GM Sales Off to a Slow Start In Ebay Pilot Program

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August 21, 2009
By the ZippyCart Shopping Carts Content Team

Ebay and GM are ten days into their four week pilot program to sell new vehicles online. Consumers who visit the site can choose to go with a “buy it now” price, or bargain online with a dealer. However this ecommerce venture is yet to result in many sales for GM dealers. Sales are not the only measurement of success for the program, but it is probably the most critical metric. They are also looking at leads received from people with interest in buying a vehicle. One metric that was a success for the first week was web traffic, with Ebay Motors receiving about 16 millions visits and the targeted websites for the program generating over 600,000 visits based on data from comScore Inc. Despite not being a very original idea, it has definitely created a buzz for both companies especially in California.

Buying a vehicle is one of the most expensive purchases outside of a home that most people make in their lifetime. It is a decision that most people prefer to do in person because it makes them more comfortable to see what they are receiving for their money. Some dealers confirmed this scenario, but still were happy as many researched online at the Ebay site and then made the finalized purchase at the dealership. Ebay has historically been known as the auction site where you can buy almost anything and bid low to try and get a bargain, but this does not carry over as well when GM is trying to sell new cars. It is still too early to tell if the program will succeed and may take even a few weeks after the pilot ends as people generally take time when making a large purchase that originated online.