Introduction

Cazoo, a UK-based car platform announced that it has acquired the German car subscription company Cluno. The acquisition is one of the many acquisitions made by Cazoo in 2021. Over a couple of weeks ago, Kazoo made the headlines when it acquired England’s vehicle storage and reconditioning company Smart Fleet Solutions. Details regarding the acquisition have not been disclosed by the company.

According to a survey conducted by Mckinsey, the subscription-based model has tremendous scope and likely to represent nearly 20 percent of the market by 2025. Banking on this trend, both the companies have come together to accelerate the digital transformation of car subscriptions in Europe. 

Reason to acquire Cluno

After recently going through with the acquisition of Drover, this deal solidifies Cazoo’s position as a top player across the European Cars-as-a-Service (CaaS) market. Cazoo, which is already one of the fastest-growing companies in Europe will leverage this deal to expand its international presence. The company aims to revolutionize the car buying experience across Europe. 

The recent acquisition will combine Cluno’s experience and automotive relationships with Cazoo’s funding and platform and upon integration will pave the way for Cazoo to expand its presence across Europe. It will allow customers to purchase, finance, and subscribe to over a thousand cars that are listed on its platform. 

Alex Chesterman OBE, Founder, and CEO, Cazoo, said that Cluno has created a stellar offering across the car subscription market in Germany. He added that Cluno will soon launch a complete Cazoo proposition in Europe in the upcoming months from the company’s European headquarters in Munich. 

Nico Polleti, Founder and CEO, Cluno said that he is proud of what Cluno has to offer in terms of customer experience and that Cluno’s growth strategy perfectly aligns with that of Cazoo. According to him, the new deal will fuel the digital transformation of car subscriptions and buying in Europe.

 See Also: Indian tech giant TCS to hire 1500 staff in UK in 2021

More about Cazoo & Cluno

Cazoo was established by Alex Chesterman in 2018 and one of the leading online car retailers from the UK. The company owns and reconditions its cars before listing them on its platform. Customers can choose from a wide range of cars that are available for collection or delivery within 72 hours. 

Cluno was founded in 2017 and provides a seamless alternative to car ownership. It offers a broad selection of car models which are available at a monthly subscription fee. Apart from the car itself, the subscription fee includes maintenance, service, insurance, and warranty tax. 

Conclusion

The acquisition of Cluno by Cazoo strengthens Cazoo’s position as a leader in the European Cars-as-a-Service (CaaS) market. By combining Cluno’s expertise in the car subscription space with Cazoo’s robust funding and platform, the partnership is set to revolutionize car ownership and subscriptions across Europe. This deal will help Cazoo expand its services and provide a more comprehensive solution to customers in the growing car subscription market. With plans to launch the full Cazoo proposition in Europe, this acquisition is a significant step forward in the company’s digital transformation efforts and international expansion. For more updates and latest tech news, keep reading iTMunch

FAQs

1. What is the purpose of Cazoo acquiring Cluno?
   The acquisition aims to strengthen Cazoo’s position in the European Cars-as-a-Service (CaaS) market and accelerate the digital transformation of car subscriptions across Europe.
2. What is Cazoo?
   Cazoo is a UK-based online car retailer that offers a seamless car buying experience. The company owns and reconditions its cars before listing them on its platform, allowing customers to choose, collect, or have their cars delivered within 72 hours.
3. What services does Cluno provide?
   Cluno is a German car subscription company that offers a subscription-based model for car ownership. The monthly fee includes the car, maintenance, service, insurance, warranty, and tax, providing an all-inclusive experience.
4. How will this acquisition benefit customers?
   The acquisition will provide more options for car buyers and subscribers, with a broader selection of vehicles available for purchase or subscription across Europe. It also combines Cazoo’s advanced platform and Cluno’s customer-centric experience to improve the overall service offering.
5. Will Cluno continue to operate under its own name?
   While Cluno will be integrated into Cazoo’s operations, it is expected to launch a full Cazoo proposition in Europe in the upcoming months, which could mean rebranding or combining the offerings under one unified platform.