BuyaCar owners examine the future of the used car sales portal

Car sales platform BuyaCar faces an uncertain future as sources have told AM that its owners are considering shutting down the business.

The company responded that it was changing BuyaCar’s business model and the roles risked being redundant.

BuyaCar was launched in the early 2000s to drive dealership used car sales with a purely distance selling operation, then was acquired by media publisher Dennis Publishing, which positioned BuyaCar as a hybrid to both an industry supplier and a retailer, as its business model. was to advertise dealership stock and then buy it once a customer was found, so Buyacar would then manage the transaction with the customer, including providing car financing at the point of sale and delivery of the car to his home.

Dennis Publishing grew the business, before spun it off along with its automotive media brands Auto Express, Driving Electric, Octane and CarBuyer into a new company, Autovia, in 2021.

AM has learned that BuyaCar staff will begin consultation on layoffs this week; Autovia hasn’t confirmed the company’s closure, but says the company will transition to a lead generation model.

Such a move brings it closer to competition from long-established operations such as Auto Trader and eBay Motors Group.

Autovia Chief Executive Andy Oldham told AM in a statement: “The impact of COVID-19, combined with semiconductor shortages and global supply chain issues, has been significant to the UK automotive industry.

“Although we are convinced that BuyaCar has a bright future, we have not been immune to its economic impact.

“We have worked hard to reduce our costs and improve our operating processes.

“However, we have concluded that BuyaCar’s current operating model of selling used cars and financing automotive vehicles is no longer viable, and instead the business will shift to a generation model. leads and will seek business partnerships with third parties to ensure scale and revenue growth.

“As a result, we will begin a consultation process on the layoffs this week.

“We are fully committed to supporting employees of affected groups throughout this period and to ensuring that this process is fair and transparent.”

At the height of the first wave of coronavirus in the UK, Buyacar suspended delivery charges for online shoppers to ensure key workers could still buy the cars they needed.

He later claimed he had secured £1.1million in used car sales in the month following the lockdown, while most car showrooms were forced to close by the restrictions UK Government COVID-19.

Its 2017 homepage shows how it urged consumers to “jump the forecourt” and buy used cars from the comfort of their homes.