Was it an uphill battle getting dealers?
A system like this cuts into the profits that they'd normally get from naiive customers walking through the door.
How did you pitch them?>
A system like this cuts into the profits that they'd normally get from naiive customers walking through the door.
How did you pitch them?>
Due to the way dealers are compensated (i.e. on volume for the most part), their first priority is simply to sell a car (irrespective of how much margin they make). Thus, a highly-qualified CarWoo! buyer on their doorstep is a very attractive prospect.
Further, we don't cut into dealers' margins as much as you'd think. Not all buyers' first priority is price. A lot of the time it's fit (i.e. the car has the right options, color, etc.) and a good relationship with the dealer. Buyers can use CarWoo! to play hardball if they want, but, for example, the vast majority never even use the counter-offer tool.
The pitch to the dealer is pretty simple: "We've got a buyer in your area who's looking for <car description>. She's paid us 50 bucks to help her through the car-buying process so you know that she's highly qualified. She wants to buy a car in the next week. Would you be interested in making her an offer through our website? It's completely free for you to sign up, it's free to make her an offer, and we won't even charge you if you sell her a car!"
How could you say no to that? :)