Why machine learning and AI are the only way you can succeed in the UAE used car valuation space

Dubai, the metropolis that attracts thousands of people to the Middle East in recent years is the bustling heart of the UAE and single biggest market in the Emirates. The Used car market is dominated today by the Japanese brands of Toyota and Nissan with a combined 30% plus market share. (Source AutoData Middle East ).

For a consumer it is a market that has a multitude of possibilities to get a new ride. From the elegant and huge Branded Dealerships of the OEMs to the yards of Souq al Haraj ( https://www.souqalharaj.com) and the Al Aweer Auto Market. All of it underpinned by traditional market places such as dubizzle or DubiCars that are onward developing their offerings to compete with the late disruptors such as CARS24 Arabia or CarSwitch Arabia that jumped onto a hype generated by car buying offers over the last 5 years and further developed the mediation space. They are in the market with different success and when we look into specific brands shoppers quickly realize the choice is not huge. Below example shows a snapshot taken on available VW Brand cars in the online market places for up to 6 year old cars. (Source AutoData Middle East ).

Now as you can imagine the products and prices coming from the different offers in this market that today sees about 10-15% of its park being imported from all around the world are so diverse and complex to understand that it is not easy to navigate your way when making the ideal decision for the best offer. The market prices can look like the below graph shows and make it difficult to judge what is the right price.

The questions range from: Do I buy from an OEM Dealer with Used car warranty, service package and maybe even a Cash back option to, Do I buy from a dealership that has the same or similar car for 10 000 AED ( 2500 EUR) less. Or do I even buy from a private individual for another 5 000 to 10 000 AED less. How much difference do 20 000 km do to a Ford Figo 1.5 L engine? How expansive can a repair on such a car be? Some of these questions are obviously left to the customers risk appetite but a lot of this can be taken out by tools like our DealRevs technology for Dealers when they trade in the car. For the consumer our https://vehiclereport.me service helps with these difficult questions but ultimately all of these tools would not work if it wasn't for our technology being backed up by advanced analytics tools and machine learning.

To give you an understanding of the complexity we are ingesting in average on a daily basis now 500 000 data sets with more then 20 data fields for the UAE alone.

If you were to rely on human beings to clean, analyze and structure this data you would need a considerable amount of team and the speed of our data updates would probably be drastically reduced. As you can imagine in a small market the actual live price of a car can depend on 2 cars going out of market and the average price moves up or down by some percentage points rapidly. Our historical data as a balance to these fluctuations is pivotal to make sure we have consistency in the data that we provide to Insurance companies, banks, dealers and consumers alike as the custodian of a true market price reflection.

We believe in sorrow work with attention to detail and leave no space for interpretation or arguments

but this we can only achieve with multiple layers of structure, analysis and refinement and surely in that process our expert human evaluators get a change to give their views but always with a screen packed with information to back up their decisions.

I hope this article gives a little glimpse into the strength of our technology and I will share updates in the coming months about the progress we are making as we embrace our journey towards full AI automation and further expansion into plenty of other markets in the Middle East.