Cazoo losses

[Rbs 1]

Cazoo business plan was to loose £70m in first 3 years of trading, latest results show £102m loss in 1st 6 months of 2021. Majority of dealer groups showed good rise in profits for last years trading with some up over 40%. Is this Good news for traditional car dealers? Anyone think this will give new players like cinch a wake up call? 

[Halfpenny 114]

Its all about grabbing market share with these companies. Cazoo is backed by a billionaire (Alex Chesterman) and the Daily Mail (22%).  They don't mind big losses for a few years if they can squeeze out the competition.

[petrol head 46]

I think their business model is wrong, I posted on another forum, not motor trade, and 84% said they wouldn't buy a car without seeing it. The 3 month warranty is also a joke.

Ultimately they offer nothing new and nothing a conventional dealer doesn't offer.

[BHM 994]

44 minutes ago, petrol head said:

The 3 month warranty is also a joke.

Why? Is it poor parts coverage?

[David Horgan 564]

Cazoo prices have risen above the new levels , probably trying to make a few quid 

[petrol head 46]

So with the proposed take over of Marchalls, who have 169 Franchised Dealers, the valuation is less than 1/2 of Cazoo?

Has the world gone mad! 

[MarkTVS 209]

On 10/4/2021 at 5:20 PM, BHM said:

Why? Is it poor parts coverage?

I beg to differ tbh, I bought a car from them, found it to be delivered exactly when they said it would. Came as described with an Rac warranty. Can’t fault them tbh. I retailed the car I bought from them as it was cheap