The automotive industry was an epicenter of activity with profitable prospects in 2008. In an attempt to capitalise on the excitement, everyone joined the party and opened their own auto dealerships or companies.
Nevertheless, a significant gap was present in the midst of the frenzy: a dearth of unbiased, transparent, and dependable information regarding automobiles. CarDekho identified this need and began with a straightforward yet ingenious business plan by giving customers accurate and trustworthy vehicle information.
Let’s take an intriguing tour of the CarDekho business model’s many components to encourage aspiring young entrepreneurs to investigate comparable complex opportunities-
Two brothers, Amit and Anurag Jain (CarDekho founders), came up with the bright concept to launch CarDekho.com in 2008 as a one-stop shop for everything related to cars. It began modestly, resembling a car guidebook. CarDekho.com quickly grew as more people visited it, adding professional reviews, vehicle prices, and buying/selling advice. With its headquarters located in Jaipur, CarDekho has footprints in India, Indonesia, Malaysia, and the Philippines.
The main purpose of CarDekho’s introduction was to provide a comprehensive and open source of information about cars. With all the clear and objective information on the car, greatly aids potential buyers and increases CarDekho’s credibility and trustworthiness.
CarDekho helps consumers find the answers to their automobile-related questions by providing thorough information about a variety of cars, which ultimately helps them select the best car for their requirements. Currently, CarDekho runs a number of well-known Indian auto portals, including PowerDrift.com, Gaadi.com, ZigWheels.com, BikeDekho.com, and CarDekho.com. Customers can sell their used automobiles at its CarDekho Gaadi stores, and they can purchase used cars at its CarDekho Gaadi Trust Mark Stores.
CarDekho Business Model Canvas
CarDekho is a leading online platform in India that helps users buy, sell, and research cars. It offers detailed car reviews, price comparisons, and connects users with dealers, lenders, and insurers. Below is the Business Model Canvas that outlines how CarDekho creates, delivers, and captures value:
CarDekho Business Model Canvas
1. Key Partners
Car manufacturers and dealerships
Insurance companies
Loan/finance providers
Affiliate partners (accessories, warranty)
Content creators and influencers
2. Key Activities
Listing cars and comparing prices
Generating leads for dealers
Certifying and inspecting used cars
Creating automotive content (reviews/videos)
Running Gaadi stores (buy/sell used cars)
Managing subscriptions (CarDekho Plus)
3. Value Propositions
All-in-one platform for buying/selling cars
Verified and detailed car information
Easy connection with top local dealers
Car financing, insurance, and accessories support
Certified used cars with trust and transparency
4. Customer Relationships
Online support via chat or call
Social media and YouTube engagement
Personalized tools (car matcher, recommendations)
Loyalty via CarDekho Plus subscription
5. Customer Segments
New and used car buyers
People selling their used cars
Car dealers and manufacturers
Auto enthusiasts and video viewers
Customers seeking loans, insurance
6. Channels
CarDekho.com and sister sites (BikeDekho, Gaadi, etc.)
CarDekho discovered that only those who are interested in buying a car will use the website to view the models’ specifications. As a result, after gaining the trust of the public with truthful data, they also made the process of buying a car easier by connecting the prospective buyer with the local top sellers and created a profitable business model. The company makes money through various modes:
Generating Revenue Through Advertising
CarDekho gives automakers and dealerships a range of advertising choices to advertise their goods and services. The business charges for sponsored content, banners, and display adverts on its website and mobile app.
Guiding the Customers and Generating Revenue
CarDekho connects automakers and dealerships with prospective customers to create leads. Depending on the buyer’s interest and budget, the business charges a fee for each lead it generates.
Subscription Model
“CarDekho Plus,” a premium subscription plan offered by CarDekho, gives consumers access to extra perks like longer warranties, free insurance, and exclusive discounts. For this service, the business charges a fee that is renewed annually.
Partnering with Third-Party Companies
CarDekho collaborates with a number of other businesses to market their auto-related goods and services, including finance, insurance, and accessories. Every sale made via the company’s affiliate links results in a commission for the business.
