eBay has agreed to acquire Cox Automotive Media Solutions, which owns leading automotive platforms CarsGuide.com.au and Autotrader.com.au.
The two consumer brands will join the Gumtree Australia business, Australia’s local marketplace and a part of the eBay Classified Group portfolio, subject to deal close.
Autotrader.com.au has about 2300 dealers and around 90,000 listings, and Gumtree has about 1800 dealers and around 80,000 private-party listings – together Gumtree will develop a more competitive and attractive car-buying platform for Australian consumers.
“This acquisition is an important part of eBay Classifieds Group’s verticalization strategy in the automotive market, following our success acquisition of Motors.co.uk in the U.K. earlier this year,” eBay Classifieds Group senior vice president and general manager Alessandro Coppo says.
“Gumtree is already an established player in the Australian private sales market, and the addition of CarsGuide.com.au and Autotrader.com.au will make our offerings even more compelling by giving Australian consumers and dealers more reach and choice in market.”
CarsGuide.com.au provides sellers and dealers with a resource to access the research and content to confidently buy and sell vehicles. Autotrader.com.au is an automotive marketplace that provides services for dealers and create relationships between buyers and sellers.
Gumtree Australia head of motors Richard Dicello says the acquisition will strengthen its position in the automotive market, giving consumers access to thousands of additional listings, automotive research, reviews and content, as well as a strong dealer tool and car buying destination.
“Together with Gumtree Australia, these brands create a robust customer experience in auto buying – from research to purchase,” Dicello says.
“Our team has worked extensively to provide a comprehensive suite of offerings for auto buyers and sellers,” Cox Automotive Australia media solutions chief executive Shaun Cornelius says. “Through this deal we have the opportunity to utilise the benefits of these sites combined with the audience and listings from Gumtree, to deliver significantly more value for consumers, car dealerships and advertisers.”
Cox Automotive Australia Rob Whiten adds, “for Cox Automotive Australia, it will enable us to focus on our broader strategy of building upon our strengths in the wholesale arena and support dealers, OEMs, fleet/lease and retail customers in changing and challenging market conditions.”
The transaction is subject to regulatory approval in Australia and other closing conditions, and is expected to close in the second quarter of 2020.
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