U.S.-based dealers will migrate to BacklotCars, while Canadian dealers will continue operating exclusively on TradeRev.
KAR Auction Services is combining its TradeRev and BacklotCars platforms into a single digital marketplace.
U.S.-based dealers will migrate to BacklotCars, while Canadian dealers will continue operating exclusively on TradeRev, according to KAR Auction Services. The company is combining the dealer-to-dealer marketplaces to provide sellers access to the largest buyer base possible and give buyers access to greater, more diversified dealer inventory.
The company selected BacklotCars based on its accelerated growth and high performance in terms of conversion, price retention and customer satisfaction.
"We're excited to give U.S. dealers the best of both worlds by combining these platforms into a single, consolidated marketplace," said Peter Kelly, president of KAR. "Since the acquisition of BacklotCars, we've surveyed our dealers and performed extensive analysis to develop the very best solution for our dealers."
The company began simultaneously migrating buyers and sellers onto BacklotCars several weeks ago to ensure the smooth, seamless transition of supply and demand, the company said. The combined marketplace now features inventory from thousands of franchise and independent dealers nationwide, and nearly 80% of the inventory is sold to dealers outside of the seller's local market.
Buying dealers also have access to BacklotCars' integrated "Float" floorplan financing and one-click vehicle logistics and delivery options. And the company has combined sales and operations teams to rapidly onboard and activate new and existing customers and ensure "first week" success for every buyer and seller.
Over the next several months, the company will continue to enhance BacklotCars by integrating select features and functionality from TradeRev and leveraging the broad digital marketplace expertise from across KAR. This will include options for utilizing the company's network of 59 ADESA physical locations for reconditioning, storage, logistics and auction sales.
"Our combination of digital and physical assets is unmatched in the industry and provides dealers with options you can't get from a digital platform alone," said Kelly. "We're excited to introduce these capabilities to BacklotCars' dealers and continue leveraging our footprint for the benefit of our entire dealer network."
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