Cazoo, a British auto vertical that offers home delivery, launched in the U.K. today. The company also announced that it raised an additional £25 million ($32.3 million U.S.), bringing its pre-launch funding to over £80 million. Cazoo plans to use the funds to expand its team and invest in marketing and operations.
The company launched with over 1,500 cars in stock, all owned by Cazoo. Every vehicle receives a 150-point inspection, is reconditioned to a range of high standards and kept on site prior to a sale.
Buyers can view cars online through high-quality, 360-degree images and see its features and history. Prices are fixed, removing the need for haggling. Customers can arrange financing and exchanges online, which Cazoo collects when the new car is delivered. If customers are not happy, Cazoo will collect it for free, no questions asked, within the 7-day warranty period.
The business is the latest venture from Zoopla and LoveFilm founder Alex Chesterman. By moving the car buying process online, it aims to deliver better selection, value, convenience and quality to used car buyers in the U.K.
“Used cars are one of the last remaining consumer markets yet to benefit from any digital transformation,” said Chesterman, founder and CEO of Cazoo. “Cazoo makes used car buying simple and convenient like buying any other product online today. We take away the need to travel, to haggle, to spend countless hours at a dealership and to risk any buyer’s remorse.”