Avis Europe and Internet company Navidec Inc. have formed a joint venture to sell used cars over the web throughout Europe.
Under a memorandum of understanding signed by the partners, Avis Europe will hold 65 percent of the new company, and Navidec 35 percent. The online used car buying service will launch in the UK later this year and eventually throughout major European markets.
Navidec Inc. has developed an Internet service in the USA that enables consumers to complete and track the entire vehicle transaction online, including research, vehicle selection and financing.
This capability will now be deployed with Avis for the European used car market. Initial inventory will be drawn from the Avis fleet; however, new parties will supply the venture later.
Avis Europe buys about 200,000 cars a year from more than 17 manufacturers. While about 80 percent of cars bought by Avis are sold back to manufacturers, the new joint venture provides an online channel to sell the remaining 20 percent.