Profile: TrueCar Inc (TRUE.O)
16 Aug 2019
TrueCar, Inc., incorporated on February 25, 2005, is an Internet-based information, technology and communication services company. The Company has a data-driven online platform, which features market data and analytics. The Company-branded platform is available on its TrueCar Website and mobile applications. The Company also customizes and operates its platform on a co-branded basis for its affinity group marketing partners, including financial institutions, membership-based organizations, and employee buying programs for a range of enterprises. The Company enables users to obtain market-based pricing data on new and used cars, and to connect with its network of TrueCar Certified Dealers. It also allows automobile manufacturers to connect with TrueCar users during the purchase process and deliver targeted incentives to consumers. The Company's network of over 13,000 TrueCar Certified Dealers consists primarily of new car franchises, as well as independent dealers selling used vehicles. TrueCar Certified Dealers operate in all 50 states and the District of Columbia.
The Company's subsidiary, ALG, Inc. (ALG), provides forecasts and consulting services regarding determination of the residual value of an automobile at given future points in time. These residual values are used to underwrite automotive loans and leases to determine payments by consumers. In addition financial institutions use this information to measure exposure and risk across loan, lease and fleet portfolios. The Company also obtains automobile purchase data from various sources and uses this data to provide consumers and dealers with geographically specific, real-time pricing information. Through its Websites and mobile applications, a consumer selects a vehicle, adds desired options and inputs a Zone Improvement Plan (ZIP) code. The Company then presents the consumer with the TrueCar Curve, a graphical distribution of what others paid for a similar make, model and trim of car. Within this distribution, the Company includes manufacturer's suggested retail price (MSRP), factory invoice, and average price paid for that make, model and trim in the consumer's local market. The Company generally provides consumers with its TrueCar Average, a calculation based on the recent transactions of TrueCar users that provides an understanding of what others have paid for similarly configured vehicles. This information enables the consumer to evaluate a potential price in the context of market data.
The Company's network of TrueCar Certified Dealers interfaces with its platform primarily through its Dealer Portal, an application that can be accessed online or using a mobile device. The Dealer Portal is considered a sales enhancement tool, and it enables dealers to access information on their prospects unavailable to them in their standard customer relationship management (CRM) software. The Portal allows dealers to assess the competitiveness of their vehicle pricing relative to their market, create vehicle pricing rules, access details on potential buyers wants and needs, create custom detailed offers based on vehicles in stock, manage how their dealership profile appears on the network and assess their competitive market performance on vehicles sold through their dealership, and also includes various administrative and other management tools. The Pricing Manager provides dealers with a single interface to assess the competiveness of their vehicle pricing relative to their market and set pricing on all makes and models they offer for sale. The Sales Analyzer helps dealers understand how their pricing for recently sold vehicles compares to the market. The Offer Tool helps dealers create custom detailed offers based on vehicles in stock. The Dealership Profile enables dealers to identify their selling benefits to customers, including salesperson names and pictures, dealership makes, hours of operation, and Website and social media links.
The Company's offerings enable manufacturers to target consumers based on membership in an affinity group and other criteria. Through its platform, manufacturers can create cash incentives targeted to specific consumers and provide the ability to generate a coupon code that can be redeemed and validated at any dealership across the country in connection with the purchase of a new car. For consumers looking to purchase a used car, the Company provides an aggregated listing of used vehicles in their local marketplace. Along with displaying stated information made available by the seller about the pricing and condition of car, it provides consumers with information related to the value of other cars of the same make, model, year and stated condition in the market.
The Company competes with AutoTrader.com, Cars.com, CarGurus.com, eBay Motors, Edmunds.com, KBB.com, Autobytel.com, Google, Bing, Yahoo, General Motors, Ford and Costco Auto Program.
120 Broadway Ste 200
SANTA MONICA CA 90401-2385