ALAMO, Calif., July 30, 2002 — MyCarMyPrice.com recently launched a new car buying service that is poised to change the way people buy new vehicles. Unlike the traditional dealer referral services, MyCarMyPrice.com (www.MyCarMyPrice.com) attracts dealers which compete against one another in a reverse auction format that drives down the price for the consumer.
The automated system is designed so that the car buyer selects their make, model, and style. Buyers specify whether they will be financing or purchasing their new vehicle, and then select dealers in their area that are invited to participate in the auction. For the duration of the auction, the invited dealers place their bids based on the invoice price for the specified vehicle. When the auction ends, the buyer selects their preferred vehicle on the dealer's lot, or factory orders their vehicle if the dealer doesn't have the one the buyer wants.
"We're very excited about the response from both buyers and dealers to our new concept," says Philip Ferreira, MyCarMyPrice.com President and Founder. "The dealer's bids have been very aggressive, and the buyers don't mind paying a small fee for our guaranteed lowest price service. The success of our company is based on the principals that govern supply and demand pricing. By providing a forum for the dealers to compete with each other, the buyer naturally gets the lowest fair-market price on their new vehicle."
Currently the online new vehicle market is made up of dealer referral services that are free for the buyer. These services do not get buyers the lowest price because dealers have to pay for these referrals and there is no direct competition. In addition, the buyer may not be ready to complete the transaction; therefore, dealers are less likely to participate. Referral services sell the contact information of the potential buyer directly to the dealer, arguably making these services appear like dealer advocates.
MyCarMyPrice.com is unique because it is the only service in the market that works for the buyer. Dealers participate because MyCarMyPrice.com buyers are more likely to complete the purchase from the winning dealer since they have paid a fee for the auction service, and it's free for dealers to participate. The auction services add an element of excitement by letting the buyer watch their price go lower and lower in real time.
MyCarMyPrice.com was established on January 1, 2002 as a business concept and launched by co-founders Phil Ferreira and George Noceti in June. Phil is President of MyCarMyPrice.com and is a consummate entrepreneur having launched 321Gone, a consumer to consumer auction model. George is the company's senior advisor and an executive having led software development, internet and consulting businesses. The company is also directed by marketing expert Cameron Clifford who leads the company's marketing and public relations efforts.
Image available online at: http://www.MyCarMyPrice.com/company/press_releases/press_release_1.asp
George M. Noceti