Used Car eCommerce Platform Holds Pop-up Event for Sellers

Used car eCommerce platform Shift has tried out another way to make it convenient for consumers to sell their cars. Already offering its customers the opportunity to get an estimated price for their car online and then complete the transaction at one of its locations or in their own driveway, Shift offered another option: a pop-up event at which it bought used cars on the spot.

The company held its first-ever pop-up event, dubbed Car to Cash, Jan. 22 in the parking lot of a horse racing track in Los Angeles. Shift provided no-obligation evaluations and offers on eligible vehicles with less than 100,000 miles.

“This event was an effort to try to see if we could stage something both for our brand and to drive more volume,” Shift President Jeff Clementz told PYMNTS. “So, it’s another test that we’re running to help us understand the most convenient ways for customers to engage with Shift and sell their cars to Shift.”

For those who sold their cars at the event, the company offered an extra credit for the car and up to $25 Lyft credit for a ride home. Digital payments were initiated within 48 hours, straight to seller’s bank account.

“Whether we buy a car at your home or at our physical locations, it’s the same process and using the same experience,” Clementz said. “This was just trying to aggregate that into one big location that we did in LA.”

The company was pleased with the results in terms of both turnout and brand awareness, he said. It measured brand awareness by the number of people who came to the website for an estimate or to find out about the event, and then turned up and sold their car to Shift.

The event was held soon after vehicle valuation and automotive research company Kelley Blue Book (KBB) reported that, as 2021 drew to a close, the average used car price was 41% higher than in November 2019, the last month before COVID-19 was first detected.

Read more: High New and Used Car Prices Keeping Pedal to the Metal Until Production Catches Up

Clementz told PYMNTS he expects the chip shortage to continue to impact new car supply, which in turn impacts the used car market.

“Perhaps maybe not as volatile as last year was, where the normal seasonality of the business as well as the average selling prices were quite different,” Clementz said. “So, perhaps not normalized, but we’re still thinking that toward the end of this year, we will start to get to a more normal state.”

In addition to the pop-up event, Shift buys used cars at the owner’s home or at one of the company’s physical locations. When selling, customers can get an online estimate in two minutes and then book an appointment. A Shift Concierge visits the customer’s location to evaluate the car, handle paperwork and buy the car. After a final inspection of the car at a Shift location, the company initiates payment via ACH transfer or physical check.

The company’s process for selling used cars is similar. Customers can shop its used cars online, have the car brought to their home for free to test drive or visit the nearest Shift, or buy the car online and have it shipped to their home with a seven-day return policy.

The appointments, financing, payments and paperwork are handled almost entirely digitally. The company also offers financing and insurance.

Shift owns all the cars listed on its site. All cars are reconditioned in-house, and they are bought and sold with no-haggle pricing. Customers can purchase the cars with ACH transfer, financing through Shift or financing through their own bank.

The company has six locations on the West Coast and a couple more in Texas. Customers can and have transacted with the company in all 50 states.

“We think we have the most customer-friendly experience to buy a car because we offer all three of those very innovative experiences in a very seamless digital checkout process so that customers can easily buy a car from us or easily sell a car to us,” Clementz said. “So, we think that having this hyper-local footprint really helps us connect to our local communities, but then the broad assortment that we offer will appeal to customers across the nation.”