Business Presentation

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Contents

● About Cars4u

● Data Overview

● Cars Information

● Model Performance Summary

● Business Insights and Recommendations

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About Cars4U
● Cars4U it’s a startup and his business score is sell used cars.

● There is a huge demand for used cars in the Indian market today.

● Meanwhile, the sales of new cars decrease, the market of pre-owned cars growing.
● In 2018 - 2019, the bought and sold to used cars reached 4 million units.

● With this precedent it's necessary to know and understand the used cars price to
keep the growth in the Indian market.

● The model linear can help to increase the inventory in the models with more sell
out and have better selection criteria based on the characteristics of the market.

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Data Overview
● S.No. : Serial Number
● Name : Name of the car which includes Brand name and Model name
● Location : The location in which the car is being sold or is available for purchase Cities
● Year : Manufacturing year of the car
● Kilometers driven : The total kilometers driven in the car by the previous owner(s) in KM.
● Fuel Type : The type of fuel used by the car. (Petrol, Diesel, Electric, CNG, LPG)
● Transmission : The type of transmission used by the car. (Automatic / Manual)
● Owner : Type of ownership
● Mileage : The standard mileage offered by the car company in kmpl or km/kg
● Engine : The displacement volume of the engine in CC.
● Power : The maximum power of the engine in bhp.
● Seats : The number of seats in the car.
● New Price : The price of a new car of the same model in INR Lakhs.(1 Lakh = 100, 000)
● Price : The price of the used car in INR Lakhs (1 Lakh = 100, 000)

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Data Overview
● Original Data have 14 columns and 7,253 rows.

● Serial Number is just a count of each row.

● Name have the manufacture brand, model and other attributes for each sold car. For the model I
extracted only Brand.

● New Price don’t have sufficient data that help us in the model.

● The variables Mileage, Engine, Power and Price it’s neccesary to convert in numerical.

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Cars Information
Brands
1,175
1,200
1,058

1,000

800

600
600

394
400
316 314 294
268 262
235
183 172
200 145 120
89
57 40
27 26 23 21 16 15 13 3 3 1 1 1
0

● Maruti, Hyundai and Honda, are the three most popular brands in the Indian
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Cars Information
City of Sale
800 775
718
700
645 629
594
600
545
521
500 476

402
400
347

300
220
200

100

0
Mumbai Hyderabad Kochi Coimbatore Pune Delhi Kolkata Chennai Jaipur Bangalore Ahmedabad

● Most cars are sold in Mumbai, the second city is Hyderabad, and the less city with
cars in Ahmedabad.
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Cars Information
Transmission Type Fuel Type

2,655
1,702
10
65

55
4,170
3,152

Manual Automatic Diesel Petrol CNG LPG

● Over 4,000 cars have Manual Transmission, less than 50% are automatic.
● Diesel and Petrol are the most popular fuel types.
● Compressed Natural Gas and Liquefied Petroleum Gas are unpopular. Few units
sold using these fuels
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Cars Information
Owners
5,000
4,500
4,000
3,500
3,000
2,500
2,000
1,500
1,000
500
0
First Second Third Fourth & Above

● Over 70% of cars have only one owner, the rest be distributed between two or
more owners.

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Cars Information
Kilometers
Year Mileage Engine Power Seats Price
Driven

Count 5,872 5,872 5,872 5,872 5,872 5,872 5,872

Mean 2013 5.83 18.27 1,625 113 5 9.6

STD 3.16 9.21 4.36 601 53 0.8 11.24

Min 1,998 1.71 0 624 34.2 2 0.44

25% 2012 3.34 15.26 1,198 75 5 3.51

50% 2014 2.26 18.2 1,495 97.7 5 5.75

75% 2016 7.24 21.1 1,991 138.1 5 10

Max 2019 6.5 33.54 5,998 560 10 160

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Model Performance Summary

● Price is the constant variable, because we need to predict the price of sold cars.
● After to check the correlation between Power and Engine, the both is drop to the
final model.
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Model Performance Summary

● The model is good because the R-

squared is 0.880 and the p-value for
each original category is less than
0.05.

● For this result, I consider Year,

Kilometers, Mileage and Seats.

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Business Insights and Recommendations
● The year is a good reason for sell to better price each car.

● The mileages is a variable to consider because with more mileages the price trend
to decrease.

● The brands with positive coefficient shows best price.

● The brands with negative coefficient show low price, but in the count by brand have
more cars to difference with the cars with best price that have less units.

● As a recommendation it’s necessary to know the time of sale by brand, and if color
is important for the customers.

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Happy Learning !

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