CitNOW Group secures significant new private equity investment

CitNOW Group has secured significant new investment from leading mid-market private equity investor Livingbridge, alongside additional funding from current backer Tenzing. The move will allow CitNOW Group to accelerate its growth strategy via additional mergers and acquisitions in the UK and overseas, and through further expansion of its product offering in key European markets.

• Funds from private equity firm Livingbridge and current backer Tenzing will enable fresh acquisitions and European expansion
• CitNOW Group is seeking to transform the customer journey in automotive
• CitNOW Group has highest penetration of any software provider in the UK motor retail sector

CitNOW Group recently acquired Web1on1, Europe’s leading multi-channel messaging software platform and integrated Dealerweb, Tootle and Reef Business Systems in the UK, as well as Quik. in the USA.

Geoffrey Page-Morris, CEO of CitNOW Group, said: “We are thrilled to have found in Livingbridge a partner that shares our vision for the Group. The firm’s extensive experience in the software sector and its strong track record in implementing sophisticated mergers and acquisitions programmes make it ideally placed to accelerate our growth strategy.”

Simon Peet at Livingbridge said: “CitNOW Group is a fantastic business which has built a reputation for innovation and excellence in a large and rapidly evolving sector. We look forward to working with Geoffrey and his team to further scale the business organically, as well as continuing to expand the range of solutions the Group offers to its customers through strategic mergers and acquisitions.”

Christian Hamilton, Co-Founder and Managing Partner of Tenzing, said: “We’re super proud to have spent the last four years working with CitNOW Group, supporting its growth by completing five strategic acquisitions, scaling sales, and expanding into new markets. We have high conviction about the additional value we can create and are excited to partner with Livingbridge to deploy the combined power of our Growth Teams.”

Since its inception in 2008, CitNOW Group has rapidly established itself as a global market leader, with over 13 million sales opportunities created, 60 million videos processed and over 10,000 dealer installations across 64 countries to date. It currently has the highest penetration of any software provider in the UK motor retail sector, with approximately 75% of franchised dealerships using at least one of its products.

CitNOW and Dealerweb integrate tech

CitNOW and Dealerweb, both part of the CitNOW Group, have integrated elements of their flagship systems to help retailers streamline the management of customer data, enhance the customer journey, and improve conversion rates for new and used car sales.

• Retailers gain unified view of the customer across different systems
• Dealerweb Showroom users can now create,share and monitor personalised CitNOW videos from the platform
• Digital CitNOW Web assets can be included in customer responses sent via Dealerweb React
• Integration delivers on CitNOW Group ambition to help retailers provide seamless customer experiences

The integration of CitNOW Sales into Dealerweb Showroom allows retail staff to easily create, share and monitor personalised videos from within the enquiry management system. The Dealerweb Showroom platform is a ‘hub’ for sales teams and with this integration it becomes an even more useful tool by allowing retailers to see and monitor their customer’s video interactions.

A further integration between Dealerweb React and CitNOW’s Web application enables the sharing of digital assets, including vehicle images, video and 360, between the two systems. This allows salespeople to create more asset-rich personalised communications quickly and easily as part of their initial response.

A recent survey conducted by the CitNOW Group highlights the importance of reacting quickly to customer enquiries. It found that after car buyers enquire about a vehicle, there is an expectation to receive a response from dealerships within three hours. 27% of car buyers think a response between one to three hours after enquiry is sufficient, whereas 24% would ideally prefer a response within 30 minutes. The integration enables those using Dealerweb React to respond instantly to customers with a range of assets, helping them exceed these expectations and improve the overall experience.

“We’re bringing together these best-of-breed solutions to make the enquiry management process more streamlined, helping sales staff be more efficient and effective. That starts with a unified view of the customer, but it’s also about optimising the functionality of the systems from both companies through seamless integration. The result is an approach that delivers much more than the sum of the individual parts.”

James Hill
Managing Director at Dealerweb

This initiative delivers on the CitNOW Group’s ambition to broaden the reach, functionality, and flexibility of the company’s digital communications tools, and transform the way the automotive world communicates. The Group, which acquired Dealerweb in December 2020, also includes Tootle and Reef Business Systems in the UK and Quik in the US. Its overarching goal is to develop technologies that streamline and enrich the sales process, for the benefit of retailers and consumers alike.

“This forms part of our broader effort to improve efficiency in automotive retailing through effective digital communications. Customers expect ‘joined up’ communications from their dealer – from the first sales enquiry through to aftersales interactions – and it’s clear that, when this works well, the result is improved loyalty and better sales conversion.”

Geoffrey Page-Morris
CEO at CitNOW Group

Further findings from CitNOW’s latest report, ‘The Ultimate Digital Customer Journey’, can be viewed via the link below.