In 2018, the United States automotive industry reached a little over 1 Trillion dollars in new vehicle sales and 116 Billion in parts and service. Advertising has averaged 9.5 billion dollars for the last 3 years with 56.3% from online marketing. Today consumers use third party websites to research and shop for their next purchase. These 3rd party websites limit the way consumers shop for a vehicle as they only focus is on one thing, “price”. These 3rd party sites make their money solely on charging dealers monthly fees to list their inventory. Over the last 5 years, the monthly fees for dealers to list inventory has increased to thousands, even tens of thousands of dollars per month. In todays world, consumers want options, so why not provide options for how they can shop for their next vehicle while keeping the cost down for dealers.
Due to the abundance of information available online, dealers have become more transparent for the consumer in order to get them into their showroom. In order to do so, they must be very aggressive with their pricing on these 3rd party websites. Over the last decade, this cycle has driven profit margins lower and lower for vehicle sales and has allowed the 3rd party sites to control the market. Due to the high monthly fees of these 3rd party websites, dealers must make up the difference somewhere, chancing a poor customer experience for the sake of making up the loss in price.
With the current outdated online automotive model there are several opportunities for improvement. In our research, we have found that most of the top online platforms have no real “in-dealership” experience on their executive teams. Throughout our teams 25+ years working in the dealership, we have experienced the frustrations and lack of direction that consumers get with the current online model. Carnomaly will be addressing these issues for both, the consumer and the dealer. We will be launching a digital online platform that that will be far superior than the competition. Our goal is to provide an easy-to-navigate platform that helps consumers search for a vehicle and dealers to control costs, allowing the dealer to pass the savings onto the consumer. Carnomaly’s goal is to provide a win-win for both parties involved.
THE CARNOMALY SOLUTION
Carnomaly will be the most advanced online digital platform in the automotive market. Consumers will have multiple ways to shop for a vehicle. No longer will they just be able to use the standard matrix’s that the current platforms have with just price and miles. Consumers will have new ways to shop and Carnomaly will provide them with the options needed to make an informed decision before even stepping onto the showroom floor. Carnomaly will serve 2 markets, consumers and dealers. These features will make for an easier buying experience and will allow the 30,000+ franchise and private dealers the opportunity to get in front of these customers. For the dealers, we will address the cost and inventory issues they currently have while helping them accept cryptocurrency as payment.