Truebil hits Rs 100 crore in annualised revenue run rate
MUMBAI: Online marketplace for used cars Truebil has crossed Rs 100 crore in annualised revenue run rate as of March 2018. The revenue growth for the Kae Capital and Shunwei Capital backed firm comes on the back of a series of customer-centric offerings that the Mumbai-based company launched since its last fund raise in February 2017 especially its full stack model and B2B dealer models.
The company`s two year old full stack inventory model, Truebil Direct, has been at the forefront of this growth forming almost 50% of the company’s revenue share.
“We clock 300 transactions per month and have reached a turnover of Rs 7 crore per month for Truebil Direct alone,” said Shubh Bansal, Co-founder of Truebil. “This category gives us gross margins of about 7-9%,” he added.
To be sure, Truebil clocks about 850 transactions per month across the platform with its marketplace model and the newly launched B2B dealer auctions accounting for the remaining 550 transactions.
In a bid to improve the supply churn of cars available on the platform, Truebil launched its B2B auction platform about 4 months ago and has tied up with about 600 dealers across 3 cities for the offering.
“Under our other models, we don’t take cars that have travelled over 1 lakh kilometres and those that are older than 2010. Now with B2B, we have the ability to take such cars in our supply because we have a channel of the business to offload such supply,” explains Bansal. The B2B dealer network in turn extends to those cities where supply is not as easy to come by as in metros.
Within 4 months of its launch, the B2B offering contributes Rs 2 crore in monthly revenues taking total revenues to about Rs 9 crore in March 2018.
The 3 year old firm has also launched Truebil Luxury under the used car marketplace model and has listings of about 200 cars across BMW, Audi, Jaguar, Mercedes Benz, amongst others.
Targeting to grow the luxury category from 10 transactions per month to about 100, Truebil is also betting on the category to grow strongly to aid its net margin target of 10-12% at a company level by 2018-end.
Truebil is looking to raise another round of capital by the end of 2018 to build on brand awareness and geographical expansion and will look at setting up operations in Chennai, Kolkata, Hyderabad as also Jaipur and Pune.
The company`s two year old full stack inventory model, Truebil Direct, has been at the forefront of this growth forming almost 50% of the company’s revenue share.
“We clock 300 transactions per month and have reached a turnover of Rs 7 crore per month for Truebil Direct alone,” said Shubh Bansal, Co-founder of Truebil. “This category gives us gross margins of about 7-9%,” he added.
To be sure, Truebil clocks about 850 transactions per month across the platform with its marketplace model and the newly launched B2B dealer auctions accounting for the remaining 550 transactions.
In a bid to improve the supply churn of cars available on the platform, Truebil launched its B2B auction platform about 4 months ago and has tied up with about 600 dealers across 3 cities for the offering.
“Under our other models, we don’t take cars that have travelled over 1 lakh kilometres and those that are older than 2010. Now with B2B, we have the ability to take such cars in our supply because we have a channel of the business to offload such supply,” explains Bansal. The B2B dealer network in turn extends to those cities where supply is not as easy to come by as in metros.
Within 4 months of its launch, the B2B offering contributes Rs 2 crore in monthly revenues taking total revenues to about Rs 9 crore in March 2018.
The 3 year old firm has also launched Truebil Luxury under the used car marketplace model and has listings of about 200 cars across BMW, Audi, Jaguar, Mercedes Benz, amongst others.
Targeting to grow the luxury category from 10 transactions per month to about 100, Truebil is also betting on the category to grow strongly to aid its net margin target of 10-12% at a company level by 2018-end.
Truebil is looking to raise another round of capital by the end of 2018 to build on brand awareness and geographical expansion and will look at setting up operations in Chennai, Kolkata, Hyderabad as also Jaipur and Pune.