As covered by Afternoon DC Newspaper.
With a Master of Science in Automotive Systems Engineering, and an alumni of the Kellogg School of Management, USA, Madhukar Manpuria is very passionate about Cars. And that passion resulted in the founding of his website Mynewcar.in, which he claims is the first one stop online ecosystem for selling new cars and related services to simplify the car buying process to a joyful experience. In conversation with Dominic Rebello this high passion ‘cars entrepreneur’ explains the changing dynamics of the cars market and how he plans to transform the car retail industry in India and bring it at par with with international standards. He believes by 2020, around 5-7% of car buyers in India will be purchasing their cars online.
What drives you?
I am very passionate about Cars & driven by new ideas to help address the challenges faces by us. Competition to sell the car you want at a better price and without hassle is driving innovation throughout the car retail industry worldwide. I want to simplify and reinvent how we buy and own cars in future.
How big is the potential for a business like yours? Any major customers that you now cater to? What kind of numbers do you expect from a business like yours? Any statistics to compare with international standards?
India currently is the 6th largest car manufacture in the world with around 3 million cars sold in India. The number of cars per 1000 people is still less than 10 in India. India is expected to be among the Top 3 cars manufacturer in the world with 11.7 million cars expected to be sold by 2030. More than 65% of Indian population are below the age of 35 with India having the third largest online population in the world. But, the online market penetration for new cars is in its infancy with MYNEWCAR being the India’s first tech start-up in the automotive sector creating a one stop online ecosystem for new car buyers. We expect about 5-7% of car buyers in India purchasing their cars online by 2020.
We have sold more than 300 new cars in the last 8 months for private as well as T-permit customers with a GMV of more than Rs 25 crores. We are currently operational in major metros in India like Mumbai, Bangalore, New Delhi and Pune and are looking to expand further and build trust with customers while increasing the awareness. Car companies worldwide are already starting to sell their cars online with enormous growth seen in Europe, USA and China for online sales channel. Some of the new car manufacturers like Tesla are facilitating their sales process online.
How do you plan to scale up; raise funds through seed or venture capital or simply grow the old fashioned way through rising turnovers?
We raised a seed funding of 2,50,000 USD from Business Angels in India and Europe. Moving forward, we are focusing to raise ‘Series A’ funding through VCs to expand our operations and along with increasing our revenues and reduce the cost of acquisition.
Who would primarily be your consumer audience?
We want to simplify the car buying process to a joyful experience for car buyers. So, our consumer audiences are the new cars buyers who are looking to buy cars haggle and hassle free. As, we are creating a one-stop online ecosystem for new car buyers, our consumer audience are the ones researching for new cars online and are already buying other products online
Where do you see yourself five years down the road?
In the next 5 years, our goal is transform the car retail industry in India and make it better by simplifying the car buying and selling experience for our customers and partners. We aim to build trust and relationship with our customer, employees and partners and ensure that we stay focused and open to new ideas and learn from them.