CarLotz Brings Consignment Business Model to San Antonio
CarLotz, a Richmond, Virginia-based consignment store for used vehicles, opened its first Texas location on I-10 in San Antonio earlier this month. CarLotz offers a retail consignment model that enables corporate sellers (leasing and fleet management companies) and consumers to capture a retail profit for their vehicles. This typically provides over $1,000 more in cash to the seller vs. the traditional trade-in models such as auctions or dealers. Along with the other stores opened this year in Florida and Illinois, CarLotz now serves more than half the United States with its innovative one-of-a-kind consumer and commercial used vehicle business model. TIADA was on hand for the opening of their new location to see how the new business model works.
CarLotz enables consumers and corporations to make the most money possible when selling their vehicles. For a flat fee paid by the seller, CarLotz prepares the vehicle for sale, markets it nationwide, manages buyer questions, conducts test drives from its retail stores, negotiates a deal on the seller's behalf and cuts the seller a check when the vehicle sells. The company's unique consignment model typically generates thousands of dollars more for sellers than they can get through trade-in and wholesale auction channels. Buyers shop attractive, competitively priced vehicle inventory online and through CarLotz retail locations, which are staffed by friendly, non-commissioned salespeople.
CarLotz San Antonio currently has ten employees and will grow its staff to 30 full-time jobs on its sales and service floors. The 22,000 square-foot store and lot will have the capacity to house 350 vehicles and is located on a premier stretch of one of San Antonio's most active new and used car corridors. The facility will support reconditioning efforts to ensure vehicles are in exceptional shape when offered for sale.
“Our business model is ideally suited for customers in Texas,” said CarLotz Director of Sales and Operations John Foley. “Not only do sellers make thousands more than their trade-in value, buyers save money as well, and they love our non-commissioned, transparent pricing model that takes the pressure out of the traditional car-buying experience.” The San Antonio location is located at 15447 West Interstate 10 in San Antonio and will maintain store hours from 9:00 a.m. to 7:00 p.m. Monday through Saturday.
CarLotz is also partnering with local businesses. In addition to its consumer consignment business, CarLotz is the country's largest retail remarketer for commercial and institutional vehicle sellers, using its consignment model to enable leasing companies, fleet management companies, third-party remarketers, banks and even other dealerships to directly access retail buyers for vehicles they would otherwise sell through wholesale auctions. CarLotz was launched in 2011 by co-founders Michael Bor, Aaron Montgomery, and Will Boland, who were frustrated with the traditional process of selling used cars. Since then, the company has opened stores throughout Virginia, North Carolina, Florida, and Illinois in response to growing demand from sellers for its vehicle consignment model.
CarLotz Director of Sales and Operations John Foley at the opening of the San Antonio location.