Top 15 Carvana Competitors & Alternatives in 2023

Top 15 Carvana Competitors & Alternatives in 2023

Carvana is an online platform and retailer for buying and selling used cars. The company was founded in 2012 with the goal of making the car-buying process as convenient and stress-free as possible. To accomplish this, Carvana allows customers to shop for vehicles, finance and trade in their current vehicles, and schedule delivery or pickup at one of its car vending machines.

One of the unique features of Carvana is its car vending machines, which are large, glass-enclosed towers that hold up to 30 cars. Customers who have purchased a car from Carvana can pick it up at one of these vending machines by inserting a giant coin, similar to a giant novelty coin that you might find at an arcade. The car is then dispensed from the vending machine, just like a bag of chips from a vending machine.

In addition to its convenient online platform and car vending machines, Carvana also offers a seven-day return policy and a 100-day limited warranty on its vehicles. This gives customers peace of mind when purchasing a used car, knowing that they can return the vehicle or have it repaired if any issues arise.

While Carvana might have unique features, Carvana is not the only company in the market offering similar services. Several other companies provide similar services, giving customers alternative options for purchasing a used car. In this article, we will be exploring the top 15 Carvana competitors and alternatives. These companies offer a range of services, including online car sales, financing, trade-ins, and more. Some of these companies have a physical presence with brick-and-mortar dealerships and showrooms, while others operate entirely online.

Whether you are in the market for a new vehicle or looking to sell your current one, these Carvana alternatives are worth considering. From well-known brands like CarMax and Autotrader to lesser-known options like Enterprise Car Sales and Hertz Car Sales, there is a company on this list that can meet your needs.

1. Vroom

Vroom is an online car dealership that allows customers to buy, finance, and trade in used and certified pre-owned vehicles entirely online. The company was founded in 2013 to make the car-buying process as convenient and stress-free as possible.

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To accomplish this, Vroom offers a range of services to its customers. On its platform, customers can browse a wide selection of used and certified pre-owned vehicles, including cars, trucks, and SUVs. They can also use Vroom’s financing options to help them purchase their desired vehicle. While Vroom does not have its own financing arm, it offers financing through a network of third-party lenders. This gives customers more flexibility when it comes to financing their vehicle purchases.

In addition to its financing options, Vroom also allows customers to trade in their current vehicles as part of the car-buying process. Customers can get a trade-in value for their current vehicle, which can be applied toward the purchase of a new vehicle on Vroom’s platform.

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Vroom also offers a seven-day return policy on its vehicles, giving customers peace of mind when purchasing a used car. If a customer is unsatisfied with their purchase, they can return it within seven days for a full refund.

If you’re on the hunt for a new set of wheels but don’t want to break the bank, Vroom might be the way to go. Unlike Carvana, Vroom doesn’t provide monthly payment estimates in its listings, but it does offer financing options to help you get behind the wheel of your dream ride. And with flexible pricing on top brands like Toyota and Chevrolet, you can snag a new-to-you set of wheels for around $7,500.

2. CarMax

CarMax is a well-known brick-and-mortar and online retailer for buying and selling used cars. The company offers a range of services, including financing and trade-ins, to help customers through the car-buying process. With prices starting as low as $6,599 and financing options that’ll only set you back $90 a month, this trusted retailer is a budget-friendly choice. But don’t let those low prices fool you – CarMax’s inventory includes a wide range of models, so you’re sure to find something that fits your needs.

In addition to its competitive pricing, CarMax also offers test drives, allowing customers to see and test drive a vehicle before making a purchase. This can be a major advantage for those who prefer to have the option to see and test drive a vehicle in person before making a decision. CarMax also has a more generous return policy than Carvana, allowing customers to return a purchased vehicle within 30 days if they are not satisfied with their purchase. This is in contrast to Carvana’s seven-day return policy.

However, it’s important to note that some customers have reported issues with cars purchased from CarMax, including defects that were hidden by cosmetic restorations. It’s always a good idea to thoroughly research and inspect a vehicle before making a purchase, whether from CarMax or any other retailer.

CarMax is a nice alternative to Carvana for those who prefer to have the option to see and test drive a vehicle in person before making a purchase. Its competitive pricing and more generous return policy make it a convenient and stress-free option for car buyers.

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3. Autotrader

Autotrader is an online marketplace for buying and selling new and used cars. The company was founded in 1997 and has grown to become one of the largest and most well-known car marketplaces in the United States and the United Kingdom. Autotrader offers a range of services to help customers through the car-buying process, including automotive reviews and shopping advice, financing and insurance comparison tools, and more. 

Customers can browse a wide selection of vehicles on the Autotrader platform and purchase a car online. Autotrader also allows customers to sell their current vehicles through its platform, connecting them with potential buyers.

4. TrueCar

TrueCar is an online platform that connects car buyers and sellers. The company was founded in 2005 to make the car-buying process as transparent and stress-free as possible. To accomplish this, TrueCar offers a range of services to its customers, including a pricing tool that helps buyers get a good deal on a vehicle and a network of TrueCar-certified dealers who offer fair pricing and a hassle-free experience.

