Insights for Entrepreneurs

Business Model of a Car Marketplace Industry


13 Feb 2019 on Insights for Entrepreneurs · 12 min read

auto classified script

12 min read

Multiple businesses are there which are never-ending by the irrespective substantial stopping factor from the government or from any external interfaces. The automobile classifieds industry is one among them. It composed of a few top global multinational players and several retailers.

After many years of a forecast, world wide web revolutionizes the auto sale industry. The car dealerships are switching into the online market. According to the prediction of O’Neil’s webshop, nearly 10 percent of vehicle transactions could be online by 2019.

So, You could know why the car dealerships are moving to online auto business

The technology has enormous growth and people are progressing fast to use online dealing for all the trades. Automobile trade will also have extensive growth in e-market.

online auto classified script
And the customer needs, contentment is evolving too. So, the future of auto retail could be digitalised. This might be one of the facts.

But the intrinsic fact is, in physical trading, the car dealerships are seriously encountering many troubles while trying to expand their business in various places.

The factors that cause trouble in direct trade,

  • Staffing and payroll
  • Stock control and inventory management
  • Marketing strategies.

The above difficulties are mastered in the online automotive trade. Hence, why automobile classifieds entrepreneurs now turn into the online business.

If you wish to start a business in the online automobile classifieds industry

Then, you should be aware of the below,

  • How does an auto classified script works?
  • Who are the fierce competitors in the auto classified industry?
  • What are the vital strategies, they use?
  • What are all the USP you could provide that would outsmart them?
  • The approx. cost and time estimation for this business

If you don’t, believe me, I will show you a precise way to begin a wealthy online automotive business.


How does an auto classified script works?

Auto Classified Script

Auto classifieds script generates the car dealership software, it is a complete and flexible extract for the e-auto trade.

To start an online automotive business, the car dealers should have their own website and mobile apps, which helps to assemble the sellers, dealers, buyers in a single platform.

pictorial representation of auto classified script

In online car trade, users have only two options,

  1. Selling and
  2. Buying


If a verified user wishes to sell the car, then the user could tap the seller category.

There, displays a dashboard with multiple options.

Here the users can promote their ad and should give relevant information about the car.

It also has subscription plans like how many days the ads can be visible, what are the premium plans available on the website, etc.

By this, auto classifieds create the seller-dealer friendly platform.

Autoclassified script-joysale

[ Screen preview of our car marketplace platform. You can check its working process in this demo.]


The modernized quest options would consume less time for the buyers. The buyer’s dashboard asks for optional details about the car model, year, body type, transmission type etc.

The car search can also be done by the location-based, search by manufacturer, newly added car list.

By using these plenty multiple features auto classifieds formulate an easy on-site communication between the buyer, seller and dealer.

Auto classified script app

[ Screen preview of how Joysale app can be customised as a auto classified script ]

Who are the fierce competitors in the auto classified industry?

Globally, an enormous amount of online automobile classifieds companies are there. It is quite hard to find the peak players in e-automotive trade.

So, we did research in it, through the installation of mobile applications, foremost ratings and reviews given by the consumers, we accumulate the companies in top-tier.

From the above table, we can judge that Autotrader, Carmax, Autolist, Truecar are having a great volume of customers and seems to be influential among the people. officially started exploring tremendous revenue growth in the online auto trade industry, gained from their physical retail stores. And rest of the companies like, Truecar and Instamotor have not yet raced, but have a good volume of users too.

How Autotrader is in top-tier?

I did a simple study about Autotraders, CarMax and their tactics used in business.

Here, you can know the prudence of Autotrader.

Autotrader follows a pillar of strategies in its online automotive market. Their intrinsic focus is towards enhancing the customer audience by offering free valuation tools and other valuable key feature tools. They bring more choices in the car selection process and have huge stocks of vehicles. This will give a complete meet to the customers search and helps to avoid users frustration.

The growth of its business is driven by evolving the automotive ecosystem, it is by three levels-Stock, price and product. Autotraders, balancing their contribution when obtaining long term sustainable growth.

When CarMax is also doing the same, the further feature is they grant 30 days warranty and an extensive inspection for every car.

Some common features in Autotrader and CarMax website

  • Location-based search
  • Manufacturer, dealer search
  • Transmission of the car
  • Drive type
  • Fuel type
  • Door count
  • Cost estimation calculator
  • Request for drive
  • On-demand test drive options

By this, refinements in business Autotrader and CarMax have become box giants in the online auto classifieds industry.

Now, comes the most significant point of the blog, that you are waiting to know

How could you begin a triumph online automotive trade?

As you already knew, about the fierce competencies in the e-automotive business, before launching your own auto classified script, you should invent a unique selling point to trade online. This will not only bring a good reference to your brand but will help you maintain a healthy competition with the big shots.

That might include,

Setting up a business with a basic classified trade and listing can be the core. But for good growth in your automotive business, it is important to reach every end customer online, to achieve an extensive and competitive trade.

For which, you should pay attention means while adding the innovative criteria with your existing strategies, it will definitely generate a wealthy business by helping you to attract new customers with the use of autotrader clone.

Well up to research a few unanswered or ignored features to become the game-changing factor for your automotive business are:

Sending request for a test drive

For a case, the buyer has the opinion to shop a car, then the dealer will send the request for test-driving. This may help the buyer to know the drivability and roadworthiness of the car easily.

