Getcha, an online car sale platform in South Korea, has recently bagged 8 billion won ($6.7 million) funding from large companies including SK Energy and venture capitals thanks to its growth potential as a comprehensive imported car dealing platform.
“The funds will be used to recruit R&D staffers and enhance digital marketing with an aim to lead the car life market in Korea,” said Getcha CEO Jung Yoo-chul in an interview with Maeil Business Newpaper on Wednesday.
Jung left Samsung Electronics in 2015 to establish Getcha, a platform that provides car price information and connects buyers to dealers and lenders. It is known for offering the cheapest-possible prices for imported vehicle buyers as it can cut costs by not running offline stores or hiring dealers, which has helped it build up a vast base of both buyers and dealers.
“Buyers spend nine weeks on average on searching information related to the car they want to buy, and we have improved the entire system to provide all-in-one service from search to purchase on the platform,” said Jung. Users who end up buying a car on Getcha share their experience and know-how by saying that they are “graduating” from Getcha, he said.
Getcha CEO Jung Yoo-chul
Getcha has 510,000 or more customers and 1,600 dealers. Among them, around 700 dealers are actively engaged in sales by providing real-time price information of 1,500 vehicle models from 27 brands.
Its main business model is to match buyers to dealers and insurers who pay monthly subscription fees, which generate around 70 percent of its profit. SK Energy has joined the recent funding to make use of the massive amount of information on the platform.
Jung said he will do his best to make Getcha a platform where people interested in cars can share information and communicate actively. He said he hopes buying a car online will one day become the norm.
By Chun Beom-ju and Choi Mira
[ⓒ Pulse by Maeil Business Newspaper & mk.co.kr, All rights reserved]