The core of CarDekho’s business strategy is offering a comprehensive platform for both car buyers and sellers, in addition to other value-added services. The business is a major force in the Indian automobile sector since it makes use of its extensive network and data insights to produce income through a variety of channels.
CarDekho is the biggest consumer-facing internet site in India, with 50 million unique visitors each month, the largest automotive social networking platform, and the top player of automotive video content, with over 3 million YouTube subscribers.
SWOT Analysis of CarDekho
CarDekho SWOT Analysis
CarDekho Strength
For the first time, CarDekho reported a profit of INR 37 crore (excluding unusual items) in FY24. Compared to a loss of INR 143 crore in FY23, this was a major turnaround.
Additionally, consolidated losses decreased to INR 340 crore from INR 562 crore in the prior fiscal year. These numbers indisputably show that the business is turning a profit again.
CarDekho Weakness
The majority of consumers feel apprehensive about the method CarDekho uses to evaluate cars and assign a price.
Most of the customers believe that the price they are paying is far lower than what they would have received otherwise.
CarDekho Opportunity
Since the company has already launched its operations internationally, it can further expand its wings to other countries in order to increase its business operations.
CarDekho Threats
Competition is getting very intense in this domain.
With startups like Spinny signing sports icon Sachin Tendulkar to promote their brand, it is critical for CarDekho to always look for new business opportunities in order to stay ahead of the competition.
Conclusion
The success of Car Dekho can be linked to its creative business strategy, customer-focused mindset, and efficient use of technology. Amit and Anurag Jain, the company’s creators, have successfully established a distinctive online marketplace that serves the requirements of automobile buyers and sellers throughout India. Car Dekho is in a strong position to take advantage of the prospects and increase its market share as the Indian auto industry grows.
FAQ
Is CarDekho a B2B or B2C?
CarDekho operates as both B2B and B2C.
Who owns CarDekho?
CarDekho is owned by GirnarSoft, founded by Amit Jain and Anurag Jain.
What is CarDekho?
CarDekho helps users buy, sell, and compare cars, providing vehicle reviews, insurance, and financing options.
How does CarDekho make money?
CarDekho makes money through ads from car brands and dealers, lead generation fees, paid subscriptions (CarDekho Plus), commissions from loans and insurance, and used car sales at its Gaadi stores.
What are CarDekho business model revenue streams?
CarDekho’s revenue streams include advertising, lead generation fees from dealers, CarDekho Plus subscriptions, commissions from finance and insurance partners, and income from selling used cars through Gaadi stores.
Is CarDekho profitable?
Yes, CarDekho is now profitable. In FY 2024, the company posted a standalone profit of INR 37 crore (excluding exceptional items), marking its first full-year profit after an INR 143 crore loss in FY 2023. Consolidated losses also improved significantly, dropping from INR 562 crore in FY 2023 to INR 340 crore in FY 2024.
Company Profile is an initiative by StartupTalky to publish verified information on different startups and organizations.
The emergence of the internet has transformed the car-buying experience positively, making it much more accessible and convenient than before. Today we have a lot of online portals that will take you through the process effortlessly. One such portal is CarDekho.
Founded by Amit Jain and Anurag Jain in 2008, CarDekho is a prominent car search venture that helps users find fitting new and old car variants and buy them without any hassles.
Here’s the StartupTalky article to know about CarDekho, its founders, competitors, business and revenue model, startup story, funding, investors, acquisitions, and more.
CarDekho, a creation of ‘GirnarSoft‘ founded by Amit and Anurag Jain, stands as a comprehensive online platform dedicated to all things automotive. Both the web app and the CarDekho.com website house a wealth of rich automotive content. This includes expert reviews, detailed specifications, pricing information, andcar comparisons, as well as an extensive collection of pictures and videos covering a diverse array of car brands and models available in India.
Furthermore, CarDekho provides valuable insights into the automobile industry, ensuring users stay updated with fresh content, recent launches, and industry trends.
CarDekho – How it Works?
