What Is TrueCar
TrueCar® is a Internet shopping tool which asserts that it can display the "true" prices that dealers have sold cars for in any local market. The service was formerly called ZAG® and is designed for consumers as a "haggle free" shopping service.
According to TrueCar® TV commercials, the consumer requests a price from their software and when a price is settled with a local dealer the consumer prints a price certificate to bring into the dealership. The participating TrueCar® dealership should honor the negotiated price according to the commercials, which you can watch below.
Consumers who purchase a car through this service are not charged a fee. TrueCar® will collect a fee from the dealer selling the car. Current, dealers are charged $299 per new car sold and potentially higher commission for used car sales.
TrueCar® obtains the selling prices of previously sold cars through a variety of sources including data they extract from the dealers financial software system, called the Dealer Management System (DMS).
Concerns Documented By Automotive News
Automotive News is the leading news authority for the automotive industry and in a recent article, they outlined the controversy and regulatory claims surrounding the TrueCar® business model.
Is TrueCar® A Scam?
Automotive Trainer Jerry Thibeau shares his opinion in this YouTube video about the TrueCar® program. He also claims to have obtained email complaints from consumers who use this service, in the video below.
TrueCar.com Founder Explains How The Program Works
Founder and CEO of TrueCar Scott Painter, presents the platform to TechCrunch Conference in this video. You have to watch the advertisement and then the video will play. http://blip.tv/this-week-in-youtube/truecar-1265643
CEO Scott Painter Interviews
State Lawmakers and Dealer Association Commentary
- Colorado Department of Revenue Speaks Out Against TrueCar
- Colorado Department of Revenue Letter
- State of Virginia Issues TrueCar Stirn Letter on Advertising Violations
- Oklahoma Strikes Out Against TrueCar.com
- TrueCar.com Buckles Under State Regulations
- F&I Magazine Covers Virginia Legal Debate
- Patch Covers Bait and Switch Claims
- Detroit Bureau Covers TrueCar Policy Changes
What Critics Are Writing About TrueCar®
Members of the Automotive Industry has expressed their concerns about the TrueCar® platform. You can read some of the most popular discussion thread from their resources listed below:
- James Ziegler's Post "True Car and ZAG - Cyber Bandits or Good for the Business?
- Dennis Gailbraith and Lindsey Auguste Post on DrivingSales
- Keith Shetterly's Post "Why You MUST Cancel TrueCar®/Zag® NOW!"
- Jeff Kershner's Post "Edmunds TMV vs TrueCar – Dealers, wake up!"
- Hey ZAG - Enforce your own rules or drop them!
- Honda Tells Dealers To Stop Using TrueCar
- Does TrueCar Sell Data To Third Party Lead Providers?
- Charles Kim from TrueCar.com Ditrusts Car Dealers
In Defense of TrueCar®
Here are resources and links to articles that are supportive of the TrueCar® platform or document their company in the news:
- Scott Painter CEO Addresses TechCrunch 5.0 in This Video
- Arlene Sawyers "Painter's vision: Sales with no sales staff"
- Employee Charles Kim Defends TrueCar on ADM Forum
- Arnold Tijerina In Defense of TrueCar
- TrueCar Review – Truth About Car Industry
- TrueCar Fuels Up With $200 Million in Funding and Two Acquisitions
- TrueCar Sponsors Race Team
- TrueCar Signs 3 Year Deal With Yahoo
TrueCar® and Zag® are registered trademarks of TrueCar, Inc. You can read their About Us page from their website here: About TrueCar Inc.