Carro, Carsome jumpstart SEA's post-Covid used car race

There's a US$55 billion used car market opportunity in Southeast Asia. Pan-region players like Carro, Carsome, and the Indonesia-specific BeliMobilGue—or even the fresh-from-the-oven TiinTiin—are revving up to capitalise on the new rush for old cars

Used cars gain popularity as public transportation and ride-sharing services take a nosedive in commuters’ confidence

Transactional used car marketplaces like Carro and Carsome are banking on that pent-up used car demand once markets reopen

Southeast Asia’s used car market, with a 97% room for growth, is a blue ocean for startups to emerge in the space

Beyond the used car space, the auto-lending sector is also a huge market—eight out of 10 car buyers will take up financing

Who buys cars during a strict lockdown with zero mobility? No one.

But who buys cars when they realise they’ll need a vehicle when things start to open up—in a world where taking public transport is a life risk? Definitely a good number of people.

According to a consumer survey run by Malaysian used car marketplace Carsome in April, 76% of its consumers are reluctant to commute with ride-sharing or public transportation. Meanwhile, in India, the pandemic could very well mean the end of the road for carpooling services carpooling services The Ken A Covid pit-stop to fix Uber, Ola’s broken pool system Read more offered by ride-sharing giants Ola and Uber.

AUTHOR

Ka Kay Lum

Based in Kuala Lumpur, Ka Kay covers investment activities, aka following the money, across Southeast Asia and in-depth stories on the often-overlooked Malaysian startup ecosystem. She was previously a regional writer for Nikkei-owned DealStreetAsia.

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