Officials with CarMax Auto Finance, a subsidiary of CarMax Inc., said a focus on its online prequalification portal drove a 7% gain in first-quarter originations from a year ago.
The portal has been live at all CarMax locations for two full quarters. Officials said the next step is to offer customers home delivery, although they said the service will stop short of a complete online buying experience.
“Customers are engaging well with this offering and it continues to contribute to increased online leads, which we believe ultimately generate incremental sales,” said President and CEO Bill Nash during the company’s June 21 earnings call to discuss first-quarter performance. “Now we’re focused on improving the experience and proactively marketing our online financing capability nationwide.”
The auto finance company recorded $1.5 billion in first-quarter originations, up from $1.4 billion in the year-ago quarter. The firm did not disclose a total origination count or total outstanding balances.
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