CarDekho offers consumers a smooth 360-degree experience by acting as a virtual auto dealer. Users of the platform can peruse through a number of categories, future autos, and new releases. Furthermore, CarDekho has its own online store with a large selection of automobile accessories, including sun films, car stereos, stickers, floor mats, and more. In addition, it also provide car loan for new car used car and refinances for the existing car.
Company maintains an active automotive forum where industry professionals and reviewers respond to user-posted questions about cars in an effort to promote community involvement. In general, CarDekho creates a comprehensive and effective automobile platform by fusing technological know-how with user-friendly interfaces.
CarDekho is the product of ‘GirnarSoft’ owned by the founder duo, Amit and Anurag Jain. CarDekho is a web app that has almost anything and everything about an automobile. Both the app and the CarDekho.com website boast rich automotive content including but not limited to expert reviews, detailed specs, and prices of cars, comparisons of cars, pictures, and videos of an exhausting range of car brands and models available in India.
India’s automotive market grew rapidly, hitting $121.5 Billion in 2024 and expected to reach $247.4 Billion by 2033, with a notable compound annual growth rate (CAGR) of 7.13 % from 2024 to 2033. India is a well-known center for the production of automobiles worldwide. Its low production costs are a result of cheap labor, a plentiful supply of raw materials, and a depreciating currency. India is a key player in the global automotive industry, producing more than 4 million cars a year, making it the fourth largest automobile producer in the world.
CarDekho – Founders and Team
Amit Jain and Anurag Jain are the founders of CarDekho. Amit Jain is the CEO and co-founder, while Anurag Jain acts as the COO and co-founder at CarDekho. Umang Kumar has also been the President and co-founderof the company.
Amit Jain
Amit Jain – Co-founder and CEO at CarDekho
Amit Jain is an IIT Delhi alumnus from where he obtained a BTech degree before going on to join Tata Consultancy Services. Leaving TCS after serving the company for around one year, Amit joined Trilogy, where he went to be a Product Manager. Jain next started with GirnarSoft as the CEO and co-founder of the company, which he is still serving at the present. Amit Jain is also the CEO and co-founder of CarDekho.
Anurag Jain
Anurag Jain – Co-founder and COO at CarDekho
Anurag Jain is also an IIT Delhi alumnus who has obtained an Integrated Master of Technology in Mathematics and Computing. Jain was a Senior Systems Consultant at i2 Technologies after which he joined Sabre Holdings as a Senior Operations Research Analyst. Anurag is serving as the COO and co-founder at GirnarSoft.
Both the founder and his brother were born on November 12th, and they both finished their education at St. Xavier’s School in Jaipur. Both of them continued their education at IIT Delhi, where Anurag studied computer science and mathematics and Amit chose to major in civil engineering. Amit was interested in products and technology-related items because he and his brother had worked in the corporate sector for about eight years, having worked for businesses such as TCS and Trilogy.
Umang Kumar
Umang Kumar – Co-Founder and President at CarDekho
Umang Kumar was earlier the co-founder of Gaadi.com, but ever since the latter has been acquired by CarDekho, Kumar has been associated with the team, where he has been serving as the co-founder and President at CarDekho. Umang Kumar is an alumnus of Visvesvaraya Technological University, from where he obtained a BE degree in Computers. Kumar next went on to pursue a Post Graduate Diploma in Management from the Indian School of Business and then joined the Harvard Business School for the Naspers program in General Management, Strategy and Leadership. Before joining Gaadi Web as the co-founder and CEO, Umang founded another company, Accentium Web. During his career, Umang served a couple of other companies, 9.9 Mediaworx and ABP, where he served in key leadership positions.
Flaunt your startup with StartupTalky
800+ stories, thousands of founders, and millions of visitors. Want to be the next?
StartupTalky is where founders, entrepreneurs, startups and businesses hang out and look up to for inspiration. If you have the means, we have the medium! Inviting founders and startups who are building sustainable solutions from ground zero! Startups who run the show, StartupTalky will let the world know!
