, which says it operates the Internet’s
largest online buying service for new cars, signed a marketing/fulfillment
deal with automotive classified ad marketplace AutoTrader.com.
Financial arrangements were not disclosed, but there’s no doubt that
Autobytel is hoping for some accretive cash on the bottom line, as its most
recent earnings report showed a wider net loss after a restructuring charge.
Autobytel last week reported a first-quarter net loss of $18.5 million, or 59
cents a share, after recording a $19.2 million charge for its European
operations. It posted a net loss of $4.1 million, or 20 cents a share, in the
year-ago quarter. Revenue for the first period rose to $20.7 million from
“AutoTrader.com has proven its expertise in automotive commerce and its
leadership in online automotive classifieds,” said Jeffrey Schwartz,
president and CEO of Autobytel. “The site has one of the largest audiences of
Internet car shoppers, making it a natural fit with our nationwide network of
trained, Internet new car dealers.”
In addition to serving as a fulfillment channel for AutoTrader.com’s Buy
Online marketplace, Autoweb.com will also be able to promote its new car
buying program to AutoTrader.com’s 7 million unique visitors monthly.
Autobytel also owns and operates Carsmart.com and Autosite.com, as well as
AIC (Automotive Information Center), a provider of automotive marketing data
Atlanta-based AutoTrader.com claims to have more than 1.5 million used
vehicles listed for sale by private owners, dealers and manufacturers. The
company’s investors include include Cox Enterprises Inc., Manheim Auctions,
Automatic Data Processing Inc., Trader Publishing, Landmark Communications,
Kleiner Perkins Caufield and Byers and eBay Inc.
Baby You Can Drive My (New) Car