CredR Raises $6.5 Mn Round From Yamaha Motors And Astarc Ventures The funding will be used towards consolidating its market position, strengthening its technology platform and expanding customer offerings
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Bengaluru-based incredible technologies private limited (CredR) on Wednesday announced to have $ 6.5 million, in its latest round led by Yamaha Motors, and existing investors Omidyar Network India and Eight Roads Ventures, with participation from automotive focused Astarc Ventures. CredR, India's largest used two-wheeler consumer brand, creates an omnichannel buying experience, through a chain of flagship showrooms across Maharashtra, Karnataka, Delhi, NCR and Rajasthan.
"Our partnership with Yamaha Motors validates our shared vision to provide customers the best option to buy / sell used two-wheelers. They are a name to be reckoned with in the global mobility sphere. The funds raised in this round would help us to go deeper into existing markets and provide world class customer experience empowered with technology. We are excited to partner with Yamaha Motors in our journey to build India's first used two-wheeler consumer brand. Yamaha Motors' comprehensive understanding and experience in the two-wheeler mobility segment aligns with our first-to-market business model. The pandemic has catalysed the already existing demand for affordable private mobility in India, and these funds will allow us to scale rapidly and fulfil this demand," said Sasidhar Nandigam, co-founder, CredR.
The funding will be used towards consolidating its market position, strengthening its technology platform and expanding customer offerings.
"India is one of the biggest mobility markets in the world and the personal freedom that motorcycles and scooters bring, is a huge and lasting benefit for this country's people, regardless of whether they are new or used. CredR's clear vision behind its thriving used two-wheeler business resonated with us, and we decided to invest in the company to help their business scale bigger, which will subsequently lead to a higher quality of life for India's people," shared Hajime Aota, senior general manager, new venture business development and R&D strategy section, technical research and development center, Yamaha Motor Co., Ltd.
Founded in 2015, CredR has been focused on formalizing the unorganized and fragmented used two-wheeler market, with over 1,00,000 dealers, across India. Even though India's used two-wheeler market accounts for over 30 million annualized units, challenges around standardization of pricing, strong quality inspection and customer experience, and most notably post-sales support, persist. CredR's mission is to solve the existing trust deficit in the category through their full-stack vertically integrated business model empowered with technology.
"We first invested in CredR in 2019 and are doubling down because we continue to believe that two-wheelers are the choice of transportation as much in the top 30 cities in India as the rest of the country. The pandemic has accelerated the need for affordable private ownership, especially among the Next Half Billion. We find CredR's customer-centric technology first mindset applied to their O2O (online to offline) model to be a massive advantage that can go a long way in enhancing trust for consumers," stated Aditya Misra, principal, Omidyar Network India.
By reimagining the entire customer journey, CredR has been able to help over 300,000 Indians own a used two-wheeler of their choice since its launch. On its online platform, customers can discover and book a used two-wheeler of their choice. They can then complete the test ride and the final transaction by visiting their nearest CredR Showroom. CredR also offers home test rides and contactless home deliveries of their used two-wheelers. This focus on customer experience and offering has helped make it one of the best-loved two-wheeler consumer brands in the country.
"The pandemic has caused a significant shift in consumer behavior when it comes to mobility. Consumers today are considering owning their own vehicle to feel safer. The pre-owned two-wheeler market stands to benefit as consumers seek more economical options from organized players in the market. With their value-for-money options, contactless service and delivery and partnerships with credible OEMs, CredR is well-positioned to revolutionize the pre-owned two-wheeler market in India," added Kavish Kothari, principal, Eight Roads Ventures.
CredR will look to use these tailwinds and its latest funding round to expand its business, invest in technology and leverage the fast-growing market for used two-wheelers.