In January 2008, the Delhi Auto Expo inspired brothers Amit and Anurag Jain to start their own business to make buying a car easier. Cardekho.com was launched in March 2008, with the brothers starting the business from their garage foundation. As a result of their vision and influence on the automobile retail industry, their creation is valued at an astounding $1.2 billion.
In the early days of their startup journey, the Jain brothers encountered initial challenges, particularly in their outreach to potential customers through phone calls and emails. When they finally got their first client, their persistence paid off, and they embarked on a modest but eventually fruitful journey that led to several referrals and more jobs. CarDekho’s early success served as the impetus for its growth. Equipped with an expanding workforce, amassed capital, and a well-defined idea, they formally introduced CarDekho, signifying a noteworthy turning point in their endeavor to revolutionize the automotive sector.
CarDekho – Startup Launch
A lot of thought and conceptualizing went into building CarDekho after its launch. Even though the company had been launched, they kept their IT consultancy services ongoing because the founders wanted the primary income to keep flowing. CarDekho is one of those companies that take the consumer through the whole process, from the start to the end and during the process, to make sure that the customer is satisfied.
Like all the other entrepreneurial ventures, this company too was a little slow in the beginning, but when it geared up the pace, the founders never looked back. And soon enough, its numbers did the talking when they roared success out loud to the world.
CarDekho.com has launched many innovative features to ensure that users get an immersive experience of the car model before visiting a dealer showroom. The standout feature is the “Feel The Car” tool, providing a 360-degree view of the car’s interior and exterior. It goes beyond visuals, incorporating authentic sounds and feature explanations through engaging videos. It also offers features for searching and comparing cars by the makes, models, prices, features, and more. Furthermore, it also provides live offers and promotions in all cities.
Along with the above consumer product features, CarDekho.com provides a rich array of tech-enabled tools to OE manufacturers and car dealers. These consist of lead management applications for dealer sales executives, call tracking services, cloud-based sales performance monitoring, digital marketing assistance, virtual online showrooms, and outsourced lead management operational procedures that move customers from inquiry to sale.
The company’s vision is to establish a comprehensive ecosystem that links automakers, dealers, consumers, and associated businesses. There goal is to make it simple for customers to buy and sell cars while handling every aspect of car ownership, such as coordinating the purchase of accessories, tires, batteries, insurance, and roadside help.
CarDekho – Name, Logo and Tagline
CarDekho Logo
The naming of CarDekho has been done because the website aims to help users to browse through cars and car-related information. The tagline of CarDekho says, “Bharosa Kar Ke Dekho.”
CarDekho – Business Model
CarDekho operates as a pivotal online marketplace, serving as a nexus between buyers and sellers of automobiles. Its fundamental business model centers on offering consumers an all-encompassing platform for researching, comparing, and acquiring both new cars. As an information-based e-commerce platform, CarDekho delivers insightful content to cater to auto enthusiasts. Moreover, it seamlessly functions as an eCommerce platform, ensuring a seamless and convenient experience for individuals immersed in the car-buying process.
CarDekho – Revenue Model
The revenue model of CarDekho has been simple and clear-cut since day 1.
Here are the primary mediums through which CarDekho earns its revenues:
Advertising: To help automakers and dealerships advertise their goods and services, CarDekho provides a range of advertising alternatives. On its website and mobile app, the business charges for sponsored content, banner ads, and display ads.
Lead Generation: CarDekho seamlessly connects manufacturers and vehicle dealerships with potential customers, generating leads. The fee for each lead is customized based on the buyer’s budget and level of interest, ensuring a dynamic and value-driven cost structure.
Subscription Model: CarDekho presents a premium subscription model, “CarDekho Plus,” offering users exclusive benefits like discounts, free insurance, and extended warranties. The service comes at a fee, renewable annually.
Affiliate Marketing: Partnering with third-party companies, CarDekho promotes products and services related to cars, earning commissions for each sale through its affiliate links.
Subscription Model: CarDekho presents a premium subscription model, “CarDekho Plus,” offering users exclusive benefits like discounts, free insurance, and extended warranties. The service comes at a fee, renewable annually.
