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CarGuru's 100% Rate Increase!! 2nd time in 2 years

Discussion in '3rd Party Leads and Automotive Classifieds Sites' started by mbmotorsports, Jan 3, 2016.

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  1. CortneyAS

    CortneyAS
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    @mbmotorsports@mbmotorsports - Which package/level are you on with CarGurus? That seems like a really significant rate increase...did they add more features or value? Or just charging more for the exact same tool/feature-set?
     
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  3. mbmotorsports

    mbmotorsports
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    I have to say the people at Carguru's have been great awith addressing the concerns I posted on this forum. I wont go into specifics but they have acted very professional and have proved that they appreciate my business. Thanks carguru's!
     
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  4. mbmotorsports

    mbmotorsports
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    courtney, we have the higest package with almost 200 cars in stock. Carguru's has been very professional in addressing my concerns posted on this forum.
     
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  5. Craigers

    Craigers
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    Good Evening, My name is Craig Petersen w/ eBay Motors. We have introductory subscriptions ranging in the 1k to 2k range. Our subscription pricing typically doesn't change for 2 to 3 years. If you'd like to schedule a discovery call, just contact me via the forum. We can keep things purely educational.
     
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  6. Alexander Lau

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    Attribution is your answer.

    If you can show them how well they are doing and how well you are doing, it's a win; win. It's a case by case basis. The analysis that I've seen, CarGurus drives a ton of conversions (traffic).
     
  7. JuliePetree

    JuliePetree
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    Julie
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    @petree_julie
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    Cargurus sent us the same dreaded email for the 2nd year in a row. It is very discouraging when we have not changed anything.,. no new features.. no extra inventory and now they want a 50% increase. My stores budget didn't increase so now I have asked for a reprieve with the rate hike but I am not sure I will be able to keep them even though I like them. Anyone have any ideas??
     
  8. Blair

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    Cargurus dealer pricing algorithm makes about as much sense as their car pricing algorithm. Their goal is to make $300 per close from their leads. So, if they send you 50 leads/mo, they expect you'll close 5 of those, and will charge you $1,500/mo. They will negotiate, but it's a long process. We got them to almost match our previous years amount, but in the end ended up cancelling, and going back to their free service.
     
  9. Jeff Kershner

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    Cargurus is on my SHIT LIST right now. We had an obvious breakdown in communication which quickly prompted a cancellation notice. They didn't seem too eager to earn my business back.
     
  10. georgenenni

    georgenenni
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    The dealers I work with who are using CG are charged anywhere from $700 to $2k per rooftop per month, including independents, single rooftops and groups. Cost per leads around $20-30, cost per sale averages around $200. When you compare cost/VDP, cost/lead with other major portals, CG seems to deliver pretty high value IMO. In CG's Q3 financial results from WSJ, said average annual revenue per subscribing dealer (AARSD) in the U.S. was $11,526, an increase of 16% compared to $9,939 in the third quarter of 2016. I expect rates will continue to climb, with a goal of $24k in AARSD.
     
  11. Jeff Kershner

    Jeff Kershner
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    @georgenenni@georgenenni I totally agree. Maybe it's the region but we have always had good to great results with CG. I would much rather pay GC rates over AutoTrader and get way better results. It's unfortunate we had a break in communication, and gave notice of cancellation.
     

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