Kavak Expands Its Reach in Mexico
Kavak, the leading digital platform for buying and selling used cars, is set to broaden its operations in Mexico by launching services in Mérida, Yucatán, and Cancún, Quintana Roo. This venture is made possible through a new partnership with Hertz Mexico and its division for pre-owned vehicles, CarShop. This marks Kavak’s inaugural entry into the southeastern region of the country, significantly enhancing its market presence across nine states in Mexico.
According to data from the National Institute of Statistics and Geography (INEGI), Yucatán and Quintana Roo together boast a circulation of over 1.32 million vehicles, with a projected growth in vehicle numbers of approximately 10.8% from 2023 to 2025. These figures position both states as strategic locations for boosting business related to mobility, vehicle financing, and after-sales services.
Strategic Partnership with Hertz Mexico
Kavak aims to leverage this promising landscape in partnership with CarShop from Hertz Mexico. Recently, they inaugurated two commercial spaces in Mérida and another in Cancún, employing a co-branding approach. At these locations, customers will be able to buy or sell vehicles, as well as access financing solutions, inspection services, warranties, and after-sales support. A statement revealed that the collaboration will merge the inventory and expertise of both companies in the sale of pre-owned vehicles, combining Kavak’s technological, commercial, and financial capabilities with Hertz Mexico’s local infrastructure and presence.
Saúl Crespo Laborem, Vice President of Corporate Affairs at Kavak, noted that this collaboration signifies a natural progression in the platform’s evolution. It is driven by a commercial strategy focused on personalisation that adapts to the changing habits, interests, and needs of consumers. “The southeast region exhibits significant dynamism and a growing demand for reliable automotive solutions, making it precisely the type of market where Kavak can offer substantial benefits,” he stated.
Market Growth and Future Prospects
This assertion is supported by industry data indicating sustained growth in the regional automotive market. Estimates from the Mexican Association of Automotive Distributors (AMDA) reveal that vehicle sales in Yucatán increased by 4.5% between January and May 2026 compared to the same period in 2025, while Quintana Roo experienced an impressive growth of 13.9% during the same timeframe.
In this context, Marco Andueza, CEO of CarShop and Hertz Mexico, highlighted that “Hertz Mexico’s experience in fleet management and renewal allows us to provide pre-owned vehicles with solid backing and a maintenance history. By combining this strength with Kavak’s technological and financial capabilities, we enhance the options available for those looking to purchase a vehicle in Mérida and Cancún.”
Optimising Operations and Expanding Presence
For Kavak, the recent openings in these cities will complement its existing network, enabling the optimisation of operations tailored to the unique characteristics of each market. This expansion will not only increase its inventory but also reinforce its physical presence in the country.
In the coming months, both companies will assess the performance of their joint business model to determine the feasibility of extending this strategy to other states, cities, or localities. “This initial phase of our expansion plan will allow us to test various adaptations of our business model in local markets with distinct characteristics. Undoubtedly, all these insights will enable us to enter more cities across the country in the near future,” Crespo Laborem concluded.