TrueCar said Thursday it has obtained a 20-percent stake in vehicle appraisal tech company Accu-Trade.
It’s a move TrueCar’s leadership says further positions the company to providing a “end-to-end shopping-to-showroom car-buying experience.”
Accu-Trade utilizes Galves Market Data to provide VIN-specific appraisals instantly. It can provide appraisals and valuations for consumers and dealers.
“This partnership with Accu-Trade will allow us to continue innovating towards our vision of creating an end-to-end shopping-to-showroom car-buying experience," TrueCar chief executive Chip Perry said in a news release.
“The TrueCar Trade platform, powered by Accu-Trade, is designed to serve as a modern tool for consumers and a cost-effective vehicle acquisition engine for dealers,” Perry said. “TrueCar Trade’s user-friendly design and transparent, real-time valuations enable dealers to build greater trust with consumers who want strong third-party validation of the trade-in value of their car.”
Bob Hollenshead is president of Accu-Trade. In a news release, he said: “From the sofa to the showroom floor, both dealers and their customers using Accu-Trade experience a seamless process. Our VIN-specific product enables, encourages and requires rational value validation. More than a book, it provides a skin-in-the-game checkbook, because appraisals are backed by a guarantee.
“In addition to the user-friendly consumer interface, when a dealer provides a VIN through the TrueCar Trade product, substantial value is provided, including full retail market data, days' supply, local and national pricing, and the VIN specific 'melt rate' (or the daily depreciation that requires a new, realistic perspective of inventory),” Hollenshead continued.
“Profit compression is on the tip of everyone's tongue. The Accu-Trade process and unique data set mitigate the never-addressed but frequently-encountered truth about used car operations: needlessly overtrading units further exacerbates profit compression,” he said.