Large European online car retailer Auto1 strikes new supply deal
28 February 2022
Auto1 Group, one of Europe’s largest online retailers for buying and selling used cars, has struck a deal with Munich-based Allane Mobility – formerly known as Sixt Leasing – to secure supply of around 10,000 leased-car returns and fleet vehicles per year.
The partnership allows Allane to expand its network of 60,000 buyers in 30 markets across Europe. Dealers can access Allane’s vehicle inventory of returns through a fully automated interface (API). As part of the agreement, this inventory is integrated into Auto1’s online offer as a catalogue auction.
The weekly auctions include 250 to 300 lease and fleet cars. Buyers can then access Europe-wide logistics support provided by Auto1’s network, which includes 300 partners. At a fixed price, vehicle delivery is fast and happens within a few days. Having teamed up with Auto1, the company has a strong partner on board – since its launch in 2012, Auto1 has sold more than three million cars and is one of the market leaders in Europe, with 600,000 vehicles sold annually.
‘The technical connection of the systems has worked without any problems and the first runs have delivered very satisfactory results,’ said Andreas Birgmann, remarketing director at Allane. ‘With its focus on the digital business model for the commercial-vehicle trade, Auto1.com is an ideal partner for us to efficiently market our lease returns and fleet vehicles. The innovative spirit that emanates from both sides is an excellent prerequisite for joint business success.’
As a provider of online direct sales of new vehicles in Germany, Allane’s private and commercial customers use its sites sixt-neuwagen.de and autohaus24.de to lease new vehicles. In 2020, the group reported consolidated revenue of €748 million.
Active buyer network
Meanwhile, Auto1 is one of Europe’s unicorns, a startup with a valuation of more than €1 billion. The company is based in Germany and operates several brands focused on buying and selling cars online. Auto1.com is the merchant arm and a wholesale platform for car-trading professionals. The platform allows partner dealers to digitise their used-car businesses. It gives sellers the opportunity to market vehicles digitally to the entire dealer network.
Autohero, the company’s consumer retail arm, was Europe’s fastest-growing digital brand in 2021. Customers can buy used cars that come with a 21-day money-back guarantee, and a one-year warranty. The partnership between both companies is also set to benefit the Autohero brand, as its inventory is expected to expand significantly.
‘We are proud that our high-quality vehicle inventory on both Auto1.com and Autohero continues to grow through the annual offering from Allane Mobility Group,’ said Jost Dieckhaus, vice president remarketing Europe at Auto1 Group. ‘Through our very active buyer network in Europe, our new partner Allane benefits from the vibrant and dynamic bidding behaviour of dealers and high consumer demand for used cars, resulting in excellent prices.’
Dieckhaus added that car dealers are constantly on the lookout for high-quality vehicles that they can market at a profit, especially as the market is experiencing shortages. Its registered partners can use a diverse inventory and the associated services from Auto1.com. Europe’s €400 billion used-car market is thriving, giving online car retailers plenty of opportunities to cash in on the upward trend.
Last year, Auto1 announced the expansion of its partnership with Volvo. This gives registered Volvo dealers in Germany the chance to digitise vehicles for a Europe-wide auction, adding to the company’s digital-platform offering.