Thanks to technology and increased buyer trust, online vendors will deliver just about anything to your doorstep. Now, with companies like Vroom, you can even get a car delivered to you via a smartphone app.

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No Haggling

According to Vroom CEO Allen Bloch, one of the aspects of their online used car platform is that there’s no price haggling. When you order a pepperoni pizza you don’t try to bargain the price down. In the same manner, Vroom won’t even try to make a deal for $1 less since the company feels that it’s a waste of time. They believe in putting out a fair price and sticking to it.

Money Back Guarantee

One of the more attractive aspects the Vroom business model is the 7-day money back guarantee. This means you receive the car, drive it around for a week, and if you don’t like it you get your money back. The company simply shows up and hauls the car away. This is one way Vroom hopes to build consumer trust.

Another strategy Vroom uses is to buy cars even if they might not make money on them. The reason behind this strategy is to establish a good relationship with used car sellers who might become used car buyers in the future.

Are People Buying?

Vroom states that it’s doing about $20 million in sales per month so far. Outside investors also believe in the model and recently provided $54 million in funding. Plus other companies are competing in the space, such as Shift and Beepi, so it appears that the idea is here to stay.

Does It Make Sense And Is It Safe?

On the surface it makes a lot of sense to buy a used car this way. You’ll probably get a fair price, and the convenience factor can’t be beat. In fact, these online dealers have set up apps where you can purchase, finance, and arrange delivery of a used car in minutes. Purchasing a car online is probably about as safe as buying from any other source.

Buying an automobile is not like ordering a pizza though. It’s one of the biggest financial decisions any person makes. So it’s wise to do your homework before buying. It never hurts to compare prices since you might find big differences between dealers.

Pre-Purchase Auto Inspection

On its website, Vroom states that each vehicle they sell must pass an inspection, but this inspection is ordered by the company. If you want to be certain about the condition of the car before you buy, it might be a good idea to order an independent qualified inspection.

Conclusion

Online used car buying and delivery can be a viable option; however, any vehicle purchase should be done with prudence to make sure you get the best deal.
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Published in CARCHEX Vehicle Inspection Resources by CARCHEX on August 27, 2015