ACV Auctions: Operating Model
Former VP Operations Strategy at ACV Auctions
Interview Transcript
This is a snippet of the transcript.to get full access.
For a concrete example, how far would an inspector typically travel to a car dealer on average?
I have my personal opinions on this, but yes, it can create upside unit economics. One more thing I want to mention. The reason for ACV's growth pattern in terms of expansion, as you can see from our analyst day deck and some of the presentations we've had, is that the Northeast has historically been our best-performing market. This is partly due to geographic population density. Because you can service so many more vehicles in a shorter distance, you have much better unit economics in terms of inspector density in a market and available opportunities in the northeast than you do out West. We've struggled with slower growth rates out West, partly due to geographic challenges.
This is a snippet of the transcript.to get full access.
What about equipment? Do you provide them with any tools, like a computer or tablet, for the inspection?
We provide about $2,500 worth of equipment per inspector. This includes our proprietary virtual lift, an iPhone, an audio recording device, and an OBD2 device. If they want to buy additional tools like wrenches or lights, that's on them. But our baseline equipment cost is around $2,500. Everything is run through a mobile application. We don't provide laptops or tablets.
Free Sample of 50+ Interviews
Sign up to test our content quality with a free sample of 50+ interviews.
Related Content

Carvana: Titling Process Challenges
Former Title Specialist at Cox Automotive

Copart: International Growth, Dealer-Led Exports, and the ‘Pure Sale’ Advantage
Former Sales Manager at Lion Trans

Carma & Australian Used Car Market: Dealer Finance Penetration & Sourcing Challenges
Former Executive at Dealer Motor Finance Australia

Carma & Australia Used Cars: Dealer Constraints & Supply Bottleneck
Former Vice President at Toyota Finance Australia
© 2024 In Practise. All rights reserved. This material is for informational purposes only and should not be considered as investment advice.