Used-cars marketplace Spinny laysoff 300 employees as part restructuring process

Gurgaon-based used car marketplace startup Spinny has laid off approximately 300 employees, or around 5% of its total workforce, as part of a restructuring process. 

According to the company, The layoffs would also include merging its budget and luxury car offerings --- Truebil and Spinny Max --- into the main platform. 

"We are merging our Budget and Luxury offering platforms - Truebil (Truebil.com) and Spinny Max (Spinny.com/max) - with our master brand Spinny (Spinny.com). This will allow us to offer customers a wider assortment of cars across price points and simplify the discovery of the right car for their needs," said Niraj Singh, Co-founder of Spinny.

"We have witnessed a sharp uptick in demand for reliable, budget-friendly cars as most people have resumed work from the office. By splitting our inventory of cars across different brand platforms, we were sometimes unable to offer enough options to such customers. With this consolidation, we should be able to meet the needs of these customers well. This business reorganisation will strengthen our go-to-market business model, reduce costs and improve our margin profile, putting us on an expedited path to profitability. However, it will impact approximately 4.5% of our total workforce as we consolidate our operations under a single brand," Singh added.

Earlier this year, CarDekho completely exited the used cars retail business due to the absence of profitability. The startup, which is backed by Tiger Global, Accel, has 6,000 - 6,200 employees. Spinny counts Sachin Tendulkar, Think Investments, Arena Holdings, Abu Dhabi Growth Fund, Tiger Global, and General Catalyst, among others, as its backers.

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