Cox Automotive has acquired German dealer-to-dealer online auction business pkwNOW.
The business, which specialises in dealer and export vehicles, lease returns and fleet vehicles, has successfully grown its market share to become one of the leading online trade auction platforms.
Cox Automotive intends to accelerate pkwNOW’s growth following the acquisition, using its expertise in online D2D auctions through Manheim Express in Germany and its technological solutions.
The acquisition will help Cox Automotive to scale its remarketing capability in Germany as well as increasing the volume of cars sold every year. It will also help improve Cox Automotive’s digital customer offering in Germany as well as bring new talent and expertise into the business.
Martin Forbes, president of Cox Automotive International said: “pkwNOW is a business in Germany that we have admired for some time, with clear synergies between their services and those within our Manheim Express digital auction portfolio. In acquiring additional German market expertise from pkwNOW, we plan to combine this with our innovative digital-first roadmap to truly transform the vehicle auctions business throughout Germany and Continental Europe.”
Cox Automotive has ambitious plans to disrupt the European D2D marketplace, having recently launched an artificial intelligence capability in its Manheim Express application to make the vehicle purchasing experience seamless, digitised and convenient for dealers. The acquisition is another step towards realising the company’s growth plans within Europe.
Sebastian Fuchs, managing director of Manheim Express, added: “We have ambitious growth plans for Cox Automotive to become a major player in markets such as France, Spain and Italy. We hope to see Manheim Express trading over 100,000 cars by 2023, with similar growth aspirations for the other brands in our portfolio. The acquisition of pkwNOW and the footprint into Germany that this now gives us is a key step towards realising our growth ambitions.”