Online marketplace OLX plans to open 150 ‘offline’ stores for buying and selling of used cars across India

• OLX is planning to expand its offline used car business under the brand ‘Cash My Car,’ which will bring direct buying and selling of used cars.
  
• The company is reportedly planning to set up 150 stores across 40 cities in India by 2021.
  
• Currently, OLX has 27 stores operating in New Delhi, Gurgaon, Faridabad, Noida, Ghaziabad, Bangalore, Mumbai, Hyderabad, Pune, and Chennai.

OLX, an Indian online marketplace for pre-owned goods, is making a big push into the used car business, with plans to expand its operations, opening up to 150 used car stores across 40 cities in India by 2021.

The used ar business operates under the ‘OLX Cash My Car’ brand in collaboration with Germany Frontier Car Group (FCG). Currently, OLX has 27 stores that operate in New Delhi, Gurgaon, Faridabad, Noida, Ghaziabad, Bangalore, Mumbai, Hyderabad, Pune, and Chennai.

OLX claims the new venture will speed up the entire process of selling a used car within 45 minutes, from inspection to online auction and payments.

India’s used car market has witnessed a steady growth over the last few years from ₹385 billion in 2011 to ₹960 billion as of September 2018. The used car market may shoot up by 15% to touch ₹2,500 billion by 2021, according to an Economic Times report.

This venture will operate under OLX Auto, which generates nearly 25% of the overall revenue and is currently the largest revenue source for the company.

OLX will directly own all the new stores, according to a Mint report.

Taking into account the growth rate of the used car business, which is 15%-16% annually, the company is expecting a steady rise in the offline business.

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