicles, plans to invest Dh367 million in the UAE and GCC markets to spread its reach. The company will be utilising these funds to create one of the largest refurbishment hubs in the region.
“The company aims to shoulder the government’s vision of creating a state-of-the-art technology ecosystem, by taking the entire car-buying process online,” said Abhinav Gupta, CEO, Gulf Region, Cars24. “A significant portion of these funds will also be directed towards scaling up the organisation’s tech framework.”
In a recent interview with Gulf News, Gupta expressed his interest to use the UAE as the launchpad for a move into international markets.
“UAE auto market is getting modernized and Cars24 will continue to play a significant role in this transformation.”
Consumers are looking for an upgrade through the pre-owned car market. According to reports, a majority of consumers in the UAE market still prefer Japanese and Korean brands followed by American and European cars. Sedan remains the preferred choice for a more affordable segment, which is below Dh50,000.
The demand for SUVs has grown much higher than pre-pandemic levels. Close to 40 per cent of the market still remains under the Dh50,000 budget, while the Dh50,000 to Dh100,000 segment has grown and now accounts for 30 per cent share which is powered more by the demand for SUVs