Carvana’s latest moves involve Ally for funds and Disney for laughs
Two developments surfaced on Friday involving Carvana; one involving a serious amount of financing capacity and the other much more light-hearted as an effort to drum up interest in the online used-vehicle retailer.
First the funds as Ally Financial announced it is providing up to $2.3 billion in financing commitments over the next 12 months to support retail contracts from and inventory needs of Carvana.
Also, in celebration of their mutual affinity for e-commerce, Carvana and the characters from Disney’s “Ralph Breaks the Internet” are joining forces throughout a multi-channel campaign to highlight just how fun it can be for consumers to buy a vehicle online in as little as 10 minutes and have it delivered to their door as soon as the next day.
While the Disney movie is designed to bring out laughter, it’s certainly not funny business about the relationship Ally and Carvana have.
In its third year of financing agreements with Carvana, Ally will provide up to $1.25 billion available for bulk purchases, in addition to providing a $350 million warehouse credit facility. The $650 million floorplan credit line includes a two-year commitment and represents an increase of $300 million over the existing credit line.
“This latest agreement builds on the strong relationship we’ve established with Carvana and speaks to our commitment to supporting auto retailers as they develop innovative, digital financing experiences for their customers,” said Doug Timmerman, president of auto finance for Ally.
“Our extensive experience in the auto business enables us to tailor financing agreements that make it possible for our customers to reach their goals, and in Carvana’s case, change the way people buy cars,” Timmerman continued.
In the first two years, Ally had agreements to provide up to $2 billion in financing commitments for retail contracts from Carvana. The funding has helped position Carvana for growth as it works with more consumers.
The latest agreement also includes an increased floorplan credit line and continued vehicle sourcing through Ally’s SmartAuction platform.
“We’re on a mission to change the way people buy cars,” said Ernie Garcia, Carvana founder and chief executive officer. “This newest commitment from Ally gives us increased flexibility in investing in the growth of our company and ability to continue to deliver exceptional customer experiences every day.”
Customers who visit Carvana.com can shop more than 10,000 vehicles, finance, purchase and sell their current vehicle to Carvana in as little as 10 minutes, from the comfort of home or on the go via their mobile device.
Carvana offers as-soon-as-next-day delivery in 81 cities across the U.S. and has vehicle vending machines in 14 cities in Texas, Tennessee, North Carolina, Florida, Arizona, Ohio, Pennsylvania and Washington, D.C.
Carvana leveraging Disney movie in promotional campaign
The last thing any e-commerce company wants is for someone to break the internet. Even if that someone is Wreck It Ralph, himself.
But that’s exactly what he and Vanellope are doing in the highly anticipated Disney movie, “Ralph Breaks the Internet,” hitting theaters on Nov. 21.
Carvana is riding along for an exciting collaboration with the movie.
Throughout November, Carvana advertising featuring Disney’s “Ralph Breaks the Internet” will be all over — you guessed it — the internet, as well as TV, out-of-home and digital channels, including Carvana.com. Fans can tag along and see Ralph and Vanellope breeze through the world of online car buying with Carvana and mark their calendars to see the movie, only in theaters on Nov. 21.
To celebrate the launch of the campaign, Carvana hosted an online sweepstakes for one lucky winner and a guest to attend Disney’s “Ralph Breaks the Internet” Hollywood premiere in Los Angeles, all expenses paid.
Carvana kicked off national TV advertising with a 30-second commercial that combines animation and live-action footage, following Ralph and Vanellope as they go on a shopping spree through the internet and wind up with more than they expect.
Before the movie is on the big screen, visitors to Carvana.com will be greeted by Ralph on their computers and mobile devices, and will even have the chance to do 360-degree virtual vehicle tours of cars from the movie.
Commuters who pass by Carvana’s vehicle vending machines in the Phoenix metro area — where the company is headquartered — and Orlando, Fla., will also get a glimpse of Ralph, featuring a custom-designed wrap advertising the movie on can’t-miss, all-glass towers.
Digital channels, including social media, display ads and third-party listing sites, will encourage fans to see “Ralph Breaks the Internet” on Nov. 21 and buy their next vehicle online.
“Cars are a central storyline element in both movies, and now that Ralph and Vanellope are entering Carvana’s world, it was fitting that we join forces to showcase how we’re making car buying fun again,” Carvana chief brand officer and co-founder Ryan Keeton said.
“We hope ‘Ralph Breaks the Internet’ fans have as much fun seeing the movie as we did developing the elements of this campaign,” Keeton went on to say.