BMW FS Innovation Lab leads to three partnerships
BMW Financial Services (BMW FS) has partnered with three of the start-up’s which participated in its 2016 Innovation Lab.
Last year BMW FS ran a ten week ‘Innovation Lab’, which saw five start-ups selected to work extremely closely with BMW FS developing a proposition. This culminated in a ‘Demo Day’ after the ten week period, where the start-ups pitched to BMW FS to secure long term commercial relationships.
Of the five start-ups, BMW FS has now signed deals with three of them.
Wrisk is one of these. This company focusses on bringing together various insurance products under one easy to use app. BMW FS UK has signed a letter of intent to initiate a commercial relationship with Wrisk once the app officially launches in 2018.
BMW FS has also agreed to embark on a nine month trial with Cazana.com – which offers customers data on vehicles. The trial will see BMW FS utilising Cazana’s wealth of information on classic and prestige cars with the ambition to build a new platform allowing BMW FS UK to increase their share of this high growth, high value market.
The third start-up which has signed an agreement with BMW FS is Divido, which offers finance for drivers hit by unexpected repair costs following vehicle servicing. Divido will pilot across four BMW centres in Chiswick, Carlisle, Newcastle and Heathrow.
The remaining two start-ups – predictive analytics platform Warwick Analytics and car sharing platform Drover – are still in commercial discussions with BMW FS.
Mike Dennett, BMW Group Financial Services UK chief executive officer, said: “Automotive finance faces a number of major challenges in the coming years. The industry has seen little innovation in the past decade and is ripe for change and potential disruption. The Innovation Lab was created to take on these challenges head on by harnessing the disruptive energy and technology of start-ups.
“We initially launched this programme to help us embrace a more innovative, agile culture across our business and so we’re delighted to confirm on-going commercial relationships with three of our alumni. The Innovation Lab has proven to be a fantastic first step for both BMW Group and the wider automotive finance industry and proves that collaboration between big business and start-ups can produce tangible commercial benefits for both sides.”