Sponsored

Carvana / Vroom January Pricing Cliff

bohnster

Well-Known Member
First Name
Brad
Joined
Oct 4, 2021
Threads
3
Messages
147
Reaction score
348
Location
Franklin, TN
Vehicle(s)
2021 JLU Sahara Altitude GCM
Occupation
Bourbon Taster
Carvana laid off 2,500 employees..............
yikes
All grunts I'm sure. I bet the CFO and top Controllers still have jobs though. 56% increase in revenue, 14% increase in cars sold results in 6x increase in losses. That's no way to run a business. Too many cars on the balance sheet? Too many lawsuits? Too much expansion? How does their banker continue to extend credit to finance operations? Their cash position doesn't come anywhere close to covering cash requirements. Sad. Bankruptcy looming...
 

zrickety

Banned
Banned
Banned
Joined
Aug 7, 2020
Threads
20
Messages
1,549
Reaction score
1,840
Location
USA
Vehicle(s)
2020 Rubicon 2DR 3.6L 6MT, VW 2.0T
Build Thread
Link
Occupation
Technician
All grunts I'm sure. I bet the CFO and top Controllers still have jobs though. 56% increase in revenue, 14% increase in cars sold results in 6x increase in losses. That's no way to run a business. Too many cars on the balance sheet? Too many lawsuits? Too much expansion? How does their banker continue to extend credit to finance operations? Their cash position doesn't come anywhere close to covering cash requirements. Sad. Bankruptcy looming...
I'm not sure about bankruptcy, they have a good model. If they can slim down operations and not overpay for vehicles, they'll make it.
 

Nitehawk92

Well-Known Member
First Name
Mark
Joined
Mar 11, 2022
Threads
20
Messages
1,225
Reaction score
1,775
Location
Vandalia, Ohio
Vehicle(s)
23 JLU Reign Rubicon 14 Mazda, 22 Hyundia Santa Fe
I bought my 2020 Sport stock with just anti-slip diff in Dec 2019. I had it 26 months, put 12478 miles on it and originally paid $34,300 for it. I wanted a new 2022 Sahara so I checked Carvana to see what they would give me for it. They offered my $39,110 in mid February, close to $5,000 more than I paid for it. I immediately took the offer and put the money down on the new Jeep. These car buying services can be really good, but the prices seem to vary a lot. Hit them at the right time and you can get a really good price. On a second note, they still haven't sold my old Jeep yet. It is still on their website.
 

rockadile

Well-Known Member
Joined
Oct 28, 2018
Threads
13
Messages
615
Reaction score
497
Location
PA
Vehicle(s)
2019 Mojito! JLUR
Last fall, I sold a Cherokee in great condition with low miles to Vroom. I had ordered a vehicle and got a quote from all of the online buying sites. Vroom was the best offer. While I was waiting for my new car, I listed the car online for private sale and priced it slightly above Vroom's offer. I got a ton of low-ball offers, mainly from deals but no one even matched Vroom's offer. I ended up selling it to Vroom right before my new vehicle arrived. I saw it show up on Vroom's site for a few thousand more and it sold in a week or two. I can't quite understand why someone was willing to pay that much more from Vroom than a private owner. Is it the warranty they offer?
 

Sponsored

Chance_P

Well-Known Member
Joined
Apr 8, 2019
Threads
55
Messages
502
Reaction score
453
Location
Colorado
Vehicle(s)
JTR
Paid 46.1 for my JTR 35 months ago... highest vroom offer was 46.1 exactly... local car dealer bought it from me on Monday for 48.5.
 
OP
OP
LuvHydro

LuvHydro

Well-Known Member
Joined
Jun 26, 2021
Threads
159
Messages
2,601
Reaction score
3,789
Location
Midwest
Vehicle(s)
21 JLUS Hella , 22 JLUSS Hydro
Checked my current Carvana offers for my '21 Hella and my '22 Hydro.

Offer for the Hella is 6K down from what Carvana gave me for it in Feb 22. It's at about what I paid for it new in Oct 21

On the Hydro, Carvana is at 5K more than I gave for it new in Apr 22.

KBB pegs PP sale at 7-9K more that I paid for it new.

So the market is softening a bit, at least at Carvana.
 

miklm

Active Member
First Name
Miklm
Joined
Apr 10, 2019
Threads
4
Messages
40
Reaction score
41
Location
Area 51
Vehicle(s)
2022 JLUR XR
On my 2019 JLUR, MSRP sticker was $51,6xx, I gave about $47.5 + TTT ($50k out the door)

Sold it with 26k miles on July 5 for $49,000 to a private party.

