A new chapter for Cars Auction: after years operating hybrid auctions, we've moved the entire floor online. Here's why.
When we started, the auction floor was physical. Buyers showed up in person, bid sheets changed hands, and deals were struck over handshakes. It worked — for a while.
Then the market changed. Our buyer base expanded beyond the local dealer network to include individual buyers, out-of-state investors, and international clients. Running a physical floor for a geographically distributed audience stopped making sense.
The hybrid years
For three years, we ran a hybrid model: a physical auction room with simultaneous online bidding. The theory was sound. In practice, it created friction on both sides. In-room buyers felt disadvantaged by online competition they couldn't see clearly. Online buyers had no confidence they were getting a fair shake against the room.
We spent a lot of time trying to fix these problems with technology and process. Some of it worked. Most of it was duct tape.
The decision to go fully online
Going fully online wasn't a pandemic pivot or a cost-cutting move. It was a decision we made because the evidence was clear: our best auction outcomes — highest sell-through rates, tightest buyer/seller spreads, most competitive bidding — happened on sessions that were heavily weighted toward online participation.
The physical room added cost and complexity without adding value. So we closed it.
What we've built instead
The platform you're using today is the result of that decision. Live streaming, SSE-powered real-time bid updates, condition photography, engine audio, undercarriage inspection footage, and a verified buyer identity system that gives sellers the confidence to disclose more.
We think it's better than any auction room we've ever run. The results are starting to prove it.