Affiliate Marketing: Partnering with third-party companies, CarDekho promotes products and services related to cars, earning commissions for each sale through its affiliate links.
In February 2020, CarDekho announced a secondary sale, enabling eligible employees to redeem 50% of their vested options through GirnarSoft Group’s ESOP Exercise. The company valued this cash-out at approximately $3.5 million. Notably, this marked the second instance of such a scheme in FY20, following the initial ESOP cash-out in April 2019, where CarDekho successfully bought ESOPs amounting to $2 million.
CarDekho – Challenges Faced
CarDekho’s early difficulties included raising awareness in a market devoid of significant competitors. In order to get past this, the business made significant marketing investments, provided discounts, and expanded into the used and new car markets, eventually leading the way as an online marketplace for automobile sales.
Faced with competition from the used car industry, CarDekho made a calculated decision to enter the new car market, becoming one of the first companies to provide an online platform for new car purchases. This action not only addressed the fierce competition but also strengthened CarDekho’s standing as a pioneer in automobile retail innovation.
CarDekho – Funding and Investors
So far, CarDekho has raised $501.1 million spread across 10 funding rounds to date.
Here are the funding details for CarDekho:
DATE
STAGE
AMOUNT
INVESTORS
October 13, 2021
Series E
$200 million
LeapFrog Investments
October 13, 2021
Debt financing
$50 million
–
December 5, 2019
Series D
$70 million
Ping An Global Voyager Fund
January 3, 2019
Series C
$110 million
CapitalG, Hillhouse Capital Group, Peak XV Partners
July 20, 2018
Series B
$2.99 million
Trifecta Capital Advisors
March 21, 2018
Series B
$2.5 million
Peak XV Partners
March 21, 2016
Venture Round
–
CapitalG
May 28, 2015
Venture Round
–
HDFC Bank
January 29, 2015
Series B
$50 million
–
November 27, 2013
Series A
$15 million
Peak XV Partners
CarDekho.com, which went live in 2008, was set up by a bunch of young, enthusiastic IIT graduates. Its investors include Google Capital, Tybourne Capital, Hillhouse Capital, Sequoia Capital, HDFC Bank, Ratan Tata, and Times Internet.
CarDekho – Mergers and Acquisitions
CarDekho has acquired 3 companies.
COMPANY ACQUIRED
DATE OF ACQUISITION
AMOUNT
Revv
Dec 1, 2023
–
Carmudi Philippines
Nov 28, 2019
–
Gaadi Web
Sep 30, 2014
$11 million
CarDekho – Partnerships
Girnar AI Innovations Lab
Amit Jain’s CarDekho and Girnar AI Innovations have teamed up to revolutionize customer support with AI-powered solutions. Their platform, Uservox.ai, uses voice bots, chatbots, and conversational tools to create personalized and efficient customer interactions. This collaboration aims to enhance engagement and streamline customer experiences.
CarDekho – Growth
In its fourth year, CarDekho had already served 2.5 crore visitors by January 2012, reaching the pinnacle of success with a record 1.7 lakh used car sales across India. The launch of its iOS app, following the Android version, resulted in 100,000 downloads within a month, doubling web portal visitors and tripling revenues. By 2014, with a team of over 600 employees, CarDekho expanded its offerings with portals like BikeDekho and PriceDekho.
In 2019, CarDekho significantly expanded its reach by collaborating with 3,000 used car dealers, 4,000 new car dealerships, ten financial institutions, and eighteen insurance providers in India. This strategic network aimed to simplify processes like used car financing and insurance, offering a more streamlined experience for both buyers and sellers in the automotive market. Concurrently, CarDekho introduced Gaadi by CarDekho and inaugurated CarDekho stores in the National Capital Region (NCR) in January 2019, diversifying its services to cater to a broader audience.
In September 2021, CarDekho shifted its strategy to require thorough home inspections before car purchases, resulting in the closure of over 20 stores. This move reflects CarDekho’s confidence in the efficiency of the home inspection model, prompted by changing market dynamics post the COVID-19 crisis and showcasing the company’s adaptability to industry challenges.
