Financial blueprint for big search car: backed by ant gold clothing, "10% down payment" hits the world.


Financial blueprint for big search car: backed by ant gold clothing,

Author: Liu Ying Ho Sasa

Following the $578 million financing of the F-Round, Grand Search has completed more than $1.1 billion in financing, with its cart as its main financial product. At present, the number of offline stores has reached 4,000, and it is expected that by the end of 2018, 8,000 offline stores will land with carts.

Rapid expansion benefits from its "10% pay" business model. Behind the rapid expansion is the challenge of increasing the capability of wind search and control of large search vehicles. Can the wind control system of large search cars be maintained independently? In this regard, the relevant person in charge of the search vehicle to the "China Business News" reporter said that ant gold clothing in the search vehicle plays a very important role in the wind control. Alibaba and ants are the strategic investors of big search cars, and there are no other friends. Besides, besides Alipay's wind control system, there are other wind control measures.

"10% down payment" to seize the market

It is reported that the cart is a large search vehicle combined with ant gold clothing launched by the "10 down payment, first use after purchase" flexible car purchase program.

According to the search engine, it has completed a new round of financing of $578 million, the previous round of $335 million financing was announced in November 2007. Yao Junhong, founder and CEO of Dasong, disclosed in an internal email that the main purpose of this round of financing is to increase investment in technology, accelerate the digitization, online and intelligent of the automobile circulation industry, accelerate the service upgrade of the cart, and continuously improve the user experience; and strengthen the pair of financing. The management and construction of the organization will enhance the cooperative combat capability of the new retail ecology.

At the same time, nearly 4,000 community stores under the banner of Da Sou Che have been located, covering 30 provincial administrative units, 313 cities, and the channel sank to 1,877 districts and counties. According to statistics from the Ministry of Civil Affairs, at the end of 2017, there were 2851 county-level administrative divisions in China, and the coverage rate of cart shops in communities has reached 66%.

The rapid expansion of the search engine has benefited from its business model. Bullet car is a "1 + 3" model, the first year belongs to the car lease period, during which the ownership of the car belongs to the search, the owner of the car through the payment of down payment and rental access to the right to use the vehicle; a year later, the buyer can choose a one-time settlement of the tail money or a three-year 36-period purchase, that is, into the car purchase by stages; The vehicle is returned to the big search vehicle, and the vehicle goes directly to the second-hand replacement link.

PricewaterhouseCoopers Slater China Automobile Consulting Business Manager Partner Peng Bo told reporters that in the case of poor car sales, auto finance is easier to pull consumption. Because people's willingness to consume is low, such as auto finance "10% down payment" such a model will have a greater attraction, so auto finance has more opportunities when the market declines, which is one of the reasons why auto finance has a better development and penetration rate continues to improve.

According to Zhang Yexia, a senior researcher at Yingcan Consulting, the "10% down payment" lowers the threshold for car buyers and enlarges the number of potential users, thus contributing to market share. And then a number of platforms to follow up the "10% down payment" can be said to be this model has been recognized by the market, and the cart is indeed a high market awareness.

Industry insiders pointed out that whether in the first year of lease or three years after the phases, can bring very considerable profits. At the same time, it also meets the psychology of many people at present. In addition, the design of the cart skillfully avoids the price system of the 4S store. The price of the financial lease consists of three parts: down payment, monthly payment and tail payment. Consumers can not simply add up the price of the cart because it also includes insurance, interest and channel commission, which is sold to the new car in the form of rent-for-sale. A breakthrough in car sales, while avoiding the impact of the car factory channel, but also to avoid competing with second-hand car dealers.

The big search vehicle aspect indicated that the big search vehicle pattern is uses the Internet technology comprehensive digitization automobile transaction scene, carries on the on-line intelligent disposition to the automobile transaction scene related each kind of assets (person, goods, money, field). Many companies can follow the "down payment" financial plan, but it is difficult to imitate the moats built on data, the service capabilities brought about by the huge offline channels, the ecological closed-loop of new automobile retailing, and the financial capabilities brought about by the strategic cooperation between carts and ant suits.

Complementarity of wind control system

The key to "10% down payment" is to attract consumers to buy cars as soon as possible. That's why, Pomper emphasized, the bullet owners hit a low threshold, not a low price, essentially doing financial business. And this business model really needs very strong capital to support it.

In terms of financing, although after completing the F round of 578 million U.S. dollars in financing, the Grand Search has completed more than $1.1 billion in financing. But looking at other competitors, Yixin Group (02858.HK), Interesting Store Group (QD) and Youxin Used Car (UNIN) have all been listed, many of which have reached $1.4 billion on B and C wheels alone.

Under such circumstances, the need for rapid development leads to large-scale demand for capital increase. The number of cooperative banks and the ability to issue ABS are the weights of the supplementary funds for search engines.

Data show that from 2017 to mid-2018, the cooperative banks and financial institutions of Dasuichi have risen sharply, while issuing a number of ABS products.

In 2016, when Big Search announced that C-wheel financing was jointly participated by Ant Gold Suit and Shenzhou Rental Vehicle, it was mentioned that Ant Gold Suit would be able to search vehicles in finance, credit, risk control and other aspects, to help the large number of second-hand and new car dealers, and jointly promote the development of automotive finance innovation business.

In terms of wind control, the big search vehicle said Alipay and car second loan played an important role in the air traffic control system, including Alipay's real name authentication and real person authentication, as well as the strategy of car loan lending.

Big Search has established an independent and complete air control system based on automobile scenarios, which consists of anti-fraud and credit models and strategies before, during and after loan. It contains four categories of thousands of dimensions of information: information based on car dealer SaaS, customer information based on internal and external data, transaction scenarios, and various types of information about car assets. In addition, in terms of product pricing and asset market risk, Big Search uses residual pricing model and strategy based on second-hand vehicle trading.

The wind control system of Ant Golden Clothing and the wind control system of Big Search Vehicle are complementary. Especially in the specific scenario of automobile, the use of the whole life cycle wind control strategy is more prominent based on the whole link of transaction.

The wind control system of the big search car is a combination of online and offline, covering the whole process of buying and selling cars. Ant gold clothes play a very important role in wind control. Great search vehicles and ant gold clothes have been working closely together to create a wind control model for cartridge products by combining the ant wind control model with the data accumulated by Great search vehicles for many years in the automobile circulation industry.

However, if you leave the ant suit, can the wind control system of a car be independent?

Interesting Store Group, which is also active in auto finance, will not renew its cooperation agreement with Ant Gold Clothes when it expires at the end of August, and will not be able to access potential borrowers through the latter's application interface, nor will it be able to use its scoring system to analyze customers. On the day of the news, the price of the group declined by more than 12%. As of September 13th, the market value of the group has slipped from $10 billion at the beginning of the listing to $1 billion 600 million.

Zhang Yexia believes that since the cartridge is an innovative application of consumer scenarios, Ant Golden Clothes provides traffic support, sesame credit evaluation, etc., and has a high degree of support for the search business. If the future withdraws, both traffic and wind control may have an impact on the car business.

However, Yao Junhong had previously disclosed that more than 50% of the passenger flow from the bullet car is offline, and this flow channel will continue to expand in the future. Peng Bo pointed out that the cart investment is relatively small, fast shop opening, private capital can afford to invest, the expansion speed is particularly fast. This will be online and offline through the model, the future dealer model is a very big touch.


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