China’s leading pre-owned car e-commerce platform Uxin, Ltd. (Nasdaq: UXIN) went public on NASDAQ in the U.S. on June 27, 2018. As the very first Chinese secondhand cars and truck e-commerce platform to have gone public in the United States, Uxin aims to continue to be an incorporated online and offline used cars and truck trading platform.The advancement
of an across the country used car platform Going public isa big milestone for Uxin, as Dai Kun, the business’s chairman and CEO, said to a group of 200 reporters in Beijing through live video feed.
“We feel more committed than ever to keep pursuing our vision: providing individuals the benefit to purchase acceptable and trusted cars,” he stated.
Initially priced at 9 dollars a share, Uxin has raised USD 400 million including convertible bond. According to the prospectus, the funds will be mostly used to enhance the capability of trading services, advance technological research and development, etc.Founded in 2011, Uxin
progressed from a B2B platform for pre-owned car trading to an extensive platform that now permeates the total used cars and truck industry chain. At present, it has been involved in a number of service sectors consisting of used automobile B2B and B2C services, new vehicle sales, automobile financing, car logistics, after sales service, and more. Supposedly, Uxin comprised more than 40%of the used e-commerce car market in 2017. Supplying trans-regional trading services
for consumers is a key strength for an utilized car e-commerce business. According to Dai, Uxin has actually carried out service in more than 270 cities across China, running more than 670 offline shops and using 10s of thousands. Consumers are able to gain access to trans-regional transfer procedures, get after-sale services, and take advantage of one-stop financial services. Doing all of this has permitted Uxin to construct up a complete supply chain of used car services.Advances made by AI The acquiring of utilized vehicles in China dates back
to a decade earlier, and the utilized car trading market is presently experiencing a period of development. China is the world’s biggest vehicle market, with nearly units offered in 2015. According to global research firm iResearch, China is the world’s second-largest vehicle market and is anticipated to become the biggest automobile market by 2023.
A rise in the used-car sector has actually developed extreme rivalry among competing brand names. Uxin worked with Hollywood star Leonardo DiCaprio earlier this year to endorse its brand name, while leading rivals Renrenche and Guazi contracted local actors Huang Bo and Sun Honglei, respectively.
Both customers and companies in China deal with significant challenges in purchasing and selling used cars, such as access to just a limited variety of cars, insufficient and unreliable details about automobiles, and intricate deal processes.The emergence of used cars and truck e-commerce business, nevertheless, completes the gaps. These business attend to the aforementioned concerns by making it possible for consumers and companies to find, assess, and negotiate utilized cars and trucks throughout China, providing a trustworthy and one-stop deal experience.According to Dai, expert system in the field of used car e-commerce has actually been mostly utilized throughout 4 applications. The very first is the use of AI to discover automobile quality. With this application, Uxin has actually established a big vehicle repair work and testing database. The second benefit of AI is the ability to record and track utilized automobile trading rates. Furthermore, AI technology assists to match consumers’needs and hence permits individuals to find their preferred vehicles. The last application is to offer funding and after-sale services. It was reported that Uxin’s GMV (gross merchandise volume)reached RMB 11.6 billion(USD 1.75 billion)for Q1, making up a 47.8%boost year over year. Its income grew to RMB 649 million(USD 98.1 million )for Q1 increasing by 93.2%, while its gross profit for Q1 was RMB 427 million(USD 64.5 million)and increased by 119%.(Top picture from Uxin)