Carvana offered $46.5k, Vroom was WAY down to $38.5k, dealer offered $45k trade.

Also beware KBB gave me a dealer "cash offer" for $48,500 but when I went there to sell it they lowballed me at $45k, then called back with an offer of $46,500 when I walked out on them. I told them to pound sand.

It sold to the first buyer who came to look at it from FB Marketplace. Took me about 5 days to sell it, had a lot of lowball offer DMs, but the first "serious" buyer showed up and then went to get a cashier's check for it.

Overall I couldn't be happier with the deal. And I bought my new 2022 JLUR XR from Gupton so I got an even better deal on it below invoice. Basically, I swapped into a new XR package, new warranty, and reset depreciation for about what a lift+wheels+tires+extended warranty would cost. I got a couple options on the 2022 that I wished I had on the '19 (proximity locks, remote start & steel bumpers)
 

m3reno

Well-Known Member
First Name
Sal
Joined
Jul 21, 2018
Threads
47
Messages
1,087
Reaction score
996
Location
caldwell
Vehicle(s)
2022 Jeep Wrangler JLU
I sold my 2018 Jl with 50,000 miles for 32,500 in October of last year, I originally paid 36,200. Bought a new Sport Altitude loaded for 41,500, which included the 6% below dealer invoice plus a 1000 off if I finance through them.
 

summer4x

Banned
Banned
Banned
Joined
Aug 27, 2020
Threads
8
Messages
285
Reaction score
370
Location
Rotating Orb
Vehicle(s)
many
I think we can clearly see that all these "disrupters" are the ones responsible for massive inflation in cars, houses, etc. They lose money hand over fist while driving prices into the stratosphere. Carvana and Vroom in the auto industry, Zillow and Opendoor in the housing market. Now they're all shitting the bed. F*** 'em all - TO DEATH.
 

Sponsored

entropy

Well-Known Member
Joined
Sep 19, 2018
Threads
83
Messages
4,318
Reaction score
7,442
Location
Foothills of the San Gabriels
Vehicle(s)
Jeep Wrangler Sport S JL 2-D
Build Thread
Link
Occupation
Professional dancer/male stripper
I think we can clearly see that all these "disrupters" are the ones responsible for massive inflation in cars, houses, etc. They lose money hand over fist while driving prices into the stratosphere. Carvana and Vroom in the auto industry, Zillow and Opendoor in the housing market. Now they're all shitting the bed. F*** 'em all - TO DEATH.
Uber and lyft had artificially low prices from venture capital funding. They monopolized the market taking taxi companies down. Now funding is gone and we are being shafted by inflated uber ride prices. And theres no competition.
 
OP
OP
LuvHydro

LuvHydro

Well-Known Member
Joined
Jun 26, 2021
Threads
159
Messages
2,601
Reaction score
3,789
Location
Midwest
Vehicle(s)
21 JLUS Hella , 22 JLUSS Hydro
I think we can clearly see that all these "disrupters" are the ones responsible for massive inflation in cars, houses, etc. They lose money hand over fist while driving prices into the stratosphere. Carvana and Vroom in the auto industry, Zillow and Opendoor in the housing market. Now they're all shitting the bed. F*** 'em all - TO DEATH.
The person that bought my Hella from Carvana paid $11K more for it than I paid for it new 8 months earlier...
 
OP
OP
LuvHydro

LuvHydro

Well-Known Member
Joined
Jun 26, 2021
Threads
159
Messages
2,601
Reaction score
3,789
Location
Midwest
Vehicle(s)
21 JLUS Hella , 22 JLUSS Hydro
And Carvana is providing the funding. They are basically a predatory lender dressed up as a used car dealer.
Yup. They make their money through loans and extended warranties. On my Hella they also made several thousand just by marking it up.
 

Jeepznthingz

Well-Known Member
Joined
Jan 3, 2019
Threads
2
Messages
466
Reaction score
765
Location
Under a rock
Vehicle(s)
2021 JLURXR Tuscadero, 2023 JLURXR Reign
I worked for Carvana for a bit. You couldn’t give me one of their cars. I think they’re laundering money through, or something. Everyone of their highend cars are already sold on website. I was a transporter, and regularly saw the same cars ring moved around a couple times a week. something fishy going on.
Sponsored

 
 



Top