Did you recently take on (or consider) a loan of 84 months or longer on a car purchase?
A reporter would like to speak with you about your experience; please reach out to PR@Edmunds.com by 7/22 for details.
A reporter would like to speak with you about your experience; please reach out to PR@Edmunds.com by 7/22 for details.
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I ordered a car from cardirect, and am now waiting for them to locate the car, etc. As others have said, I have not found them to be overly communicative during this process, but I can be patient for a while.
Does anyone know the procedure regarding trade-ins? Since you're working directly with cardirect, is it possible to trade the car in with the dealer, once they've located the dealer? Or do you work with car direct?
Any insight and experiences regarding this subject would be helpful, thanks.
I'm pretty sure you can handle the trade-in through the dealer just like any other trade-in. Know your numbers going in though, because I'm certain they are going to lowball you on it, since they aren't making alot of money on the other end. It would be better to sell yourself if at all possible. If you need the trade-in for your down-payment I would be prepared to accept low wholesale bluebook on it.
Use nada.com or kbb.com pricing to get an accurate idea of that price. My experience had been that Edmunds is higher on their wholesale price than most dealers are willing to give you.
I think that this is way too high because I leased a '98 GTP - $24,000 cap cost, 36 months, 12,000 miles, under $2,000 down and $380 per month.
I am also leasing a '99 Chrysler 300M - $29,000 cap cost, 6 months, 12,000 miles, ZERO down, $452 per month.
I think I know a thing or two about leasing by now.
Hmmmmm... after a few calculations, I figured out that CarsDirect A) uses 11% interest
On top of that, they incorrectly show Florida sales tax at 7% (what do they ask the zip code for?)
I would take the price from CarsDirect site and bring it to the dealer to see if he could match it. I think I could get a better lease interest rate on my own.
I did a 36 mos. 15K mile lease. in August, 2000.
wklenha - did your lease numbers match the approximate numbers shown on the CD web site?
when your add a layer of costs (broker) why wouldnt you expect the higher costs to be passed along to the consumer??
Rich
check out the leasing worksheet at www.dealernet.com, click on Money Matters, then Leases. Or if you go to Today's rate, you will get on the Bankrate.com web site where they have an article about leases and another worksheet which is pretty similar.
What I don't understand is the scientific foundation behind calculating the interest payments: add the Adj.Cap.Cost + Residual and then multiply by the money factor. I guess they found a shortcut that kind of works instead of teaching the dealers how to solve differential equations.
Cap Cost Reduction should be whatever additional money you want to put down.
Correct me if I am wrong.
Are you using the MSRP to calculate the residual? That may be where the numbers dont jive..
The residual is always a percentage of MSRP.
Also, the acquisition/bank fee is added to the cap cost of the car, "paying it upfront" means that you're essentially making a cap cost reduction equivalent to the bank fee.
Bill
When I leased my GTP back in 1997, the residual after 36 months and 36K miles was projected to be a bit over $14K.
With carsdirect, I am getting a higher cap cost than I negotiated 3 years ago, plus their residual is only a bit over $13K.
If you are searching for a readily available vehicle, and you are not fussy about color and options, you may do o.k. But be careful. The price quoted on the internet does not guarantee that they will be able to locate and provide delivery of your vehicle. Also, the attraction of the internet is to be able to buy a car free from haggle and game playing, at a good price. What we found out is that there can be different kinds of stresses that you can encounter. Again, be careful, and keep your eyes open.
I would have went with drive off but, I got my RX300 $750 cheaper using a tool that I received through www.fightingchance.com
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kcram
Co-Host - Smart Shopper & FWI Conferences
edmunds.com Town Hall
While the front end of my Carsdirect experience was good, the delivery process (assuming I will ever get my car) has been terrible. It seems clear that Carsdirect dropped the ball -- totally unprofessional. I'm will not use their service again -- nor would I recommend Carsdirect.com for anybody buying a car.
