“BrumBrum is part of a new wave of marketplaces that are radically innovating the value chain of their respective sectors, in order to bring significant benefits to consumers,” Accel principal Luca Bocchio said. He added that CEO and founder Francesco Banfi and his team are redefining the auto market. “They’ve built solid grounds for this business in a short period of time and with extremely positive feedback from clients.”
The Milan-based start-up will use the fresh funding to consolidate its growth in Italy and prepare to expand across Europe. Quoting the European Automobile Manufacturers’ Association, BrumBrum said the European auto market is worth €300-€400 billion.
As a first step, however, BrumBrum will work on strengthening its brand as a retail vehicle seller. It’s just launched an advertising campaign to help with this mission.
Founded in 2007, the site offers private customers the choice of buying a used or nearly new car or long-term rentals. The company buys inventory, checks these vehicles, and repairs them in its own workshop before listing them.
Brumbrum enjoys solid commercial relationships with its suppliers. The company attributes its success to a sophisticated pricing and research system through machine learning, that drives purchasing decisions.