Used-car marketplace Cars24 is set to lay off 120 employees as part of a strategic restructuring aimed at streamlining operations and refocusing on core business areas. This follows a previous round of layoffs in April, where the Delhi NCR–based company let go of around 200 employees.
The latest cuts primarily impact non-core business units. A major part of the restructuring involves the complete shutdown of Inspare, Cars24’s B2B vehicle spare parts pilot project, which failed to gain market traction. The closure will result in 80 job losses across cataloguing, procurement, sales, and operations. Affected employees have been advised to begin seeking new opportunities.
Additionally, Cars24 is scaling back operations at FourDoor, its car servicing and maintenance vertical. Approximately 40 employees from that unit have been let go due to underperformance and a shift in strategic priorities.
The company has stated that severance packages are being offered in line with notice periods, and no further layoffs are planned. Cars24’s leadership maintains that the move is a focused reset rather than part of a broader downsizing.
Despite the cuts, Cars24 continues to invest in its core business and new ventures. It recently acquired Team-BHP, a well-known online automotive community, and launched a new AI-powered car platform offering virtual tours and home test drives.
The restructuring comes amid intensifying competition in the used-car sector, as industry players pursue aggressive expansion backed by fresh funding.
