dealers are buying
and so is wall street
Imagine you drive a 1997 Toyota Camry you bought new and still pay the same monthly payment you did when it was brand new. Crazy right?
Car dealers are paying massive sums for technologies that were built more 20 years ago.
To put it plainly, more than $1 trillion is spent annually on decades-old tech. Of the products with more than 500 dealers, the newest solution came to market in 2003. And that product was acquired in 2011 for $100 million.
It is a prefect storm of timing. Dealers are looking for something new and large companies are on buying sprees.
There is no other way to say it. Dealers are not thrilled about the technologies available to them at present. Innovation seems forgotten among all the acquisitions, and these large players are paying more attention to their share prices than their customers.
16,000 franchised Car Dealers spend over $1 trillion per year on software solutions
This does not include 20,000 Independent Dealers (also known as Used Car Dealerships) nor does it include any advertising spends
The timing has never been better
We estimate that there will be at least 6,700 car dealerships looking to change one piece of their major operational technologies in the next 24 months.