Roadside Assistance Startup Honk Raises $18M
HONK Technologies, the platform connecting drivers, towing professionals and insurers, today announces an $18 million round of funding led by Altpoint Ventures with participation from existing investors Venture 51 and Structure Capital.
The company said it would use the funds to build on its network of 75,000 tow truckers and roadside assisters, as well as add new services for insurers, fleet managers and manufacturers.
“We created HONK to fix what has been a long-standing, nearly universally terrible experience: getting stuck in your car on the side of the road. HONK has revolutionized the roadside assistance marketplace by using mobile technology to dispatch nearby service vehicles to stranded drivers in half the time with higher service quality, while improving utilization and providing faster payment for towing professionals,” said Corey Brundage, CEO, HONK Technologies.
Honk basically applies to the towing business the same technology ride-hailing uses, making trucks more responsive and slashing the time that a customer waits to get help when they need it, according to Brundage.
How it works.
Customers call for a tow directly from Honk via mobile web or the company’s app to find a nearby professional and track the location and estimated time of arrival of their tow truck in real time. Insurance companies, auto OEMs and fleets use the company’s transparent platform to reduce wait times by over 50 percent, improve customer satisfaction, harness their roadside assistance data and receive industry leading net promoter scores, according to a statement.
The improved experience HONK’s platform provides for drivers and service providers generates industry-leading customer satisfaction scores for HONK’s insurance and fleet clients, such as Farmers Insurance®, resulting in increased customer retention and brand loyalty.