AI driven algorithms help ‘used car’ marketers customise vehicle orders | Times of India

CHENNAI: The largely unorganized used car business is using AI-driven algorithms to make its pricing process standard and transparent.

Used-car players like Mahindra First Choice Wheels, Quikr, Droom and Truebil are leveraging AI-driven algorithms to predict the price of a car based on parameters like its condition, make, colour, history as well as geographical and seasonal factors. Effectively this is like using AI to customise the process of selling a car on the platform, taking the USP of the neighbourhood used car dealer online.

At Mahindra First Choice Wheels (MFCW) , the company feeds huge amounts of data from online listings, physical inspections in its offline used vehicle showrooms, prices of repossessed vehicles being auctioned online and the NBFC pricing data into a central database which is then crunched by the IBB algorithm to offer a price option.

The result, said Ashutosh Pandey, CEO, Mahindra First Choice Wheels, “is that the difference between actual realized price and the price thrown up by IBB is plus-minus 5-7 per cent whereas in most other products it varies up to plus-minus 20 per cent.” MFCW is now working on improving this to a self-learning algorithm which will improve its accuracy.

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AI driven algorithms help ‘used car’ marketers customise vehicle orders – Times of India.