US car-sharing platform Turo claims to be Australia’s largest marketplace in the sector, despite setbacks—including a scrapped IPO and links to fatal incidents in the US. CEO Andre Haddad is confident the company can avoid the pitfalls that have plagued other sharing economy giants.
Founded in 2009, Turo launched in Australia in 2022 and now boasts over 3,000 active car listings. Over the past year, it has nearly doubled both its car owners and customer base. Unlike traditional rental firms, Turo does not own or maintain vehicles. Instead, it allows car owners to set their own prices and rent directly to drivers, taking a commission of 10% to 40%.
The company continues to expand but shelved plans for an initial public offering this month—three years after first filing to go public. Haddad attributed the decision to market timing.
While often compared to Airbnb, Haddad sees Amazon as the real blueprint for Turo’s future. In an interview, he said Amazon’s model of integrating third-party merchants while maintaining a retail-like experience is what he aims to replicate.
Haddad, who previously worked at eBay, recalls how the e-commerce giant lost its dominance when Amazon embraced third-party sellers.
“In 2005, eBay was the largest internet company in the US, maybe even the world,” he said. “Amazon, at the time, was struggling. They were losing a lot of money, and people weren’t sure if they would survive.”
That changed when Amazon opened its platform to third-party merchants. “Today, third-party sellers make up three-quarters of Amazon’s business,” Haddad noted. “They harnessed the power of a platform while maintaining a retail-like experience. That’s what we want to do. I’m very aware of the challenges marketplace platforms face.”
Source: The Sunday Morning Herald
Bd-pratidin English/ Jisan
