BURLINGAME, Calif., Dec. 9, 2010 /PRNewswire/ -- Refuting the widely held belief that car dealers make offers for and negotiate differently with men and women, a recent analysis by CarWoo! has found that there is little or no gender based distinction in offers.
San Francisco based CarWoo! is an online service and marketplace through which dealers are connected with anonymous buyers, extend offers and sell vehicles. Buyers are charged a nominal fee to access this marketplace while access is free to dealers. Buyers receive multiple offers while retaining their privacy and dealers obtain referrals for buyers that fall outside of the traditional automotive lead system.
The CarWoo! analysis shows that in 80% of the cases, there is no difference in either offers extended or negotiation styles based on the gender of the buyer or the gender of the dealer. This study reviewed CarWoo! marketplace transactions for cars of the same make, trim and option package in the same geographic areas. For 20% of the cases, there was a significant difference in offers extended to men versus offers extended to women.
"What is surprising in this data is not the 20% of the cases where there is a significant difference," say Peter Chiu, Vice President of Product Management for CarWoo!. "The eye-opener is that 80% of the time there is no difference at all. That is certainly not what people commonly believe or expect."
Chiu continues, "Beyond the raw data, we also interviewed a number of dealers, and in the cases where there was a consequential difference in the offers, it seems that this was not a case of gender bias, but rather was a case of a skilled negotiator making a judgment about how best to close a sale."
According to Tommy McClung, CEO of CarWoo!, "The CarWoo! marketplace data is a rich repository of real time market data. We see thousands of transactions per month and are constantly reviewing this data to extract value for both consumers and for the auto industry. This analysis represents a particularly significant finding in an industry where distrust is rampant."
The full findings and analysis can be found on the http://www.carwoo.com/blog
CarWoo!, simply the best way to buy a new car, was founded in 2009 by serial entrepreneurs, Tommy McClung, Erik Landerholm and Michael Young. It is the first online service that allows buyers to negotiate anonymously with multiple dealers, ensuring the best offers on the car they want. With early funding by Y Combinator, CarWoo! is based in Burlingame, CA and is now funded by Blumberg Capital, Comcast Interactive Capital and Interwest Partners. Find us on Facebook at www.facebook.com and on Twitter at twitter.com/carwoo.