BEIJING – Guazi.com announced on March 11 that used car transaction volume on the online C2C used car transaction platform topped 1,000 units in a single day for the first time ever.
Transaction volume reached 1,027 units on March 10, according to company CEO Yang Haoyong, less than a year after monthly transaction volume had surpassed the 1,000-unit plateau. Transaction value reached ¥83.72 million ($12.9 million).
Yang believes that it is just the beginning and the total transaction value on Guazi.com is estimated to reach ¥20 billion by yearend.
Guazi.com, formerly domain-named as haoche.ganji.com, officially came online in November 2014, employing C2C model which allows car buyers and sellers to directly transact through this platform without compromising profits to the middleman.
In the past 16 months, Guazi.com has completed its strategic layouts in 75 cities with a workforce of over 40,000 people. Cars available for sale have increased to 50,000 units.
Yang said: “The goal of Guazi.com is to extend its presence to 120 cities in China by yearend. And the planning of ¥1 billion promotion budget will remain unchanged. Besides, Guazi.com will make further efforts in upgrading inspection system, refining service capability and strengthening cooperation with special service providers, bearing the goal to cultivate an ecological chain to provide a one-stop service for customers.”
Yang also confirmed that Guazi.com, valued at approximately $1 billion as of end of January, has received $200 million in the latest round of financing.
China’s total used vehicle transaction volume in 2015 was 9.4 million units, according to the China Automobile Dealers Association (CADA), and about 38,610 used car dealers were in the market, indicated by a local media report. Based on that, the average transaction volume per dealer per year worked out to be only 244 units.
The analysys.cn indicates that the total transaction volume of used cars holds potential to reach 20 million units and sales revenue of over ¥1 trillion by 2020.