NEWS

2023 was a record year for AUTOROLA Brazil while 2024 looks set to be even better

Written by Autorola in category 
February 29, 2024

 

We caught up with Marcelo Cabral de Barros to find out why AUTOROLA Brazil is experiencing such a strong period of growth and expansion.

2023 was an important year for the territory, as we not only enjoyed record growth in sales, with a 3X improvement over 2022, but we also saw a huge 250% increase in turnover in the region, setting record levels for both.

It is equally pleasing to report that both our market penetration and customer retention levels show that this growth is not just a flash in the pan, but rather a foundation from which we can build in 2024.

Solutions

A big driver of this growth has come from the relationships that we have built with OEMs and their banks and leasing companies within Brazil, as well as the consolidation of our Solutions product which is helping these companies to manage their assets effectively and securely in-life and then de-fleet rapidly at the end of contracts.

Our biggest customers are VW Financial Services, Toyota Bank, Porsche, BMW Group and Toyota Kinto, as well as a growing number of smaller Brazilian lease companies, all of which have come to rely on Solutions to manage their vehicles across a wide geographical area.

Marketplace has launched successfully in Brazil with more than 15,000 active buyers

As a minimum, each participating OEM now has its own branded weekly auction on Marketplace, with several brands holding more than this. We also now hold an end-of-month, multi-brand auction for all vehicles, which attracts a large and diverse group of buyers from across the entire country.

Our buyer profile has widened since we launched Marketplace, and while the majority are located in the major cities and conurbations in the South, South East and Central regions of the country following our consolidation within these regions, we will continue to push heavily into the North and North East of Brazil to expand our buyer base further across a wider geographical area.

INDICATA: leading the way for service levels in Brazil

We are investing in which will help to integrate into the OEM and dealer networks in Brazil. We are confident that by focusing on dealer groups first, then lease companies, and finally OEMs, we can instill INDICATA into the Brazilian used car market from the ground up. Considering that there are currently more than 7,000 OEM dealers across Brazil that could benefit from INDICATA, there is a huge opportunity for our growth in this sector.

Feedback from existing customers is that the transparency that Autorola and its associated products bring to the used car market in Brazil is a unique differentiator, which will allow us to expand and further integrate our service offerings within the automotive landscape in the future.

To this end, we are planning to integrate our three business units further in the coming year, so that we can offer a holistic service package to our Brazilian customers, which would make for a truly unique proposition in the territory.

 The used vehicle market in Brazil shows no signs of cooling off

The way in which the Brazilian market favour used vehicles over new is unique to the territory, and largely driven by the limited availability of new cars in Brazil. In 2023, just 2.2 million new vehicles were registered, while more than 14 million used vehicles changed hands.

As a result, the used car market in Brazil is one of most aggressive territory in the world, and this level of buyer competition provides a great backdrop from which to sell our products.

Secure asset management for the leasing companies and banks, easy de-fleet capabilities, high conversion rates at our auctions, and of course, accurate valuations help both vendors and buyers alike to keep the Brazilian market buoyant.

We look forward to continuing our growth and diversification in 2024.

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