Average New Car APR (%) - Top 15 Carvana Competitors & Alternatives in 2023

One of the main differences between TrueCar and Carvana is that TrueCar focuses on helping buyers get a good deal on a vehicle, while Carvana focuses on offering a convenient and stress-free car-buying experience. TrueCar’s pricing tool allows buyers to see the average price paid for a particular make and model in their area, helping them to negotiate a fair price when purchasing a vehicle. TrueCar also has a network of TrueCar-certified dealers who offer fair pricing and a hassle-free experience.

In addition to its pricing tool and network of TrueCar-certified dealers, TrueCar also allows buyers to complete the purchase process entirely online, including financing and trade-ins. This means that buyers can shop for, finance, and purchase a vehicle entirely online, without the need to visit a dealership in person. However, you can choose to go to a dealership with a unique deal code to complete the purchase.

TrueCar is a good alternative to Carvana for those who are looking to get a good deal on a vehicle. Its pricing tool and network of TrueCar-certified dealers can help buyers negotiate a fair price and have a hassle-free experience when purchasing a car.

5. eBay Motors

eBay Motors is an online platform for buying and selling vehicles. The platform is part of the larger eBay marketplace, which allows users to buy and sell a wide range of goods, including cars. eBay Motors offers a range of services to help buyers and sellers through the car-buying process, including financing and trade-in options.

One of the main differences between eBay Motors and Carvana is that eBay Motors is a platform for buying and selling vehicles from individuals and dealers, while Carvana is a direct-to-consumer car retailer.

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Another difference is that eBay Motors is a more established platform, having been around since 1995. This means that it has a larger selection of vehicles available for purchase, as well as a more established reputation in the industry. However, it’s important to note that eBay Motors does not have the same level of control over the quality of the vehicles listed on its platform as Carvana does, as it does not directly own or sell the vehicles. This means that buyers may need to do more research and due diligence when purchasing a vehicle on eBay Motors.

eBay Motors is a solid alternative to Carvana for those who are looking to browse and purchase vehicles from a wide range of sellers. Its larger selection of vehicles and more established reputation make it a convenient and reliable choice for car buyers. However, buyers may need to do more research and exercise more due diligence when purchasing a vehicle on eBay Motors, as the platform does not have the same level of control over the quality of its vehicles as Carvana does.

6. Cars.com

Cars.com is an online platform for buying and selling new and used cars. The platform allows users to browse and purchase vehicles from a wide range of sellers, including individuals and dealers. Cars.com also offers a range of services to help buyers and sellers through the car-buying process, including financing and trade-in options.

One of the ways Cars.com differs from Carvana is that Cars.com is a platform for buying and selling vehicles from a wide range of sellers, while Carvana is a direct-to-consumer car retailer. This means that Cars.com allows users to browse and purchase vehicles from a wide range of sellers, including individuals and dealers, while Carvana only sells its inventory of vehicles. However, Carvana has recently opened a marketplace with a select handful of dealers.

Just be aware that, as with any online marketplace, you’ll need to do your due diligence before making a purchase – Cars.com doesn’t have the same level of control over the quality of its vehicles as Carvana does. All in all, though, Cars.com is a convenient and reliable choice for car buyers.

7. CarGurus

CarGurus is an online platform for buying and selling new and used cars. The platform allows users to browse and purchase vehicles from a wide range of sellers, including individuals and dealers. CarGurus also offers a range of services to help buyers and sellers through the car-buying process, including financing and trade-in options.

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CarGurus was founded in 2006 and has since grown to become a well-known and trusted car marketplace. The company has partnerships with several dealerships and car manufacturers and is available in countries around the world. In 2021, CarGurus reported revenues of $951.4 million. CarGurus deals with a wide range of car brands and models, including popular brands such as Toyota, Honda, and Ford.

8. Cars24

Cars24 is an online platform that allows users to buy and sell used cars. The platform was founded in 2015 and has since grown to become a popular destination for car buyers and sellers in India and other countries like Australia. Cars24 offers a range of services to help buyers and sellers through the car-buying process, including financing and trade-in options.

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Cars24 is a popular brand in the automotive industry, and it has partnerships with several dealerships and car manufacturers. In 2021, the company reported revenues of $729 million. Cars24 deals with a wide range of car brands and models, including popular brands such as Toyota, Honda, and Ford.

9. Cazoo

Cazoo is an online platform that allows users to browse, finance, and purchase used cars entirely online. The company was founded in 2018 and has since become a leading provider of online car sales in the United Kingdom.

The platform offers a wide selection of used cars, including sedans, SUVs, trucks, and vans of all makes and models. Cazoo also provides financing options and extended warranties to help users with the purchase process.

In addition to selling used cars, Cazoo also offers a range of services to help customers manage their vehicle ownership, including maintenance, servicing, and insurance. In 2020, Cazoo reported revenue of over $700 million.

