Schlepping to a car showroom to look at a potential car to buy typically ends up being a colossal waste of time. Thankfully, that is changing with SpinCar, a digital merchandising platform that uses 360° WalkAround® technology so shoppers can get the physical showroom experience wherever and whenever they want. Through its proprietary technology and vast collection of behavioral data, SpinCar provides hyper-personalized interactions throughout the car shopping process.
AlleyWatch spoke with CEO and cofounder Devin Daly about what makes SpinCar popular and how it’s bringing unparalleled value to the $35B market spent on automotive marketing in the US annually.
Who were your investors and how much did you raise?
We raised $22M in growth equity from Wavecrest Growth Partners, with participation from tech industry veterans David Metter & Harpreet Grewal. Given the company’s history of profitable expansion, this was the company’s first significant outside funding event.
Would you tell us about the decision to pursue growth capital versus traditional venture funding? What considerations did you make that led you to this decision?
Given our position as a profitable, established market leader with a strong product and a track record of innovation, we were specifically looking for a growth equity partner with extensive SMB SaaS experience to help us accelerate growth even further.
Tell us about the product or service that SpinCar offers.
SpinCar offers automotive dealers, OEMs and online marketplaces the industry’s most advanced platform for digital automotive merchandising. The company’s 360° WalkAround® technology builds trust between buyers and sellers by bringing the physical showroom experience to car shoppers wherever and whenever they want. SpinCar’s proprietary shopper behavioral data and VINtelligent® Retargeting solution enable dealers to deliver hyper-personalized interactions across the entire car shopping journey. To date, more than 140M virtual WalkArounds have been experienced by car shoppers across 14 countries.
What inspired you to start SpinCar?
Before founding SpinCar, I worked in venture capital consulting. Our firm had developed a heavy focus on merchandising and eCommerce conversion enablers.
We had strong data that validated the benefits of 3D imaging on improving online conversion rates, but at that point, there weren’t any readily available, easy to use solutions that were capable of creating this content. SpinCar was founded to fill this market void. We initially targeted the fashion industry but soon thereafter shifted our focus to automotive. Vehicles are such a highly considered purchase that consumers really want to be able to explore every aspect of a particular car. The results of applying this technology to automotive merchandising have been nothing short of amazing.
How is SpinCar different?
SpinCar was the first mover in this space and has grown to become the market leader/category creator, with an order of magnitude more scale than any other player in the market. Our early success and focus have allowed us to build out the auto industry’s most advanced digital merchandising platform, which is far more powerful and impactful than the basic point solutions offered by other providers.
What market does SpinCar target and how big is it?
SpinCar targets the retail and wholesale automotive sector, which was responsible for selling more than 90M passenger cars and trucks globally last year. In the US alone, total automotive marketing spend is roughly $35B per year.
What’s your business model?
SpinCar offers an easy to use, data-driven SaaS platform that enables auto dealers, OEMs and wholesalers to effectively merchandise and market their vehicle inventory. The product is completely self-service and is used by auto sellers of all sizes.
What are the biggest challenges that you faced while raising capital?
Finding the “right” partner was an incredibly important decision for us. Given our business success, we had a significant amount of inbound interest, so it really came down to selecting the team that we felt could add the most value. We are thrilled to be working with Wavecrest Growth Partners; their investing and operating experience with B2B growth stage companies is truly inspiring.
What factors about your business led your investors to write the check?
Our rapid growth rate coupled with our track record of profitability instilled initial interest in our business. When our investors gained an understanding of our proprietary product and data assets, along with the significant international growth opportunities available to us, the investment decision was an easy one.
What are the milestones you plan to achieve in the next six months?
- Continued product innovation
- Continued international expansion
- Continuing to provide customer service that delights our customers
What advice can you offer companies in New York that do not have a fresh injection of capital in the bank?
Get in front of customers! They are the ultimate source of revenue AND unbiased product feedback.
Get in front of customers! They are the ultimate source of revenue AND unbiased product feedback.
Where do you see the company going now over the near term?
We will continue to invest in product innovation and people as we accelerate our growth and leadership position in the market. We will also continue to open new international markets and explore product opportunities that help solve our customers’ most pressing marketing challenges.
What’s your favorite restaurant in the city?
Il Mulino
