eBay acquires Caramel to reduce risk and complexity of online car sales

There is the e-commerce giant eBay announced plans to buy Caramelinspection, financing, documentation, title transfer, insurance, etc. to car sellers and buyers. startup helping to complete the final stages of the transaction, including

As eBay has grown over the years, it’s had to evolve to stay competitive – for example, the company last year Seller fees have been removed in the UK to counter the new wave of market startups. In the automotive space, in particular, eBay has acquired several startups to stay ahead of the curve, including advertising and marketing technology company Cargigias well as UK classifieds site Motors.co.uk.

Last month, it entered the online car sales business with eBay’s old nemesis Amazon Launch of Amazon Autos Cooperates with Hyundai. While this is all about finding and buying new cars directly from the dealer, it’s not entirely unthinkable that Amazon could expand its reach to include used cars in the future.

Ultimately, eBay wants to ensure it remains the primary channel for safe, fast used car sales at a time when consumers have more choices than ever.

‘reliable’

Caramel officially set in Los Angeles in 2021 has been activated it has about $19 million in funding behind it, including backers last year FJ LabsHearst Ventures, Zeev Ventures and Primera Capital.

Caramel can be used to supplement sales initiated through independent dealers or marketplaces. Including eBay. At checkout, Caramel is presented as an option to verify the identity of individuals, manage property transfers and registrations, and transfer funds. Buyers can also choose financing options and arrange for vehicle delivery.

eBay already offers some management and services to facilitate online car sales, e.g deposit to save fundsBringing Caramel’s in-house gifts will allow you to speed up the process by taking care of a large part of the stressful post-sale management.

But more than that, Chris PrilleBay Motors’ general manager says procurement is about “building trust” and helping buyers and sellers in the vehicle buying process. scams.

“Buying a car is a big deal – Caramel’s platform brings it all into one simple, seamless process: name and identity verification, insurance, financing – even delivering the car to the buyer after purchase,” said Chris Prill. “By joining forces with Caramel and eBay, both buyers and sellers will be able to more easily complete vehicle transactions on eBay, and Caramel will be able to further establish itself on countless platforms.”

Neither company disclosed the purchase price, but eBay said it expects the deal to close in the first quarter of 2025.