PLANO, Texas – January 7, 2021 – CarOffer, retail automotive’s first automated instant wholesale vehicle trade platform, rolled out a new vehicle sourcing and trading solution to meet the inventory needs of dealer groups. Now, in-group dealers can leverage all of the power of the CarOffer Matrix platform but at a multi-store level, allowing them to buy, sell and trade among each other and match inventory needs to specific stores. Centralized control, real time appraisals and one bill of sale give dealer groups a new edge to increasing profitability and efficiency.Asbury Automotive Group (NYSE: ABG), one of the largest automotive retail and service companies in the U.S. with 91 dealerships, is among the first to enroll its stores in CarOffer’s Group Trade platform. Asbury first approached CarOffer seven months ago with the idea to develop this tool and teams from both companies worked together to build this innovative group trade platform.
“At Asbury, we’re committed to evolving the auto retail experience using the most innovative and performance-driven solutions available,” says David Hult, president and CEO of Asbury Automotive Group. “The CarOffer Group Trade platform streamlines vehicle sourcing and brings much-needed simplicity and optimization to the inventory process. It allows our dealerships to keep inventory flowing seamlessly without raising their hand to bid on a vehicle or taking focus away from servicing our guests.”
CarOffer’s Group Trade platform provides automated in-group offers in real time at point of appraisal on all group inventory. Offers can be managed and controlled centrally or at the store level, and CarOffer streamlines all logistics and inter-group transfer bill-of-sales. The Group Trade platform can also be custom-built for unaffiliated stores, creating private trading platforms for entities such as 20 Groups.
“We believe our new Group Trade platform is a break-through for the industry,” says Bruce Thompson, CEO and Founder of CarOffer. “We took the power of the Buying Matrix and dialed it in at the group level so that groups could maximize their buying power and optimize vehicle demand among store locations. It creates opportunities for profitability and scalability that have never been seen before, and we are thrilled that Asbury is leveraging this tool across their stores.”
CarOffer delivers its wholesale trading and sourcing solution to more than 2,000 rooftops nationwide. The company’s instant liquidity capability is unique to the auto industry as other dealer-to-dealer wholesale platforms require a manual launch and bidder review before an offer can be made.
Last month, global online automotive marketplace leader CarGurus (Nasdaq: CARG) announced its plans to acquire a 51% interest in CarOffer at an enterprise valuation of $275M, with the ability to buy the remaining equity interest in the company over the next three years. The deal is expected to close in January 2021 pending the requisite regulatory approvals and satisfaction of other closing conditions. [For more information, see the press release issued by CarGurus in connection with the signing of the transaction here.]
Cautionary Language Concerning Forward-Looking Statements About CarGurus
All statements contained in this press release about CarGurus other than statements of historical facts, including, without limitation, statements regarding expectations for the closing of the transaction and acquisition of additional equity interests, are forward-looking statements. These statements are subject to a number of risks and uncertainties, which could cause them to differ materially from actual results. Information concerning those risks is available in the “Risk Factors” section of the CarGurus, Inc. Quarterly Report on Form 10-Q, filed on November 5, 2020 with the U.S. Securities and Exchange Commission. CarGurus undertakes no obligation to update forward-looking statements except as required by law.
CarOffer is retail automotive’s first instant trade platform for modern day retailing that helps dealers trade more, buy more and make more. The CarOffer platform leverages the power of national scale, data and technology to help dealers acquire and exchange used inventory more profitably. The power behind CarOffer is a marketplace with national participation competing for used vehicle inventory by providing “on the money” offers at the point of appraisal along with a future 45-day guaranteed buy offer. Developed by one of the recognized pioneers in inventory management software, Bruce Thompson, the CarOffer platform is a singular seamless solution that can replace numerous service providers commonly used by dealerships, delivering significant instant savings and efficiencies. www.caroffer.com