Our client is the largest vehicle remarketing business in Europe, with 5,000 employees and an annual turnover in excess of EUR 4 billion. It is specialized in physical and online auctions with and coordinates the sale of over 1 million vehicles per year in 12 European countries. The company sells on behalf of a wide range of vendors including fleet owners and small companies, leasing and finance companies, car dealers, car importers and manufacturers.
- Our clients was holding a minority share of a car remarketing business in Brazil that was operating under its license and using its brand and technology.
- It was considered to step up its footprint in Brazil and possibly acquire the majority of the local business.
- In order to support this decision, the company asked us to evaluate the market and its future attractiveness.
- We evaluated the macro-economic development and profiled the Brazilian car market, its players, structure, size and trends with focus on fleet remarketing.
- Consequently a market model was developed, reflecting the transaction flows of cars between the different segments and market players.
- Relevant fiscal and auction-specific regulation for car transactions was analyzed
- Finally, the attractiveness of different target clients was assessed and a recommendation for an appropriate go-to-market strategy given.
- The attractiveness of the Brazilian market for car fleet remarketing was confirmed based on overall car market development, significance of fleets (companies and government, rental, repossessions, banks/leasing) and the needs of the fleet owners.
- As result of our study, the client decided to acquire a majority of the Brazilian entity and invest into growing the business in Brazil and possible in a next step in other countries of Latin America.