CarWoo! Offers Dealers Best Way to Find Buyers; Online Service Delivers Paying Buyers at No Charge to Dealers

Oct 13, 2010, 11:31 ET from CarWoo!

BURLINGAME, Calif., and LAS VEGAS, Oct. 13 /PRNewswire/ -- CarWoo! (www.carwoo.com) today launches the first, nationwide online service that provides complete transparency to dealers selling to online buyers.  Dealers are delivered quality buyers who have paid CarWoo! in order to find a new car and can then communicate with the buyer, make offers and see exactly what other dealers are offering that buyer.  80% of CarWoo! buyers are in-market shoppers who purchase vehicles and there is no charge to dealers to participate.

CEO and co-Founder of CarWoo!, Tommy McClung explains what CarWoo! offers dealers, "the Internet has completely changed the way dealers need to operate.  Internet buyers are savvy, and they do their research and shop at multiple dealerships, often without going into the stores. Dealers are handicapped because they don't know what the buyer knows." McClung continues, "The current third party lead system just exacerbates the issues facing dealers.  Dealers pay for these leads knowing that they are being multi-sold and for the most part, the leads do not convert to sales.  This results in an extremely frustrating process."

How It Works:

Using CarWoo!, buyers describe the car that they are looking to buy, and dealers are able to make offers and communicate with the buyer through the very intuitive CarWoo! online interface.  When a buyer accepts an offer, the buyer and the dealer are introduced, and once the buyer accepts a deal, they go into the dealership to complete the transaction.

CarWoo! is not a broker and is not directly involved in the transaction. CarWoo! facilitates communication between buyer and seller in a way that is engaging and easy.  Once dealers begin making offers and are able to see the offers given by other dealers, they can more effectively compete.  More importantly, they have a 'high-touch' opportunity to woo new buyers because they can engage with them and offer great customer service each step of the way.

Transparency and Real-Time Pricing Data:

In addition to complete transparency, CarWoo! provides dealers with very accurate, real-time market pricing data.  However, price is rarely the deciding factor for CarWoo! buyers.  CarWoo! buyers accept an offer that is not the lowest price a high percentage of the time.  Buyers make their selections based on many factors, including "the fit" of the vehicle relative to their specific requirements, online interaction and responsiveness of the dealer, and occasionally, proximity of dealer and price.

"Dealers have been burdened with an out-dated system that doesn't work any better for them than it does for the buyer," says Erik Landerholm, CTO and co-founder of CarWoo! "CarWoo! makes the entire process open and transparent so both dealers and buyers know exactly what other offers come in, eliminating the guessing and cumbersome negotiating neither side likes."

Additionally, CarWoo! never takes any money from dealers, so dealers are free to make better offers, and they don't have to waste their money, time and energy on leads that often don't result in a sale.

Nationwide Dealer Support:

Today CarWoo! has over 3,000 active dealers nationwide and continues to grow.  "I have an Internet Sales team that absolutely uses CarWoo! as much as they can.  CarWoo! is one of the best online solutions for car dealers that has come along ...The quality of the buyers that CarWoo! delivers is second to none.  The dealer interface is easy.  This is just an outstanding solution," says Noel Graham, Internet Sales Manager at North Hollywood Toyota.

Car Veteran Credibility:

With veteran industry advisors and board directors that include Rob Chesney, former VP/GM of eBay Motors, Dillon McDonald, former COO of Jumpstart Automotive, Tom Taira, CEO and founder of Honk.com and co-founder of Zag and TrueCar, Jeff Fluhr, founder and former CEO of StubHub, Tim Weaver, Vice President of Sales for ResponseLogix, Niall Hay, E-Commerce Director for a major automotive group, and Michael Yang, former VP/GM of Yahoo! Autos, CarWoo! is well positioned to revolutionize the new car buying process.

"CarWoo! delivers to dealers an opportunity to submit offers to real buyers at no cost to the dealer. This is an extraordinary value proposition," says Dennis Galbraith of RevenueGuru.com.  "After a careful review of the facts and data, it can now be concluded that the best traffic for new vehicles comes from CarWoo!, a source dealers cannot purchase and absolutely must understand."

Available Immediately:

Consumers have the option of two plans with which to negotiate anonymously with dealers with availability today at http://www.carwoo.com and coming soon to its online partners. CarWoo! executives will be available at Digital Dealer, Blogworld Expo, and J. D. Power and Associates Automotive Internet Roundtable.

About CarWoo!

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.

SOURCE CarWoo!



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