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Ola Takes a Turn to Selling Used Cars on its New Venture 'Ola Cars'

CIO Insider Team | Friday, 6 August, 2021
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Ola, a ride-sharing unicorn, has made electric scooters, electric rides for its passengers, and an electric two wheeler manufacturing plant. Now the Indian ride-sharing unicorn has stepped into selling its used cars, a segment that’s becoming popular as people look to buying affordable cars during the pandemic.

Accordingly, a report by website Mordor Intelligence indicates that India’s used car market had a value of $ 27 billion last year and is projected to hit 50 billion by 2026 at a CAGR of 15 percent during 2021 to 2026. In light of the current events, that number is not very far from reaching and there are possibilities for that number to increase as well.

COVID-19 did in fact leave an impact in this segment, but not as noticeably larger, since the masses preferred to buy affordable vehicles during these tough times. That explains why the coronavirus could only do such minimal damage to this segment.

Since reduced cash inflow into the pandemic has nudged the masses to sort to affordable means of purchasing any product or service for that matter and used cars and vehicles are the very definition of what it’s like to relax that wallet for a change.

Aside from those, the ride-sharing platform is looking to commence a pilot project for its ‘Ola Cars’ business in Bangalore this month.

Besides, Ola’s new idea at this time of life is indeed befitting the situation, one could say that the ride sharing unicorn has certainly take the route that promises immense opportunities. The same can be seen in its idea of selling its own electric two wheelers, as electric vehicles are a thing now considering the healthy impact that it packs for the world and its living beings.

This new business by the ride-sharing unicorn is christened as ‘Ola Cars’ and it's still not clear whether there will be a separate app dedicated for the business. Since most enterprises seem to have an app for each business, it would not quite be surprising if that were the case here as well. But it’s still unclear whether Ola will have an app for this business.

Speaking of business, the ride-sharing platform is not only selling its used cars on its new platform, but also welcomes fellow citizens to sell their used cars on its platform as well.

For that matter, the ride-sharing unicorn has set-up a team to tend to this new venture.

However, Ola might have to face a few rivals in this segment as CarDekho, Cars24, Spinny and CarTrade have long been into the business and know their cards in the game.

Nevertheless, the ridesharing unicorn has been quite busy over the years, especially this year, with its launch of new electric ride option to its passengers, its electric two wheeler including its mega electric two wheeler manufacturing plant seated in Tamil Nadu.

Aside from those, the ride-sharing platform is looking to commence a pilot project for its ‘Ola Cars’ business in Bangalore this month.

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