Penske Automotive Group, Inc., (NYSE:PAG) and Cox Automotive, Inc. (CAI), announced July 22 they have developed a transformational, fully automated technology platform to enable the online retail sale of used vehicles, according to a news release.
The automated online buying platform, owned exclusively by Cox Automotive, allows consumers to select from high-quality, used vehicles through PAG’s U.S. CarShop used vehicle SuperCenters and franchised dealerships.
Cox Automotive’s patent-pending artificial intelligence retail technology, Esntial Commerce, powers CarShop’s U.S. digital platform to provide consumers with an automated, 100% online vehicle purchase. Features include personalized monthly payments across all inventories, trade-in capabilities, application, approval for financing, digital contracting, and digital signatures.
Esntial Commerce offers payment personalization based on the consumer’s risk profile, selected vehicle, and preferred deal structure using an AI/machine learning algorithm. Offering actual financing and the ability to immediately transact online allows consumers to move forward confidently, knowing their financing has been approved.
Thisscalable eCommerce platform and its artificial intelligence enable automation for retail operations so that consumers can:
- Instantly compare up to four vehicles
- Receive personalized payments for the consumer’s selected vehicles based on each consumer’s credit profile, including payments for taxes, titling, and other fees
- Select their payment terms based on credit profile
- Add aftermarket protection products
- Determine trade-in value
- Receive approval for financing
- Complete and sign deal paperwork online
- Make any required down payment
- Arrange for delivery directly to the consumer’s preferred location, either at home or one of CarShop’s U.S. locations
CarShop is the first retailer in-market with Cox Automotive’s solution. Penske Automotive Group Chair Roger Penske said in the release, “Over the last year the PAG and CAI teams have collaborated on this unparalleled technology that delivers a completely digital solution to the marketplace. This new digital platform meets the digital-first demands of today’s customer while providing us with the opportunity to offer our customers 100% online functionality.”
“Penske’s CarShop powered by Cox Automotive Esntial Commerce delivers personalization, F&I automation, and a seamless closing of the transaction when buying a vehicle online,” said Steve Rowley, President of Cox Automotive. “No one has delivered an automotive eCommerce solution that can scale to support the industry’s transformation for retailers and for consumers – until now. As our solution matures, we expect it to drive both consumer satisfaction and profitability.”
PAG has launched this fully functioning digital platform in select markets through its CarShop used vehicle SuperCenters at www.carshop.com. Cox Automotive continues to focus on development to further enhance the user experience, operational efficiencies, market expansion and to add vehicle inventory.
Building on its mission, Cox Automotive developed this wholly owned solution to drive automotive industry transformation and will be offering Esntial Commerce to additional clients later this year.