Cazoo, which just recently launched on the New York Stock Exchange (August 27, 2021), has acquired European data insight company Cazana for £25m ($34.5m) cash.
The online car portal, which recently added a car subscription to its new and used car offering, will benefit from Cazana’s real-time valuations, pricing trends and stock management software, as well as the tools it provides to vehicle manufacturers, lenders, fleet owners and insurers.
Also included is an extensive dataset of more than 500 million historic vehicle prices from more than 40 countries.
Cazoo says the deal will allow it to further optimize its car buying and pricing as it grows its business across the UK and Europe.
According to mobility consultant at Grace Automotive, Alex Georgianna, it will also allow Cazoo to better control used car pricing more accurately. Commenting on the acquisition, Georgianna said:
“In adding pricing technology to its well-acknowledged promotional expertise, Cazoo will increasingly set market pricing among all retailers.”
Following its launch in the UK two years ago, Cazoo has already sold over 35,000 cars saying that used car buyers have embraced the selection, transparency and convenience of buying and selling used cars entirely online.
Alex Chesterman OBE, founder and CEO of Cazoo said: “Cazana has built one of the leading data insights platforms, providing tools which are used by manufacturers, lenders, fleet owners and insurers in the automotive space. This acquisition will enhance our data team and capabilities and enable us to further optimise our buying and pricing of vehicles across the UK and Europe. I am looking forward to welcoming the Cazana team to Cazoo as we continue our mission to deliver the best car buying and selling experience to consumers across Europe.”
London headquartered Cazana’s 50 staff will transfer with the new ownership, while CEO Tom Wood and COO Chris Varin will remain with Cazana’s other Car & Classic business, which did not form part of the deal.