All-inclusive car subscription service Drover has closed a £5.5m funding round co-led by Cherry Ventures, Partech and BP Ventures.
Drover, a marketplace company pioneering monthly, all-in car subscriptions in the UK, has closed a £5.5m funding round co-led by Cherry Ventures, Partech and BP Ventures, with continued participation from existing investors.
Version One and Forward Partners previously invested £2m in Drover’s pre-seed round, bringing the funding of the company to £7.5m in total. The capital will be used to scale the business further and invest in its engineering and product team.
As part of the round, Christian Meermann, founding partner of Cherry Ventures, and Romain Lavault, General Partner at Partech Ventures, are joining Drover’s board of directors, alongside Boris Wertz of Version One and Drover’s founders Felix Leuschner (CEO) and Matt Varughese (CTO).
Felix Leuschner, Drover co-founder and CEO, said: “Almost all innovation in the mobility space has so far focused on how to get from A to B. At Drover however, we’re rethinking car ownership itself, a space where very little innovation has happened to date. We are building an integrated end-to-end platform that looks to the future, and prioritises meeting the demands of the modern-day customer.
“Simply put, Drover is designed to free consumers from the long-term commitment of a loan or lease, while providing the benefits of car ownership that are missing from existing ride- and car-sharing options.”
Drover is shaping the future of mobility by building a new type of mobility-as-a-service platform that streamlines the traditionally fragmented, and complex process of getting and maintaining a car. It gives users access to cars of their choice for one all-inclusive monthly subscription price, as an alternative to the rigidity of getting a car through existing car finance, or lease options.
With a monthly subscription fee, Drover’s user proposition rolls the entire cost of car ownership into one price, including the cost of the car, insurance, maintenance, servicing, taxes and breakdown cover, and makes it available as an online offer on joindrover.com. Users can swap, upgrade or downgrade their car monthly or just cancel altogether, with no additional costs.
Christian Meermann, founding partner at Cherry Ventures, added: “We are excited to back Drover because they are building the infrastructure and the customer experience that will change how all parties think about mobility.
“At Cherry, we believe that car-ownership will undergo massive changes as consumers prioritise flexibility, affordability and convenience. We are confident that the team at Drover will rapidly grow car subscription in the UK and beyond by building tech-enabled operational excellence for their supply partners while creating tremendous value for their customers.”
Structuring its business as a marketplace means Drover does not own any cars, but works with over 100 fleet partners to ensure a large and comprehensive selection of new and used vehicles on its platform.
Drover’s fleet partners include large rental companies such as Europcar, Avis Budget Group and Hertz, car dealership groups, and OEMs, such as BMW Group UK.