CHICAGO, July 16, 2018 /PRNewswire/ -- Cars.com Inc.
(NYSE: CARS), a leading online automotive marketplace, and media
company The Washington Post, have entered into an agreement to
convert the Washington, D.C.
market into the Cars.com direct sales channel, effective
August 1, 2018. The agreement comes
more than one year in advance of the contract's expiration date and
follows the recent early conversions of McClatchy and tronc
markets. With this agreement, Cars.com will have converted more
than 60 percent of wholesale revenue by the end of 2018 and
directly serve 84 percent of dealer customers.
Approximately 350 dealers will convert from The Washington
Post's affiliate network into Cars.com's direct sales
channel – giving Cars.com the ability to directly offer its full
suite of digital solutions to dealer customers. As part of the
agreement, The Washington Post will also provide marketing and
advertising support to promote Cars.com's digital solutions to its
83.5 million unique visitors per month1 to help grow
traffic to Cars.com and sales throughout its dealer network.
Washington D.C. was one of the top
10 markets for new vehicle sales in 2017, according
to Cars.com's data.
"We continue to maintain the rapid execution of our strategic
initiatives. The Washington Post will be our third early affiliate
conversion in less than a year," said Alex
Vetter, Cars.com President and Chief Executive Officer. "Our
fast pace of innovation, and delivery of new social products as
well as high quality digital solutions from Dealer Inspire, will
enable our direct sales team to provide even further value to our
dealer customers through access to the industry's most
comprehensive digital product suite and the Cars.com advertising
platform."
"The Washington Post was one of the founding news organizations
to participate as a local market affiliate of the national Cars.com
network. This agreement for incremental advertising will allow us
to continue to promote local auto dealers throughout the metro DC
area while focusing on our strategic core to make a positive impact
on our profitability," said Jed
Hartman, Chief Revenue Officer at The Post.
Cars.com notes that The Washington Post represented
approximately 6 percent of Cars.com's wholesale revenue
in 2017, including $2 million of unfavorable contracts
liability amortization. Cars.com expects to report
approximately $1 million of
incremental revenue for the remainder of 2018 (or approximately
$2 million before the impact of
the reduction in revenue amortization) from this affiliate
conversion.
1The Washington Post monthly unique visitors
according to comScore Multi-Platform, US May
2018.
About Cars.com
Cars.com™ is a leading two-sided digital automotive marketplace
that creates meaningful connections between buyers and sellers.
Launched in 1998 and headquartered in Chicago, the company empowers consumers with
resources and information to make informed buying decisions around
The 4Ps of Automotive MarketingTM: Product, Price, Place
and Person, by connecting digitally empowered advertising partners
with in-market car shoppers and providing data-driven intelligence
to increase inventory turn and gain market share. A pioneer in
online automotive classifieds, the company has evolved into one of
the largest digital automotive platforms, connecting thousands of
local dealers across the country with millions of consumers.
Through trusted expert content, on-the-lot mobile features and
intelligence, millions of new and used vehicle listings, a
comprehensive set of pricing and research tools, and the largest
database of consumer reviews in the industry, Cars.com is
transforming the car shopping experience.
Cars.com properties include DealerRater®, Dealer Inspire®,
Auto.com™, PickupTrucks.com® and NewCars.com®. For more
information, visit www.Cars.com.
About The Washington Post
(www.washingtonpost.com)
The Washington Post is an award-winning news leader whose
mission is to connect, inform, and enlighten local, national and
global readers with trustworthy reporting, in-depth analysis and
engaging opinions. It combines world-class journalism with the
latest technology and tools so readers can interact with The Post
anytime, anywhere.
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SOURCE Cars.com Inc.