Daimler AG has invested a multi-million dollar figure in the vehicle financing app AutoGravity, Serge Vartanov, the start-up’s chief marketing officer, told Auto Finance News.
The announcement was made Tuesday in London, but did not include a specific dollar amount.
“It means a lot to us that Daimler believes in our platform and is willing to invest a multimillion dollar figure to continue to facilitate and drive our growth,” Vartanov said. “That Daimler has recognized the technology and sees the potential in transforming that shopping and financing experience for the consumer, I think is a really good validation of what we’ve been building.”
Mercedes-Benz Financial Services, a subsidiary of Daimler, was the first captive to join the platform with leasing in July followed by loan servicing in October.
AutoGravity expanded to 46 states earlier this year and is now supported by multiple lending and dealer partners, AFN has previously reported. While few specific companies and dealer groups have been named, there are enough that the app can deliver at least four financing offers from different lenders in each state.
Because the platform is a multi-lender service, Daimler is ultimately investing in technology that will not only help Mercedes-Benz Financial Services originate loans, but also loans at other financial institutions as well. AutoGravity’s momentum is “fundamentally what’s driving the investment,” Vartanov said.
“In our conversations [with MBFS] they believe in our technology, they believe in the research that we’ve done, and with this latest round of funding, they believe in the trajectory that we are now on, and the momentum that we’ve shown,” he said.