CarDekho launched Rupyy
This new platform offers a whole new horizon of financing alternatives to the customers and retailers of automobiles. With the birth of Rupyy, CarDekho aims to empower customers with easy and convenient methods to apply for and receive approval for their auto-financing requirements. According to the CarDekho statement, Rupyy is an end-to-end digital platform that is designed to make the loan journey smooth and hassle-free for customers.
Rupyy work via a QR code-based onboarding process at vehicle dealerships and loan companies. This QR code-based process guides the customers with a self-help path running video KYC, e-NACH, and e-Agreement technologies, which helps them approve their loans right at the point of sale within a few minutes.
CarDekho total expenses dropped from INR 2,921 crore in FY23 to INR 2,669 crore in FY24.
EBITDA
CarDekho Financials FY21-FY24
FY21
FY22
FY23
FY24
EBITDA Margin
-32.34%
-28.63%
-19.23%
-9.19%
Expense/Rs of Op Revenue
INR 1.44
INR 1.36
INR 1.25
INR 1.19
ROCE
-36.94%
-25.71%
-21.6%
-9.2%
CarDekho – Advertisements and Social Media Campaigns
CarDekho Campaign
The auto-tech startup CarDekho, along with brand ambassador Akshay Kumar, presented advertising campaign called “Sapna re.” The brand has emphasized in the advertisement the importance of fulfilling the desire of car ownership for Indian middle-class consumers. Akshay Kumar makes an appearance in a new guise in this campaign as a father who has promised to purchase his little child a car.
CarDekho – Awards and Achievements
Some of the noteworthy awards that CarDekho received in its early days were:
“Best” and “Most Popular” Auto Website of 2016
Website of the Year India 2014 in Automobile Category
Best Car Website of 2012
Most Popular Website of 2012
Website of the Year, India 2011 and 2012
Best Automotive Website of 2009
CarDekho – Competitors
Other online marketplaces in India that deal with and cater to the same set of the target audience are:
CarDekho was looking to expand its business to Southeast Asian markets as per news of 2021. The company, according to the co-founder and President Umang Kumar, was aiming to establish its leadership in the automobile ecosystem of the region. CarDekho has expanded its footprints into Southeast Asia following the acquisition of Carmudi, as per news on October 4, 2023.
Mayank Gupta, CarDekho Group CFO, regarding the startup’s growth plans, said, “With scale, leverage, efficiencies, and process improvements, we are trying to contribute towards our total EBITDA level profitability, and that is what we intend to achieve before the IPO.”
CarDekho has therefore kept its growth plans on track and expects great growth in the future.
CarDekho plans to file its DRHP by March 2025, aiming to raise $500 million (INR 4,100 crore) with an IPO valuation of $2–2.5 billion, nearly double its 2021 valuation of $1.2 billion. The company focuses on enhancing customer experiences through advanced, personalized technologies.
FAQs
Who is CarDekho Founder?
Amit Jain and Anurag Jain are the founders of CarDekho. Umang Kumar has also been the co-founder of the company since CarDekho acquired Gaadi.com.
Is Cardekho reliable? How are CarDekho cars?
Yes, CarDekho is reliable. It is, in fact, one of the most trusted places for certified pre-owned cars. CarDekho cars are thoroughly inspected and come with a 6 months warranty along with a 7-day money-back guarantee.
What is CarDekho net worth?
CarDekho has a net worth of $1.2 billion as of December 2024.
Who is Amit Jain?
Amit Jain is the CEO and co-founder of CarDekho.
What is CarDekho Revenue Model?
The primary mediums through which CarDekho earns its revenue are:
AdSense
Sponsored Advertisements
Commissions from the manufacturers and dealers
Affiliate marketing
Lead generation
Car insurances
How much funding has CarDekho raised?
So far, CarDekho has raised a total of $501.1 million spread across 10 funding rounds to date.
Rishabh Rathi