10. DriveTime

DriveTime is a direct-to-consumer car retailer that specializes in selling used cars. The company was founded in 2002 and has since grown to become a well-known and trusted brand in the automotive industry. DriveTime offers a range of services to help buyers through the car-buying process, including financing options and a 5-day return policy.

One key area where DriveTime is different from Carvana is that DriveTime is a used car retailer, while Carvana is a direct-to-consumer car retailer that sells both new and used cars. In essence, DriveTime only sells used vehicles, while Carvana offers a broader range of both new and used cars.

DriveTime has a large network of retail locations across the United States, and it deals with a wide range of car brands and models. In 2021, the company reported revenues of $1.4 billion with 3,800 employees. DriveTime’s financing options and 5-day return policy make it a convenient and reliable choice for car buyers, but it’s important to note that the company only deals with used cars.

11. TRED

TRED is an online platform that allows users to buy and sell used cars. The platform was founded in 2011 and has since grown to become a popular destination for car buyers and sellers in the United States. TRED offers a range of services to help buyers and sellers through the car-buying process, including financing and trade-in options.

However, while TRED is a marketplace for second-hand cars sold by various sellers, Carvana is a direct-to-consumer retailer that primarily sells new and pre-owned cars. This means that TRED enables users to browse and buy used cars from many different sellers, including individuals and dealerships, while Carvana only sells its stock of new and pre-owned vehicles.

In 2021, the company reported revenues of $1.6 million. TRED deals with a wide range of car brands and models, including popular brands such as Toyota, Honda, and Ford.

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12. Enterprise Car Sales

Enterprise Car Sales is a division of Enterprise Rent-A-Car, a popular car rental company. Enterprise Car Sales is a direct-to-consumer car retailer that specializes in selling used cars. The company was founded in 1962 and has since grown to become a well-known and trusted brand in the automotive industry. Enterprise Car Sales offers a range of services to help buyers through the car-buying process, including financing options and a 7-day return policy.

Enterprise Car Sales has a large network of retail locations across the United States, and it deals with a wide range of car brands and models. In 2021, the company reported revenues of $150 million. Enterprise Car Sales’ financing options and 7-day return policy make it a convenient and reliable choice for car buyers, but it’s important to note that the company only deals with used cars.

13. Hertz Car Sales

Hertz Car Sales is a used car dealership chain that operates as a subsidiary of The Hertz Corporation, a global car rental company. Hertz Car Sales was founded in 1977 and has since grown to operate branches in over 150 locations across the United States.

In addition to offering a wide selection of quality used vehicles for sale, Hertz Car Sales also provides financing options and extended warranties to help customers with the purchase process. The dealership chain partners with top lenders to offer competitive rates and flexible financing options to customers with a range of credit scores.

Hertz Car Sales primarily deals in late-model, low-mileage vehicles, including sedans, SUVs, trucks, and vans. The company also offers a selection of certified pre-owned vehicles that have undergone rigorous inspections and come with additional warranties.

14. ACV Auctions

ACV Auctions is an online platform that provides a streamlined, efficient way for dealerships to buy and sell used vehicles. Founded in 2014, the company has since grown to become a leading provider of wholesale vehicle auctions in the United States.

ACV Auctions operates through a network of over 7,000 dealerships across the country. The platform allows dealerships to participate in live auctions from their locations, streamlining the process of buying and selling vehicles. ACV Auctions also provides a range of tools and services to help dealerships manage their inventory, including valuations, condition reports, and transportation services.

Revenue By Quarter - Top 15 Carvana Competitors & Alternatives in 2023

ACV Auctions primarily deals in used cars, trucks, and SUVs of all makes and models. The company also offers financing options to help dealerships with the purchase process. In 2021, ACV Auctions reported revenue of over $350 million.

15. Autolist

Autolist is an online platform that allows users to search for and compare used cars from a variety of dealerships and private sellers. The company was founded in 2014 and has since become a popular resource for car buyers looking for a wide selection of quality used vehicles.

Autolist has over 5 million car listings on its platform, providing users with access to a wide range of makes and models. The platform allows users to search for vehicles based on a variety of criteria, including location, price, make and model, and vehicle condition. Autolist also provides a range of tools and resources to help users make informed purchasing decisions, including reviews, ratings, and pricing information.

Autolist primarily deals in used cars, trucks, and SUVs of all makes and models. The company does not directly sell vehicles, but instead acts as a marketplace, connecting buyers with sellers. CarMax acquired Autolist in 2020; however, it remains a separate platform.

Conclusion

Several companies can be considered Carvana competitors and alternatives in the used car market. These companies offer a range of services and operate through different business models, including online marketplaces, dealership chains, and auction platforms. Some of the top Carvana competitors and alternatives include CarMax, Cars.com, CarGurus, and eBay Motors, among others. Each of these companies offers a unique set of features and services, and car buyers should consider their specific needs and preferences when selecting the best option for them.

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