Leading the Transition to Car Subscription
Collaborate (ASX:CL8) is an Australian online technology company that is leading the growth of the car subscription industry in Australia & New Zealand.
Collaborate launched Carly, Australia’s first flexible car subscription service in March 2019 and rapidly secured automotive industry leaders SG Fleet (ASX:SGF) and Turners Automotive (ASX:TRA) as significant shareholders, joining other long-term shareholders, including RACV.
The time is right for car subscription
- 38% of Australians* would consider subscribing to a car rather than purchasing or leasing
- New car sales have been declining for 29 consecutive months and dealer profit margins are being squeezed
- Consumers and businesses are wary of long-term debt, especially during a recession
- Car subscription adoption has been accelerating during the COVID-19 pandemic
*Carly commissioned Omnipoll survey (June 2020)
Through our businesses, Carly and DriveMyCar, we have been chosen by leading automotive and mobility companies including Hyundai, Subaru, Peugeot, Suttons Motors, Uber, Turners Automotive, RACV and SG Fleet to deliver innovative mobility solutions in Australia & New Zealand.
Uniquely, Collaborate operates a capital light business model. We do not own fleets of vehicles, instead we enable automotive manufacturers & dealers, fleet managers and corporate fleets to generate revenue from their vehicles. We enable the existing $55 billion p.a. auto industry to derive a new source of revenue from their vehicles by providing a complete car subscription solution and a new way for people and businesses to access cars that better suits their needs.
The way people access cars is changing rapidly
Car subscription offers the use of a car without the long-term burden of debt or ownership; Carly offers a more flexible alternative to finance or outright purchase of a vehicle. Average subscription period is 5.3 months and increasing (Sep 2020)
Ownership is increasingly being seen as a burden as it is inflexible and requires long-term financial commitment. People value access to cars that meet their needs at a particular time.
From mobile phones to on-demand movies and food, subscription offers an attractive and effective solution to accessing a range of products with a simple recurring payment.
New car sales are in decline, dealer profit margins are shrinking and more customers are being refused auto finance. The auto industry knows it must evolve its offering.
Individuals and businesses of all sizes are seeking a range of mobility solutions to match their lifestyle or commercial requirements, which can vary hourly, daily or monthly.
What we do
Carly is a first-mover in the Australian car subscription market; leveraging the experience, partnerships and proprietary technology developed by DriveMyCar, Australia’s first and largest peer-to-peer car rental platform
- Carly has significant market potential
- No dominant competitors
- 58% of Collaborate revenue in 17 months
- Extensive industry partnerships offer scalable growth opportunities
Australia’s first, flexible car subscription service provides a fast, flexible and low-risk way for people and businesses to access quality new or used vehicles at short notice and for a minimum of 30 days
An online peer-to-peer marketplace that allows owners to make money from their unused vehicles by renting them out for a minimum of 7 days to businesses or for private use