Carvana is beating the dealership model by just buying them.
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Carvana is beating the dealership model by just buying them. Carvana quietly buys up franchised dealerships, proving that if you cannot beat the century-old dealer model, you might as well buy it out. Jun 18, 11:31 PM - There was a time not so long ago when the automotive internet spent its days tracking the financial wobbles of Carvana. The used car giant with the massive glass vending machines seemed to be teetering on the edge of a deep financial chasm, causing many industry observers to wonder if the whole digital used car experiment was bound for the scrap heap. Fast forward to the present day, and the company has pulled off a spectacular corporate plot twist. Not only is it healthy, but it is valued higher than some of the legacy Detroit automakers. Now, it has officially crashed the traditional automotive party by quietly crossing over into the new car market. According to recent industry updates and federal dealer filings, Carvana has quietly purchased seven brick-and-mortar franchised dealerships since last year. The acquisitions are focused heavily on Stellantis brands, meaning that the digital marketplace is now an authorized dealer for Chrysler, Dodge, Jeep, and Ram vehicles. The physical storefronts are spread across major metropolitan hubs, including locations in Sacramento, San Diego, Dallas, Atlanta, Boston, and a recent acquisition in the Cleveland area...
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