KAR Auction Services, Inc., an end-to-end vehicle remarketing services provider, has announced the formation of a new Digital Services Group.
“During the past few years, KAR has invested hundreds of millions of dollars in developing a unique set of online and mobile tools aimed at building a more robust marketplace for sellers and buyers of automobiles and similar assets. Grouping these companies together is the logical next step in serving our customers with an integrated solution,” said KAR Chief Operating Officer Don Gottwald.
Among other assets from KAR’s growing portfolio, the Digital Services Group will combine several businesses and brands, including:
- OPENLANE, which provides private label platforms for OEMs, captive finance companies, banks and dealers.
- CarsArrive Network, an asset light, technology-enabled logistics platform serving used vehicle shippers and truckers.
- Recovery Database Network (RDN), an SaaS platform connecting automotive finance companies and vehicle recovery service providers.
Peter Kelly, currently KAR’s chief technology officer, will serve as president of the new group.
In addition, Kelly will continue to serve on the board of TradeRev, which operates in the Canadian dealer-to-dealer remarketing space. KAR acquired 50 percent of TradeRev in August 2014 and is currently launching the platform in the United States. Based in the Silicon Valley area, Kelly will also direct an incubator for all of KAR’s digital and mobile efforts.
“I am eager to take on this new role and excited to engage more deeply with our customers in addressing their business challenges,” said Kelly. “Our end-to-end capabilities give KAR an unmatched position to leverage for the benefit of our remarketing clients.”
Kelly co-founded OPENLANE in 1999 and has held leadership roles in the company since that time. OPENLANE has grown to become an integrated online solution for the vehicle remarketing lifecycle, specializing in the provision of branded online remarketing programs for OEMs, captive finance companies and their dealer networks. OPENLANE was acquired by ADESA, a business unit of KAR, in 2011; the OPENLANE technology powers ADESA.com. Prior to OPENLANE, Kelly had a background in engineering and project management for a U.K.-based construction firm. Kelly also earned an MBA from Stanford University’s Graduate School of Business.
“Peter is recognized as a leading innovator throughout the automotive remarketing industry, having helped create the online vehicle auction category,” said Jim Hallett, KAR chairman and CEO. “No one is better positioned to lead KAR’s growing digital portfolio and ensure we integrate these tools for our customers’ benefit.”