Rich
I'll pick up the phone anytime rather than hoping my e-mail went through and then wondering if the recipant will bother responding when and if they get it...
"CarsDirect.com to Acquire Greenlight.com; Extends Lead as Largest Multi-Brand Online Car Buying Service
Source: Business Wire
Publication date: 2001-01-31
LOS ANGELES--(BUSINESS WIRE)--Jan. 31, 2001--
CarsDirect.com Gains Market-Leading Dealer Partners, Exclusive Alliance With Amazon.com, Key Auto Industry Leader as New Board Member
CarsDirect.com, the leading direct online automotive provider, today announced that the company has agreed to acquire Greenlight.com, the fast-growing online car buying service partnered with Amazon.com (Nasdaq:AMZN). The merger, which will fully integrate Greenlight.com operations under the CarsDirect.com banner, extends CarsDirect.com's lead as the largest independent multi-brand online car buying service. Terms of the transaction were not disclosed. By combining resources, the company will unite four of the nation's largest dealer groups within the CarsDirect.com national dealer network, bringing the total number of CarsDirect.com priority dealers to almost 3,000. The acquisition will also reinforce the company's continued commitment to building strong dealer relationships by adding another key automotive executive to CarsDirect.com's board of directors, Brian Kendrick of Asbury Automotive. In addition, the acquisition will significantly extend CarsDirect.com's marketing reach and growth potential through exclusive partner relationships with Amazon.com and AutoTrader.com. "With the acquisition of Greenlight.com, we are solidifying and extending our leadership position in the online car buying business," said Bob Brisco, CEO, CarsDirect.com. "CarsDirect.com pioneered direct online car buying, and we continue to lead the industry evolution through technological innovation, consumer advocacy, intelligent investment and partnerships with top automotive retailers. As the largest multi-brand online car buying service, CarsDirect.com is the number one choice for online consumers who demand objectivity, superior service, great selection and guaranteed low, upfront pricing." "By combining the strengths and resources of our two companies, we're delivering a home run for dealers, partners, investors and, most importantly, consumers," said Joel Manby, CEO of Greenlight.com. "CarsDirect.com and Greenlight.com have always shared a vision of transforming the car buying process into a pain-free and enjoyable experience, designed around clear consumer preferences. Both our business philosophies and practices were developed to help achieve this goal. The consolidation now enables a critical next step -- the creation of a clear market leader with the world-class services, resources, marketing power and the superior dealer network needed to truly delight the growing number of online car buyers." According to Gomez, market potential for online car buying remains enormous: the firm estimates that some 10 million consumers will initiate an automobile transaction online by 2004, with new vehicles representing more than half that number -- an overall revenue opportunity approaching $200 billion. On the financing side, Killen & Associates forecasts that 40 percent of auto loans will be booked online by 2005. "Asbury Automotive initiated the development of Greenlight because it recognized early on that the dealer would be integral to a successful Internet distribution model," said Brian Kendrick, president and CEO of Asbury Automotive. "Today's transaction is a logical next step and validates that the Internet continues to evolve as an important sales channel in automotive retail. We're excited by the prospects that the CarsDirect/Greenlight combination will bring to Asbury's dealerships." Immediately upon closing of the acquisition, Kendrick will be added to the CarsDirect.com board of directors. Kendrick joins Roger Penske, chairman of UnitedAuto and Gerald Greenwald, former vice chairman of Chrysler and CEO of United Airlines, as well as idealab! principals Bill Gross and Howard Morgan, who formed the company in 1998. "By incorporating Greenlight and adding new portal partners, CarsDirect.com's marketing reach now extends broader and deeper," said Penske. "We applaud this strategic move, because UnitedAuto Group and Penske Automotive Group dealers will be able to reach more qualified customers than ever before." Commenting on the decision to combine efforts, Bill Price, senior vice president of Amazon.com, said: "We're excited to continue our affiliation with this rapidly evolving online industry. The strength of the combined network and the simplicity and convenience of the service will ensure an even better shopping experience for our more than 29 million customers."
