https://www.dailybulletin.com/2019/09/06/what-is-that-tower-next-to-the-10-freeway-in-ontario-a-car-vending-machine-of-course/
What is that tower next to the 10 Freeway in Ontario? A car vending machine,
of course
September 6, 2019  Steve Scauzillo

[images  
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Carvana, an 8-story glass car vending machine, as seen in Ontario Friday
Sept. 6, 2019, is the companys second facility in California, the other is
located in Westminster. Carvana has approximately 50,000 used vehicles
available online which can be shipped to any location. (Photo by Will
Lester, Inland Valley Daily Bulletin/SCNG)
]

Online sales site opens vehicle-delivery tower

Vending machines typically dispense coffee, soft drinks, chips, candy — and
some at airports can drop a smart phone or a pair of earbuds.

Now, an e-commerce car company based in Phoenix has super-sized the concept,
taking it to a whole new level.

On Friday, Sept. 6, Carvana unveiled a car vending machine in Ontario, the
first one in the Inland Empire and the second in California. That’s right, a
machine that spits out automobiles.

[image]  Carvana employees Amy OÕHara demonstrate how a purchased vehicle is
lowered to the ground floor in Ontario Friday Sept. 6, 2019. The 8-story
glass outlet is the companys second car vending machine in California, the
other is located in Westminster. Carvana has approximately 50,000 used
vehicles available online which can be shipped to any location. (Photo by
Will Lester, Inland Valley Daily Bulletin/SCNG)

This gleaming glass tower that stands eight stories tall opened for business
Friday, a week after the grand opening of the one in Westminster off the 405
Freeway. The Ontario edifice looms over the busy eastbound 10 Freeway just
west of the 15 Freeway. As drivers gazed up at the magic machine loaded with
27 cars, they wouldn’t be able to exit and buy one. The cars are reserved
for those who’ve already pressed “buy” on their computer or mobile device.

“Well, those cars driving by can see the cars in the tower but all of the
vehicles will already be spoken for,” said Amy O’Hara, associate director of
communications for Carvana, during a vending machine demonstration on
Friday, Sept. 6.

Car buyers don’t show up with rolls of quarters. Carvana requires shoppers
to pore through the approximately 15,000 used cars for sale pictured on its
website (carvana.com), where the customer buys a car sight unseen. The
customer meets a Carvana employee at the nearest vending machine at an
appointed time. The rest is like a delivery side show that puts an
exclamation point on this non-traditional way of buying a car.

“The customer advocate will hand you a commemorative coin that is about the
size of a hockey puck. You drop the coin in the slot. A lift will go up in
the tower and grab your vehicle and bring it down into a delivery bay,”
O’Hara explained.

The customer can drive the car for up to seven days. If he doesn’t like it,
he can return it, she said, although mileage restrictions apply. Buyers get
a 100-day warranty.

When O’Hara dropped a coin into the machine’s lighted pedestal, the
hydraulic lift found a blue Subaru WRX, put the hooks into the elevated
cargo bay and pulled it into the center, then lowered it down to the ground
floor. The demo was repeated for the red, 2017 Nissan Leaf, an electric
vehicle.

“It is fun, memorable, unique,” O’Hara said. “The other option is to have
your car delivered to your home. You can have the bragging rights to say you
bought your car from a vending machine.”

Online car-buying is a growing business. Carvana, which started in 2012 and
went public in 2017, is one of more than a dozen similar companies. Using
the symbol CVNA, stock is traded on the New York Stock Exchange. Carvana
joins a host of other online companies such as cars.com, cargurus.com,
ebaymotors.com, vroom.com, carsoup.com and others, including CarMax, which
has both online and physical sites.

Carvana claims its prices are set $1,000 below Kelley Blue Book values. “We
don’t have sales reps or a large overhead,” O’Hara said. A car can be
purchased in as little as 30 minutes, that includes time online buying the
car and picking it up at the vending machine, she said. Prices are fixed.
Haggling and negotiating are a thing of the past.

But there is some fine print.

First, Carvana sells used cars only. The company is picky about what cars
get listed on its site. Usually, the cars are no more than 3 or 4 years old.
Often, they are cars given back to banks when the lease runs out.

Second, the buyer doesn’t get to drive the car until the deal is
consummated. When asked if that’s a problem, O’Hara said that’s what the
seven-day return policy is for. “You have the time to take it on your
commute or install the child car seats to make sure it fits your life,” she
said.

When not dispensing cars, the tower can become a light display. In
Nashville, Carvana lit up the vending machine during Halloween to resemble a
giant bag of candy. In Tempe, Arizona, the company honored the Major League
Soccer team Phoenix Rising Football Club with an animated display matching
the team’s colors — brick red, said David Briggs, vending machine service
manager.

One day, Carvana may light up the Ontario machine in Dodger blue or Laker
purple. But Briggs was keeping those design plans under his hat. Perhaps the
car vending machine can honor the Ontario Reign, the minor league hockey
team playing in the nearby Toyota Arena, someone suggested.

Even without the concert lighting, the tower — a curiosity to freeway
gawkers for months — resembled for the first time a car storage or delivery
system, albeit eight floors in height. Some say it looks like a life-sized
Hot Wheels set.

“We’ve had people coming in and looking,” Briggs said. “We even had people
circling our parking lot wondering what that thing is.”
[© dailybulletin.com]


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