Business Forum • 24 July, 2024 at 12:51 PM
Direktcar.ro, the first car auction platform on the local market, through which Romanians can sell or buy cars, wherever they are and up to 5 times faster than through other methods, is officially launched. The platform brings a remarkable innovation in the automotive field: the unique technology of online real-time viewing of passenger cars. This technology revolutionizes the way Romanians can purchase vehicles, allowing the presentation and purchase of cars from any locality in the country or abroad.
With an intuitive interface, adaptable to mobile devices and easy to use, the Direktcar.ro online car auction platform is dedicated especially to individuals who want to sell or buy second-hand cars, online, from the comfort of their homes, without having to move only before the purchase. The investment in the development and launch of the platform amounts to €500,000. The platform provides an intuitive, easy-to-navigate bidding process for individual users or car dealers.
"We created an online car auction platform to improve the way used cars are sold, so that they are sold faster and at a fair price based on supply and demand. If through a classic car sale ad you don't know when the transaction happens, at the auction this term is clearly established. As a rule, a sale through a classic ad can last up to 6 months, but through the auction method the sale can take place between 14 and 30 days. There is only one viewing day and one closing day for the car auction. In addition, a considerable advantage is the fact that the car owners are the ones who sell, not the auction house – the Direktcar.ro platform is a channel for promotion and accelerated sales, and the transaction is concluded directly between the owner and the buyer, usually in a physical encounter. The second-hand car market is constantly growing in Romania, and in most cases Romanians want to sell or buy the desired car as quickly as possible, which is why the auction is an effective method and appreciated by users regardless of their purpose," says Cristian Aconi, founder of the Direktcar.ro online car auction platform.
In the first months since the platform became available, the number of car listings on Direktcar.ro has grown up to twice as much month-on-month, with hundreds of cars currently up for auction.
How online car auctions work - how second-hand cars are sold and bought
Online car auctions on Direktcar.ro work like a standard auction, with the difference that they take place online, and the cars are sold directly by the owners. Used cars are listed on the platform with a starting price, but which is lower than the minimum price desired by the seller. The price is to increase depending on the offers of potential buyers.
Those who want to sell or buy cars through car auctions on Direktcar.ro must create an account on the platform. Sellers must fill out a form with a range of information about the car and related photos. They can also set a "reserve price", that is, a minimum price below which they will not be obliged to sell the car, unless it is reached or exceeded by auction. If this option is not set, the car will be sold at the highest price obtained in the auction.
Car auctions start 7–14 days after cars are listed on the platform, during which time potential buyers can review and view the cars. The auction can last up to 7 days, and the duration of the auction and the date and time of the closing of the auction are set by the seller, during which time buyers offer the desired price above the last listed price.
The auction closes at the last price offered, with two minutes to close. If a new bid appears in the last two minutes of the auction, the auction will be extended for another two minutes until no one else bids more. If no new bid appears within this interval, the auction closes. If the price obtained is above the minimum price, the buyer will be directed to the checkout. After paying the auction fee of 1% of the purchase price, the contact details of the buyer and seller will be automatically sent to each of them. If the price obtained is below the set minimum price, the seller will receive an information email and will be able to decide whether to accept that price or reject it. If they accept the sale price below the minimum price, the buyer will be notified and directed to the checkout. After paying the auction fee, you will receive the seller's contact details. The sale-purchase transaction takes place directly between the owner and the buyer in a physical meeting.
What is online car viewing in real time
Before purchase, cars can also be viewed online for greater efficiency. The real-time online car viewing feature allows users to participate in live auction car show sessions, similar to a Zoom or Skype call. In these sessions, the seller and potential buyers interact in real time, providing an authentic viewing experience. The seller sets a date and time slot for viewing the car, which can last between 30 minutes and 2 hours.
Viewing used cars before the purchase is an important step for potential buyers, so Direktcar.ro platform regulations require that, before each car auction, there is a viewing day with a precise place chosen by the seller and marked on an interactive map Google. Viewing is limited to a time frame set by the car seller (30 minutes to 2 hours), and during this time all interested parties can go and inspect the car they wish to bid on.
"However, we noticed that, most of the time, those interested in a particular car were far from the car's place, so few people could go to view it, and then we set out to create an online channel, so that in at the same time and from the place where the car is found, the seller can present the car to those interested. With this feature, we hope not only to increase the chance of selling the used cars put up for auction by our customers, but also to get fair prices due to the increase in the number of auction participants. It's understandable that someone who hasn't had a chance to inspect the car will be more reluctant to offer a high price. This method opens the window to an unlimited number of bidders from any region of the country. The fact that car viewing was only physically possible until now limited buyers' intention to actively participate in car auctions. From now on, we expect that after viewing used cars, the number of participants in car auctions will increase, and by implication the number of successful transactions. Practically, on the day and time set by the car seller, there may even be 100 interested buyers, who will be able to see the car that will be presented by the seller. The chance of a trade increases by 100% in our opinion. Those who have used it so far have been impressed," explains Cristian Aconi.
In order to be able to implement the online viewing option, Direktcar.ro uses a collection of open source projects, through Jitsi as a Service (JaaS), which facilitates a complete integration into the platform of the videoconferencing capability, with the possibility of restricting access to users only validated and interested in participating in the online viewing of a particular batch.
On the Direktcar.ro platform, between 200 and 500 cars are constantly available for sale by auction, and the number of transactions is increasing rapidly from month to month. The most sought-after brands are BMW, Volkswagen, Audi, Mercedes-Benz and Ford, and among the most sought-after used car models are the BMW 3 Series, Volkswagen Golf, Audi A4, Mercedes-Benz E-Class and Ford Focus.