CarDay Announces New Long-Term Partnerships with Two Auto Retailers
CarDay Inc. (www.carday.com), a brick and click online exchange for used vehicles that incorporates a network of franchised automotive dealers for private buyers and sellers, announced new multi-year partnerships with the Planet Automotive Group and Dah Chong Hong USA (DCH USA).
Two of the largest automotive dealer groups in the nation, Planet Automotive Group and DCH USA each generate more than $1 billion a year in revenue. Over the coming months, Planet and DCH will house and operate CarDay franchises in approximately 30 of their dealerships throughout New York and New Jersey as well as in other major markets.
Under the agreement, CarDay offers consumers pre-owned vehicles from DCH USA and Planet Automotive Group. Dealers conduct CarDay's 110-point inspection on each of their cars available on the site and each dealership will serve as a CarDay "Certification Center" guaranteeing buyers a high-quality selection of used vehicles. All CarDay vehicles come with a minimum six-month/6,000 mile powertrain warranty provided by Universal Underwriters; a CarFax or other CarDay preferred vehicle history report; advice on determining pricing; and assistance with financing, insurance, registration and tax issues.
CarDay officials said that dealers who partner with CarDay experience immediate benefits. This includes the opportunity to list their inventory on a powerful Website; to lower vehicle selling expenses as a result of the "virtual lot"; to achieve faster inventory turn-over; to increase business in high-margin departments such as used cars, financing, service and parts; to increase showroom traffic; and to capture customers in the estimated annual 45 million-unit used car market.
By year-end, CarDay expects to have 100 certification centers operational in the Northeast. The company already has partnered with other established and respected megadealers in the Northeast including:
-- Burdick Auto Group in Syracuse, NY
-- Holtz House of Vehicles in Rochester, NY
-- Northtown Automotive Companies in Amherst, NY
-- Sussman Automotive Group, in Southern New Jersey and Philadelphia, PA
-- Ira Motor Group, Danvers in Danvers, MA
-- Inskip Automotive Group in Middletown, RI
Joseph Shaker, founder and president of CarDay, said, "Since the beginning, CarDay has been built for dealers on the belief that no volume of used car transactions can happen online without the fulfillment of a franchised auto dealer. Sellers have payoffs and buyers need to finance. That's why we have partnered with the highest-quality dealers like DCH and Planet. We welcome them and the other large groups to our rapidly growing network of dealers."
"Planet Automotive Group is very pleased to team-up with CarDay," said Joseph C. Herman, president and COO of Planet Automotive Group. "The CarDay Website adds a unique new dimension to our brick and mortar dealerships, and will allow us to offer our used vehicles to a wider segment of the public in an efficient manner. We look forward to a long relationship."
"We are very excited about our partnership with CarDay," said Shau-Wai Lam, president and CEO of DCH USA. "We have talked to virtually every dot-com in the used car business and have found that the auto professionals at CarDay know and understand the industry. Their business model holds tremendous promise. Their product is cost effective, efficient and well-designed."
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