The conventional way of selling a car through showroom is quickly taking a back seat and more and more innovative and unconventional methods are being adopted to attract the customers. The online marketplace is one such form of doing business which aims to ease the customer's process of buying a car, be it used or a new one.
To take the things to the next level, an American business house dealing in used cars has made the car buying process even more easy and fun. Carvana, a used car startup is eyeing a big chunk in the U.S used car market by making the buying process hassle free. Carvana's take on the used car market is to offer the car bought on the online platform through a car vending machine.
Yes, a car vending machine like a chips or water bottle vending machine. The company is offering its customers the platform to buy a car online from choosing a car to paying for it and even collecting, eliminating and human touch. Carvana has already raised more than $160 million to expand its online business that will offer the car through a shiny vending machine.
So how does this complete process of dispensing the car through vending machine works? Let's explain! First you go to the company's website and chose from more than 5000 options available. Once you get the car of your choice, you pay the money, which, according to Carvana is the lowest price available anywhere.
Once the payment is done, the entire paperwork is done online and once the deal is done, it's time to collect your car. This is where Carvana makes a difference when compared to other online businesses. For the delivery, either a Carvana employee will drop the car to your doorstep, or you can collect it through a vending machine installed at various locations.
About the vending machine, while you will understand it better by looking at the video above, let us give you a brief idea. The vending machine is actually a huge glass building like an automated multilevel parking system that will dispense the parked car once you insert the token. The requested car and the token will be arranged before the pick-up time and date.
And this is not just a concept anymore as Carvana has already opened its first dispenser in Nashville last year and plans to open many more dispensers in the coming months. While many rival company's has pointed out the idea as frivolous, Carvana is saying that this model is very useful in cost cutting in the longer run as the whole process is automated and eliminates operational costs.
We are not very sure if it will be profitable in the longer run. What do you have to say?