Chinese startups go all out to attract investors. A few startups have also been able to create a new growth wave in China, attracting the attention of major investors like SoftBank Tencent Tiger Global. China’s Chehaoduo Group is the latest to be added to the list of startups that have received large funding deals. It is also the parent company for peer-to-peer marketplaces like Guazi and Maodou.com. SoftBank Vision Fund has invested $1.5 billion in the startup.
Eliminating the Middlemen
Chehaoduo is China’s largest platform for integrated automotive retail in the used-car sector. The startup sells used vehicles through an online trading platform. The platform links buyers and sellers directly, allowing buyers to purchase used cars without the need for a middleman.
Founded by Haoyong in 2014, the Beijing-headquartered Group combines in-depth big data analytics and artificial intelligence technology to implement standardized evaluation and intelligent pricing mechanisms for China’s highly fragmented and unregulated used car market. The Group’s continuous innovation in its data, product, and service platforms has also helped to reduce barriers for consumers when purchasing a new vehicle. The Group has pioneered new models of down payment purchases, established closed-loop automotive services for used cars, new cars, and after-market service via more than 600 physical stores, and built a unique retail ecosystem based on data.
Own A Better Car
Mark Yang, chief executive officer of Chehaoduo Group, says: “The global automobile industry is experiencing unprecedented changes and with these changes come great opportunities.” Big data and artificial intelligence are the keys to fundamental reform in automotive retailing in China. Chehaoduo Group has committed itself to industrial improvement by promoting technology reform and to becoming the new engine driving the future of automobile retail in China.
Yang says that the vision of the company is to enable Chinese families to have better vehicles.
The support from the Vision Fund will not only help to strengthen the Group’s capital, but it can also boost its big data and AI capabilities that could be used to improve the entire automotive retail value chain. Data technology will transform the service and infrastructure of the automotive retail sector in the future. This will lead to continuous improvements in the efficiency of service and the consumer experience.