MENU
SEARCHUsed vehicle consignor CarLotz will enable Shift to pursue a new business plan focused on allowing consumers to buy vehicles online, sight unseen, for pickup or delivery.
Given current market dynamics, Shift is optimizing inventory mix and assortment to favor value vehicles, which Shift defines as older than eight years or having been driven 80,000 miles. Pictured are 2016 Lincoln-Continental fleet vehicles on a transporter.
File photo: Bobit
Shift Technologies, Inc., an ecommerce platform for buying and selling used cars, has agreed to merge with CarLotz, a used vehicle consignment business, in a stock-for-stock merger.
The merger will bring together the most profitable assets from each company, consolidating Shift’s proprietary acquisition engine, technology platform, and strong presence on the West Coast with CarLotz’s consignment relationships and prime retail locations in the mid-Atlantic region.
Upon closing, the go-forward business plan is expected to be fully funded to profitability by the cash position of the combined company. It is estimated to have about $125 million in cash if the merger closes at the end of the year.
Shift also announced an updated business plan expected to allow it to reach positive unit economics in 2023 and company-wide profitability in 2024.
Key aspects of the plan include focusing most sales through Shift’s most profitable online checkout channel, which allows consumers to purchase a vehicle online, sight unseen for pickup or delivery, and temporarily eliminate test drives.
Given current market dynamics, Shift is optimizing inventory mix and assortment to favor value vehicles, which Shift defines as older than eight years or having been driven 80,000 miles. These operational changes will also result in a reduction of workforce across the business and a close look at Shift’s physical footprint.
“Increasingly, we’ve seen that many consumers opt for a true e-commerce offering, where they can purchase the vehicle without any in-person element,” said Jeff Clementz, Shift’s president and incoming CEO. “Focusing on this sales channel not only caters to consumer demand but is also far more profitable in terms of unit economics. I’m confident that the team we have in place is well positioned to execute on this revised business strategy, and I look forward to bringing the Shift and CarLotz teams together once we complete the merger later this year.”
Shift’s Board of Directors also appointed current Shift President Jeff Clementz as CEO effective Sept. 1. After nearly nine years in the role of CEO, co-founder George Arison will be stepping down and remaining in his role of Chairman of the Board of Directors. Clementz will continue to serve as CEO of Shift following its merger with CarLotz.
Originally posted on Vehicle Remarketing
In this AF news recap, host Faith Howell covers how Waffle House stepped up during disaster response and new AI tech on the market.
Read More →
AI is no longer a future concept for fleets—it’s already embedded in the tools, data, and decisions that operators rely on every day. In this episode of the Fleet Forward Podcast, recorded live at Fleet Forward, industry leaders take the conversation beyond hype to examine what responsible AI adoption really looks like in fleet operations.
Read More →
As fleets rethink how they capture, manage, and act on vehicle data, telematics is at a major inflection point. In this episode of the Fleet Forward Podcast, we dive deep into one of the most pressing questions facing fleet leaders today: Should you rely on OEM factory-installed connectivity, aftermarket devices, or a hybrid of both?
Read More →
Experts from telematics analytics, fleet-as-a-service operations, and national EV benchmarking share how real-time data is reshaping fleet strategy—dispelling assumptions, validating best practices, and exposing costly missteps.
Read More →
A powerhouse panel featuring experts from the American Automotive Leasing Association, CalSTART, and municipal fleet leadership dives into the realities of navigating shifting emissions rules, regulatory waivers, federal agency actions, the future of the EPA’s endangerment finding, and the push for unified standards. They also examine the impacts of tariffs, autonomous vehicle policy, battery innovation, and the accelerating global EV market.
Read More →
This episode kicks off with a deep dive into the technologies and market forces reshaping today’s fleet landscape. Host Chris Brown is joined by Laolu Adeola (Leke Services), Tyson Jomini (J.D. Power), and Richard Hall (ZappiRide) to break down real-world data, shifting incentives, and practical strategies fleet leaders can use right now.
Read More →
In the middle of natural disasters fleet managers must shift priorities to protect people and assets. What policy items should be loosened, and when should the line be held?
Read More →
In this episode, fleet leaders from municipal, university, and private-sector organizations share a candid EV reality check. From infrastructure setbacks and policy whiplash to grant funding, total cost of ownership, and charging resiliency, this conversation dives into what it actually takes to scale electrification in the real world.
Read More →
A running list of the fleet industry’s most influential leaders, recognized for their lasting impact on commercial fleet management.
Read More →
After a decade of lagging compensation, fleet manager pay is climbing. But expanding responsibilities, larger fleets, and growing complexity continue to redefine the role.
Read More →