Leadership Position Solidified via Key Synergies
Greenlight.com was founded in 1999 by Asbury Automotive, the nation's largest privately held national automotive dealer group, and top Silicon Valley venture capital firm Kleiner Perkins, Caufield & Byers. "We continue to see tremendous potential for the click-and-mortar business model, and believe that the alliance of CarsDirect.com and Greenlight.com brings together all the right elements for tremendous long-term success," said Russ Siegelman, partner at Kleiner Perkins, Caufield & Byers. Specifically, by acquiring Greenlight.com, CarsDirect.com will:
-- Gain top automotive group retailers in addition to its existing
relationship with UnitedAuto Group/Penske Automotive Group. These
new partners include Asbury Automotive, with more than 100 dealers
throughout the country, representing virtually all makes and
models of cars; Hendrick, the nation's sixth largest automotive
retailer with 61 franchises and 48 dealerships in 10 states; and
Sonic Automotive, with 168 franchises.
-- Become the new exclusive preferred partner of Amazon.com, enabling
CarsDirect.com to reach Amazon.com's 29 million experienced online
shoppers. This adds to the company's marketing reach and builds
upon CarsDirect.com's existing partnerships with Autoweb.com,
Edmunds, and Kelley Blue Book.
-- Add an alliance with AutoTrader.com, the leading Internet
destination in the United States for buyers and sellers of used
cars and for consumers seeking information regarding automotive
products.
-- Experience accelerated growth and operating efficiencies, such as
increased traffic, increased sales through aggregation, and
purchasing efficiencies through combined marketing budgets.
-- Provide an enhanced consumer experience through expanded sourcing
of vehicles from a more extensive dealer network, closer
relationships with the nation's leading automotive retailers, and
additional technology infrastructure resources to meet consumer
need for increased site features and functionality.
About CarsDirect.com
Los Angeles-based CarsDirect.com is the leading multi-brand online car buying service, providing new automobiles and related products and services, such as loan and lease financing and in-demand aftermarket products including extended warranties. As the pioneer of the direct online car buying model, CarsDirect.com offers upfront pricing to consumers, who can research, price, order, purchase, insure and finance a vehicle online via an intuitive Web site that offers product information for nearly every make, model and style of new automobile available in the United States today. Shoppers can also simultaneously compare the specifications of competing vehicles. CarsDirect.com has received top awards and honors from Forbes Magazine, PC Computing, PC World, Time Digital, Yahoo! Internet Life and e-commerce authority, Gomez. The company is funded by idealab!, idealab! Capital Partners, UnitedAuto Group/Penske Automotive Group, Primedia Ventures, Foundation Capital, MSD Capital LP, Goldman Sachs, Morgan Stanley Dean Witter, Hambrecht & Quist, E*O Investors LLC, Oracle Corp., Liberty Digital, TMCT Ventures L.P, Hikari Tsushin and Soros Private Equity Partners LLC.
About Greenlight.com
Greenlight.com was founded in 1999 to bring to new car buying the same convenience, confidence and simplicity that online shopping has brought to other consumer goods. Greenlight.com has developed a true click-and-mortar model -- combining an online buying experience with the nation's strongest network of local dealers. Greenlight.com is backed by Kleiner Perkins, Caufield & Byers, a leading Silicon Valley venture capital firm, and Asbury Automotive, an automotive retail industry leader backed by Ripplewood Holdings and Freeman Spogli."
I found this article in the News Section of Edmunds.com. You should check it out, lots of interesting information filters through there. You can use the following link to go to that section of this site: Edmunds.com News.
