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Bangalore-based Incredible Technologies Private Limited (CredR), has raised Rs. 48.1 crore ($ 6.5 Mn), 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. The funding will be used towards consolidating its market position, strengthening its technology platform, and expanding customer offerings.
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.
Speaking about the company’s goal for the future, Sasidhar Nandigam, Co-founder, CredR said, “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.”
Elaborating further on CredR’s fundraise, Nandigam said, “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 catalyzed the already existing demand for affordable private mobility in India, and these funds will allow us to scale rapidly and fulfill this demand.”
Commenting on this investment, Hajime Aota, Senior General Manager of New Venture Business Development & R&D Strategy Section, Technical Research & Development Center of Yamaha Motor Co., Ltd., said, “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.”
Aditya Misra, Principal, Omidyar Network India, said, “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.”
Kavish Kothari, Principal, Eight Roads Ventures, said, “The pandemic has caused a significant shift in consumer behavior when it comes to mobility. Consumers today are considering owning their 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.”
Due to the economic situation created by the pandemic, consumers looking for vehicles are increasingly inclined to purchasing personal two-wheelers. 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.