Fewer and fewer South Africans are willing to risk selling their cars privately via online classifieds‚ thanks to the risk of theft or even death at the hands of criminals posing as would-be buyers.
That has prompted AutoTrader‚ South Africa’s largest online vehicle platform to come up with Marketplace‚ combining the convenience of “clicks” with the security of “bricks”.
The bricks part of the service is provided by Bosch’s 165 service stations around the country.
Sellers are vetted before being introduced to a potential buyer‚ then they meet at a Bosch outlet of their choice‚ where the seller’s car is technically inspected; a deal manager helps the two parties negotiate a fair price‚ and finance is arranged via AutoTrader’s finance partners.
The solution seeks to address the risks for both buyer and seller.
With many of the cars posted on online sites being stolen or cloned‚ or mechanically unsound - or both - and private sales not being covered by the Consumer Protection Act‚ the buyer runs the risk of landing up with a voetstoets “lemon” or a stolen car that they will have to forfeit if recovered.
The seller’s risk is even bigger‚ said AutoTrader CEO George Mienie. “We’ve seen a declining appetite on the part of consumers to advertise their cars for sale online privately‚ even when we offer free adverts as a special.
“They’re scared not just of being defrauded but of losing their lives.”
The company had been looking for a solution for the past seven or eight years‚ Mienie said.
“The biggest challenge was finding the right partner‚ and we believe we’ve achieved that with Bosch‚ given that it’s a trusted‚ recognised brand with a national footprint and the capacity to provide the service.”
The service couldn’t guarantee to eliminate the criminal risk‚ Mienie said‚ “but we are certainly mitigating it".
The company is expecting 1‚600 to 1‚800 deals a month to be done via its Marketplace.
There are costs‚ of course.
For the seller‚ a once-off inspection fee of R1‚249 to have their car listed on AutoTrader.co.za . Buying a car from Marketplace costs R3‚899 for the facilitation and administration‚ and R1‚649 for registration. The total cost can be included in the buyer’s financed amount or paid upfront.
“This is a great example of collaboration among parties to assist in the fight against fraud‚ and in line with SA Fraud Prevention Services (SAFPS) objective in providing a platform to collaborate against fraud‚” said SAFPS executive director Manie van Schalkwyk.
-TMG Digital/TimesLIVE
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