This article is an abstract of a Danish feature originally published by PwC.
Founded in 1996 by brothers Peter and Martin Grøftehauge, Autorola has grown into a global leader in online car auctions and innovative digital solutions for the automotive industry. With a vision to revolutionize car sales through the internet, the brothers launched an online auction system and the valuation portal Bilpriser.dk. As of December 2023, Peter Grøftehauge became the sole owner of the company after acquiring his brother’s share.
Pioneering Online Car Sales
The idea for Autorola was born during the infancy years of the internet. As sons of a used car dealer, the brothers saw how inefficient car trading was. They believed the internet could streamline the process, leading them to develop their online auction platform, which launched in 1998. The initial years were marked by challenges, including low adoption rates and financial constraints. However, they found a way to combat this with the launch of Bilpriser.dk, an online vehicle valuation guide, which provided much needed revenue.
“Bilpriser.dk became our cash cow, providing the funds we needed to reinvest in the company’s development. This principle has always guided us”. The platform’s success kept the company afloat during the early 2000’s, when many internet-based platforms were struggling. Unlike many competitors, Autorola had digital-first DNA, which proved crucial to its resilience. “We are born online. We have never sold cars in the physical world. Digitalization is not something we discuss as a theme—it’s an integral part of how we operate,” explains Peter Grøftehauge.
Focus on B2B and Global Expansion
While Autorola initially targeted consumers, high marketing costs led the company to pivot to a B2B, business to business, model instead. Today, it assists manufacturers, leasing companies, banks, and more, with vehicle sales in both local and cross-border markets. By optimizing supply and demand dynamics – such as exporting cars from Italy to Germany based on price advantages – the platform facilitates efficient trade within the vast European car market.
Today, Autorola operates in 19 countries, across 5 continents, with over 700 employees globally. They work with major customers, such as BMW, Sixt, and Santander Banking.
Online transactions with market intelligence
Autorola Group has grown to have more than 70,000 car dealers on their platform, and consists of three separate business units: Autorola Marketplace, Indicata and Autorola Solutions, the first of which is the original, online auction platform.
Indicata is a data-driven toolset to deliver market intelligence about pricing and demand. It analyses up to 15 million cars daily using advanced image recognition technology.
Autorola Solutions delivers tailored software platforms to digitalize and optimize processes within the vehicle industry.
While each of these tools is highly valuable on its own, their combined use creates the greatest impact—what is referred to as the ‘sweet spot.’ Essentially the customers’ ecosystem is fully digitalized, a complete, digital platform for trading cars.
AI and Big Data
AI plays a big role in the evolution of the company. The Indicata business unit in particular has been using AI since 2014 to train recognition of car data and Big Data. Today, an internal department dedicated to AI drives innovation, fostering a data-driven culture within the company.
But it is not all about efficiency, it is also about improving the customer experience; Autorola is currently working on a program to continuously evaluate customer satisfaction. This digital solution will provide a constant feedback-loop, as to always optimize the customer experience.
“Trial and error is integral to our approach. We test, identify what works, and figure out how to implement it effectively.”
Accelerated digitalization
The digital evolution of Autorola has been a gradual process from the beginning. In 2010 many still doubted the entire concept of selling cars online. Even in 2015, the majority still mainly relied on physical sales. Today, almost all sales are done online.
The Covid-19 epidemic was a significant driver in the digitalization process – Systems and processes had to be running smoothly to allow remote work, and online meetings and transactions, once rare, became the standard.
Growth and Future Ambitions
Though Autorola has already come far from its’ founding in 1996, with over 1 billion DKK in revenue and 83 million DKK in profit in 2024, there is still more growth on the horizon. The company aims to grow 20% annually over the next four years, hiring approximately 100 new employees each year to support its expansion.
With a solid foundation in innovative technology, a customer-centric approach, and a clear vision, Autorola is well positioned to continue leading the digital transformation of the automotive industry. As Peter Grøftehauge states, “Growth isn’t just about numbers – it’s about the people driving it forward”.
To read the full article in Danish, visit the original here.
