BMW’s venture fund arm has just announced a new investment. This time around, BMW i Ventures is joining UK-based used car marketplace Motorway. The marketplace offers a free service that helps consumers to sell their cars from the comfort of their home. Users simply create and upload a vehicle profile to the Motorway website via smartphone, where over 3,000 professional car dealers have the opportunity to place bids during a daily online auction. The car is then collected by the winning dealer, with no cost to the seller, in as little as 24 hours, with fast payment made to the seller before the car is driven away.
“With Motorway, we have invested in a company that has created an innovative way for car owners to sell their vehicles by connecting consumers to car dealers directly,” said Kasper Sage, Partner at BMW i Ventures. ”Their platform marks the start of a new era in used car retail by making the selling process simpler, faster and hassle-free – and by delivering both a superior experience and a better deal for both parties.”
According to a BMW, the demand for used cars continues to rise as more consumers are enjoying online transactions. Motorway estimates that by the end of 2020, 5% of all vehicles were sold online – up from 1% at the start of the year. Further, with this increasing demand the company has also seen transaction prices rise by an average of 8.2% since November.
“We’ve transformed [the offline process] with a superior online experience where everybody wins. Cutting out the middlemen leaves both the consumer and car dealer with a better deal, all from home and without the stress,” said Tom Leathes, CEO of Motorway. “Our incredible growth so far is testament to our focus on delivering more value through technology – and this investment by Index, BMW i Ventures and the other investors will provide us with the fuel to take Motorway to the next level.”