FOR IMMEDIATE RELEASE
EDMUNDS.COM LAUNCHES FIRST TRUE MARKET VALUE PRICING SYSTEM FOR NEW CAR BUYERS
New Model Greatly Improves Upon Traditional Invoice/Sticker Pricing Information; Provides Consumers Most Accurate, Current Data On What to Pay for New Vehicles
LOS ANGELES, CA - June 15, 2000 - Edmunds.com (http://www.edmunds.com), the Web's leading consumer resource for unbiased automotive information, today unveiled its exclusive Edmunds.com True Market Value® (TMV®) pricing model, a formula developed over the past year by Edmunds.com experts. Edmunds.com TMV will provide new automotive buyers and dealers with a more accurate and up-to-date method to determine a realistic transaction price for specific new vehicle models. Edmunds is the first automotive information resource to offer such pricing on new vehicles for consumers and dealers.
Prior to TMV pricing, there were only two reference points to use when determining pricing for new vehicles: the sticker price (the manufacturer's retail price) and invoice price (the price the dealer pays for the automobile). Both are only rough indicators as to what a consumer should actually pay for a vehicle.
The new Edmunds' True Market Value pricing model, available immediately, free of charge online at http://www.edmunds.com, uses a specific formula that takes into account the following factors:
- Sticker price
- Invoice price
- Current vehicle supply
- Edmunds.com street price survey data
- Pricing from Edmunds' transaction partners
- Published vehicle prices
- Color and option data
All of the above criteria for a specific vehicle model are fed into a database that Edmunds.com runs through the TMV statistical models. This results in an initial derived price. Next, Edmunds.com pricing managers contact select dealers around the country for the prices they are clearing for key vehicles (especially those in short supply). This allows Edmunds.com to adjust prices to account for any lump sum factory-to-dealer incentives that may be available and reflect for regional variance in demand.
Once this dealer input is factored in, the Edmunds.com price is finalized. The final Edmunds.com TMV price does not take into consideration manufacturer to consumer incentives or rebates which would further reduce a price, nor is the destination charge included. The TMV process will be updated weekly by Edmunds.com to ensure consumers have the latest pricing information when they visit a dealer. How to use Edmunds TMV
Here's a simple example:
2000 Honda Accord 3.0 LX Sedan
|Take the Edmunds TMV®||$20,085|
|Add the Destination Charge||+440|
|Subtract the current customer rebate||-$1,200|
|Net You Should Pay||$19,325|
"Pricing information is one of the top reasons consumers visit the Edmunds.com Web site, " said Jeremy Anwyl, COO, Edmunds.com. "Our new TMV pricing system is the most accurate, timely vehicle pricing system available. TMV pricing should make Edmunds.com an even more valuable destination for every car buyer."
Headquartered in Santa Monica, CA, Edmunds.com is the Internet's pioneer and leader in providing free, unbiased automotive information. Edmunds.com empowers, educates and engages visitors by providing them with straightforward, truthful information on key aspects of buying, selling and owning a vehicle. Users are provided automobile pricing data, extensive automobile reviews, consumer information, safety updates, incentive and rebate news, expert analysis of developments in the automotive world and the Town Hall, an interactive community of more than 500,000 active members. Edmunds.com was ranked #1 in the Wall Street Journal's Survey of Car-Shopping Web Sites, was named as one of Yahoo! Internet Life's 50 Most Incredibly Useful Sites and Money's 50 Most Useful Financial Websites.