Car_Man
Host
I thought that some of you may find the following article interesting:
"CarsDirect.com to Acquire Greenlight.com; Extends Lead as Largest Multi-Brand Online Car Buying Service
Source: Business Wire
Publication date: 2001-01-31
LOS ANGELES--(BUSINESS WIRE)--Jan. 31, 2001--
CarsDirect.com Gains Market-Leading Dealer Partners, Exclusive Alliance With Amazon.com, Key Auto Industry Leader as New Board Member
CarsDirect.com, the leading direct online automotive provider, today announced that the company has agreed to acquire Greenlight.com, the fast-growing online car buying service partnered with Amazon.com (Nasdaq:AMZN). The merger, which will fully integrate Greenlight.com operations under the CarsDirect.com banner, extends CarsDirect.com's lead as the largest independent multi-brand online car buying service. Terms of the transaction were not disclosed. By combining resources, the company will unite four of the nation's largest dealer groups within the CarsDirect.com national dealer network, bringing the total number of CarsDirect.com priority dealers to almost 3,000. The acquisition will also reinforce the company's continued commitment to building strong dealer relationships by adding another key automotive executive to CarsDirect.com's board of directors, Brian Kendrick of Asbury Automotive. In addition, the acquisition will significantly extend CarsDirect.com's marketing reach and growth potential through exclusive partner relatio3;
Smart Shoppers / FWI Message Boards
...my guess ABTL will buy the Hunters and Gatherers or could it be the other way around?
Just yesterday, Disney announced that Go.com will be closed/sold-off.
The list goes on...
All Internet based sectors are collasping/consolidating. It's not just the car-buying services. Wall street is finally coming back to "real world" business models.
I think Frank is dead on about further consolidation happening, just how is anybody's guess.
TC
Any bets on what will happen to Greenlight's reputation for customer service?
very positive experience with Carsdirect. I picked up a 2001 Honda Civic mid-December last year. From order to pickup at the dealership was about 4 days. The service advisor was helpful and kept me up to date on the car search. Went to dealership where papers were waiting, signed, paid, went through some no pressure "extras" pitches and drove home. Can't say how cars that are in limited availability will affect your experience but I would use the service again.
Cardealers have proven time and again to be some of this America's shrewest business people.
Who else could sell K-cars to millions, hahaha
Rich
How many times does it fail when someone goes to pick up thier new car only to find that it hasn't shown up yet, or it's the wrong color, or it hasn't been detailed yet. No one is immune to making mistakes.
Some will say the internet is a middle man, but so to is the guy that shakes your hand on the show room floor and tells you to wait while he gets a price from his manager.
The only pain I see in the internet, is if I had invested in it. Using it is the greatest thing since sliced bread.
Perhaps you could share with us what you paid?
The maybe Isell could confirm if you got a good deal?
Now, that would be interesting to hear.
A day later the rebate jumped to $1500. For lack of something useful to do I obtained another quote from Cars Direct. This time they quoted $375 under invoice! I called their toll free number to confirm my suspicion. Yes, they use the factory to customer rebate in their calculations.
I suppose their clients will discover this once the car is delivered and they are asked to sign the rebate over to Cars Direct. How many folks will have the nerve to ask them to take the car back? Not enough to force Cars Direct to stop this fraudulent scheme!
kcram "Carsdirect.com continued..." Jul 31, 2000 10:59pm
universal1 "CarsDirect.com" Apr 9, 1999 12:52pm
drsancho "CarsDirect.com" Dec 27, 2000 10:58am
universal1 "CARSDIRECT.COM" Apr 9, 1999 1:23am
I think that you should be able to find answers to most of the questions that you have about this company in these areas.
Car_man
Host
Smart Shoppers / FWI Message Boards
Youre much better off, from where I sit, researching the car ytou want to buy right here in Town Hall, and see what other people are paying.
A lot of the carsdirect.com prices are beatable, if not at least matchable locally.
Just walk in and say, Hey, I can buy this car for this price plus tax only. Can you match the deal and I'll buy it right now?
An easy way to shop really.
Bill
Car_man
Host
Smart Shoppers / FWI Message Boards
I would have bought from them if they'd been a little lower, and I do know some people who have bought cars from them and swear by the service.
In 3 -4 weeks, I plan on faxing/emailing dealerships on my own as well as using this service to see which one works out the best .I'll update here with my experience.