Beepi Breaks Down, online.cars Gains Traction
It is no secret that car shoppers are sick of in-person dealership experiences. While new car buyers can simply head to the manufacturer’s website and order up a brand new model to their exact specifications, pre-owned buyers have been stuck with the in-person antics that used car dealerships are infamous for providing. For those lucky enough to find the exact vehicle they want in good used condition, they still have to put up with shady salesmen, and all of the games those shade-sters are experts in playing. In an effort to help buyers find quality used cars, Indianapolis, Chicago, Los Angeles, and other cities across the nation are coming up with ways to help change the current buying experience. From rumors swirling that Amazon will soon offer a car buying option on its e-commerce website, to big stores like Costco selling vehicles to its members – the race is on to provide a viable solution to this all-too-common problem. Unfortunately, for one well-meaning company, this endeavor was far too much for them to handle.
Beepi Closes It’s Doors
Beepi is, or rather was, a used car buying marketplace, set up in an attempt to help consumers find used cars easier, and without having to go through a dealership. The concept was simple enough, matching used car sellers with potential buyers in a peer-to-peer virtual marketplace. Beepi guaranteed that sellers would fetch a certain price for their cars, which was always more than the dealer trade-in value. Once a seller was interested in utilizing Beepi to find a buyer, the company would send out a representative to perform a 240-point inspection, and ultimately set a selling price for the vehicle in question. What made Beepi different from other online marketplace sites, is that it guaranteed to buy the car for the amount it was appraised, if it didn’t sell within thirty days. For complete peace of mind on the buying end, Beepi only allowed vehicles to be sold that passed their rigorous inspection process, and handled all DMV paperwork, as well as delivery.
Sounds good, right? At first, and even second glance, Beepi seemed like a dream come true for used car buyers and sellers alike. A solution that would end in-person dealership transactions and visits entirely, a true ace-in-the-hole business plan. After that approving second glance, however, Beepi users began to see the other side of things, and that third glance was not so forgiving. Once a buyer found a used car he or she liked on Beepi’s website, that buyer would have the option to buy it, and have the vehicle delivered directly to his or her driveway. The convenience factor was undeniable, but something seemed to be missing…a test drive. As much as buyers love to buy things like books, appliances, and clothes without first seeing them in person, Beepi learned the hard way that the same is not true for used cars. Despite their 10-day money back guarantee, Beepi’s seemingly worthwhile solution eventually fizzled out.
Where Beepi Took a Wrong Turn, online.cars Got it Right
As promising as Beepi’s business plan seemed, the two-year old company could not manage to stay afloat. online.cars is another automotive online marketplace, but uses a different business plan to connect buyers with quality used cars. After learning more about Beepi’s demise, we took it upon ourselves to compare how their structure differed from that of online.cars.
• No Test Drives: Beepi hung its hat on the fact that used car buyers are sick of dealership experiences and limited options, but did not consider the fact that people are not keen on making such a hefty purchase, sight unseen. Despite their ten-day money back guarantee, used car shoppers ultimately decided that the hassle of returning a car and going through the process of getting their money back, was far greater than any benefit the company offered. Even without original market research of their own, industry experts like Autotrader conduct surveys every year, with a recent 2015 poll finding that 90-percent of used car shoppers would not buy a car without a test drive. It didn’t take a company like Beepi to fail for online.cars to get things right. The web-based car finder service helps used car shoppers locate used cars from dealerships across the nation, and provides them with three options to choose from. If one is worthy of closer examination, online.cars delivers it directly to the Cincinnati area for the potential buyer to test drive, obligation free. While we can’t be sure the lack of test drives ultimately lead to the end of Beepi, we are comfortable speculating that it played a major part in its dissolution.
• Taking Ownership of Unsold Cars: Beepi did not offer used car shoppers the chance to test drive a car prior to taking ownership, and the company even took one more step that further cemented its demise. Beepi gave users on its website 30 days to sell their vehicles, at which point the company promised to buy it at the price it was originally appraised for. While this is great for the seller, it proved to be a bad move for Beepi’s bottom line. By the end of last month when the young start-up closed its doors, the company had over 200 cars in its possession, which were yet to be sold. online.cars is a true web-based marketplace for new and used cars, and rather than working with private sellers, online.cars locates vehicles from dealerships across the nation. With access to more than 100,000 new and used vehicles, car shoppers have unbelieveable access to a wide range of makes and models from nearly every price point with online.cars. Because online.cars works directly with dealerships, the company is not left sitting on an inventory of unsold cars that are hurting the bottom line. Rather, when a car shopper finds a vehicle they want to purchase through online.cars, the company ships it to the Cincinnati area for the potential buyer to check out in person.
online.cars Remains Open for Business
Whether you relied on Beepi to find your next used car, or you were hoping that the company would be the answer to common car buying complaints, you can rest easy knowing that online.cars is still very much in business. With a real solution to car buying, online.cars offers hope to thousands of car shoppers who want to see the industry as a whole, changed for the better. Head online to the online.cars website today, and discover why this business will continue to thrive, while companies like Beepi proved unable to survive.