MyDealerOnline demoed in Washington, D.C. during Tech.co's Startup of the Year competition back in the fall. They didn't win, but that doesn't mean they don't have a solid business model.
What this company does is help car dealers sell used cars before they even arrive on the lot. They do this by aggregating the inventory at car auctions, where dealers usually buy cars, and market the vehicles on the dealer's site before they've been purchased and transported.
According to Andre Pak, investor relations expert at MyDealerOnline, 76 percent of people looking to buy a car, start their search online.
“When they're looking for an exact car and model and not finding that one the dealer's website, they leave the dealer's website without even starting the conversation.”
MyDealerOnline solves this problem and helps out these dealers in a unique way.
“With MyDealerOnline, we already pre-upload this virtual inventory onto the car dealer's website,” says Pak. “And now when the consumer is stumbling upon the dealer's website, or when they're doing a Google search, or any other search online, they're finding this dealer, they're finding the car that they want, and they start the conversation with the dealer.”
The founders of MyDealerOnline had a previous venture with RideSafely, which was one of the pioneers in online brokering. They started in 2003 as a broker and intermediary between auctions and dealers. Once the competition got to heavy they made a slight pivot. They decided to instead build a technology platform that dealers can use to market a virtual inventory directly from the auctions.
To hear more about how MyDealerOnline is changing the car dealership game, check at the whole video here.