Pre-owned spare part collections

We not only own the cars but also have all the stocks in automobile spare parts. So, the user can use a single website for all his automobile needs.

Ratings and reviews for cars

This is one of the most beneficial features for the buyers to view feedback from the customers who have already used or tested the condition of the cars. This, in turn, will boost confidence among the buyers who are on the verge of purchasing.

Note: Options for renting cars and comparing car prices of various dealers on the platform will attract more customers towards your classified site and will drive more sales. Our Joysale Classified script can be customized effortlessly to include these attractive inclusions. You can contact our live support to know about the development time and cost of incorporating these features into the classified script.

Selling cars through your own car dealer app requires you to build an efficient one, which it could be like the autotrader clone and it might take 4 to 5 months and you might have to invest $50,000 on it if it is a custom development.

how to launch auto classified script

The average cost to make a car dealer app ranges from $80K – $250K+, depending on what type of app you want to create.

Investing in an auto classified script or autotrader clone provider will be somewhere between,

  • $500 to $1000 USD for a website creation and
  • $1000 to $2000 USD to develop a basic Android, iOS applications

Charges may applied, according to the feature efficiency of an app. It is based on the client’s feature requirement.

Auto Classified Script

While you choose to go with any custom app development company, the cost will be

  • Simple apps cost up to $10,000
  • Basic database automotive apps cost between $11,000$20,000
  • Advanced, multi-feature cost $30,000$50,000
  • Efficient car dealer app can cost anywhere from $50,000 to $60,000+, based on quality and detail.

You choose the best based on your budget and use-case.

Delivery times vary too, depending on your partnered engineering team or app development company.  From a couple of weeks to a month is needed to create a simple app, three-plus months for a database app, and three to nine months for more complex multi-feature apps.

There are two types of platforms you can opt to develop:

Native Apps:

“Native apps” are coded in the same programming language as the platform for which the app is designed. For example, for iOS it’s Swift and for Android it’s Java.

These apps are typically faster and more reliable. They have access to a phone’s features, such as its camera and address book. Developing natively on a platform generally leads to better, sharper user experience (UX). They’re usually more expensive than other apps.

Hybrid/cross-platform Apps:

“Cross-platform” means that they are a combination of web technologies and native functions. In which, developers write the code once and publish it for a different mobile platform like iOS, Android, Windows etc. But the higher difference that sets native and hybrid apps apart is the speed of UI/UX and the functional efficiency which lacks in hybrid apps.

Design requirements:

The icon, logo, and copy can cost you anywhere between $500 to $2000 each.  For UX and visual design, expect to pay much more. A pro UX design firm can charge you up to $20,000 a project.

Most of the developing companies will provide you with their own design team. From icon and visual design to UX design, you’ll get it all done. If you’ll looking to get it done in-house, the rates to hire a designer can vary a lot. Expect to pay at least $45 per hour on the lower end and up to $350 per hour for a senior UX designer.

car marketplace script features

The initial estimates:

Common features like social login and integration can add between $3000 – $15000 in costs. The more advanced user profiles or geo-location can add about $7500 or more to the basic cost.

App pricing models:

I provide you with an upfront cost calculation which can go high or low based on your business requirement, but that is what it is: An estimate

Every business-person want to make the best possible product. As the app comes alive, they play around with it, show their friends and the scope naturally increases. You get new ideas and expand the vision of the app. This is the best and worst part about app development: the continued ideation and tinkering that leads to an amazing product.

Time estimation

On average, it takes 20 weeks, or 4-5 months to build a quality MVP app. This can be closer to 3 months for simpler apps, or 6+ months for apps on the high end of the complexity scale.

automobile classified script

Find out how much does it cost with an open source clone script provider?


“Most people make the mistake of thinking design is what it looks like. People think it’s this veneer — that the designers are handed this box and told, ‘Make it look good!’ That’s not what we think the design is. It’s not just what it looks like and feels like. The design is how it works.” Steve Jobs

periscope clone
Note :

With in-depth market research and analysis, we have presented here the list of all beneficial inclusions that help your business to maintain a competitive edge. These above-mentioned features and functionalities may not be readily available in our versatile script. But, our scalable solution can be customized swiftly and effortlessly to include these additional features and thereby making your business stand out from the crowd. To know more about the cost and time frame for these inclusions in our script, you can contact our customer help desk.

Putting it all together

Auto Classified Script

To put more perspective into this, to build an MVP of something as simple as Instagram or WhatsApp can cost you anywhere between $799 to $10,000. MVP for an app like or Autotrader or CarMax would require an investment of at least $12,000 in case of custom development and that when clone script really matter.

Which can be resolved while choosing clone scripts provider or by signing a partnership with best auto classified script with mobile app providing business.To know more about the working process of our car marketplace script, you can take a quick look at this demo.

Based on the data above, you’ll need to make your own analysis. To help you out, I created this simple cost estimate tool.

The online real estate business is also a thriving sector in the current market trend. So, knowing more about it will be useful for many entrepreneurs. If you want to know about the online real estate business, trending business models in this sector, and the key role of real estate script in building a successful online real estate business in 2022, then you can have a quick look at the real estate script blog. The blog clearly explains the tips to build a profitable real estate website

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