The Reynolds and Reynolds Company announced in a press release on June 8 that they have acquired digital retailing provider Gubagoo to round out their software. Well, known as a conversational commerce leader, Gubagoo serves to round out Reynolds ‘Retail Anywhere’ platform, giving car shoppers their preferred way to purchase online, in person, or a hybrid of the two seamlessly handed off.

Gubagoo also excels at live chat capabilities with their ChatSmart function. Combining the best of AI, operators, and live chat, it ChatSmart pushes engagement with the customer to a new level for higher conversion rates. The tools Gubagoo brings to Reynolds are a leap forward in functionality for their dealer customers.

Of the deal, executive vice president of Corporate Development and CFO at Reynolds, Robert Burnett, said, “Reynolds is constantly looking for ways to enhance our solutions, and with this acquisition, we are making another investment in the future of our business and our dealership customers’ long-term profitability. Incorporating Gubagoo’s digital retailing and chat technology into our Retail Anywhere platform will further empower our dealer partners to compete and win against their competition.”

Forefront of digital retailing

Gubagoo is a leading provider for digital retailing solutions and is unique in the style and comprehensiveness of its chat tools. According to their website, “more than 6,500 dealerships including 90% of America’s top 150 dealer groups and certified OEM programs rely on Gubagoo to sell more cars and create more satisfied customers.”

Gubagoo received three honors at the AWA Awards in February including the Vanguard Award for Industry Innovation and two product recognition awards. The company was also recognized in 2019 as one of the fastest-growing North American companies on Deloitte’s Technology Fast 500.

Reynolds’ Burnett said, “The technology Gubagoo brings to dealers on any system makes it truly unmatched in the industry. As customers continue to push more of the buying process online, dealers’ ability to engage and actively sell in that environment will separate successful retailers from the rest. This acquisition also demonstrates Reynolds’ eagerness – and capacity – to invest and grow strategically.”

Brad Title is the CEO of Gubagoo. He said of their acquisition by Reynolds, “We are excited to join the winning team at Reynolds. We are looking forward to accelerating our pace of innovation, as we continue advancing our conversational commerce and digital retailing tools to help dealers win the future.”

Second major acquisition announcement in recent days

Reynolds’ acquisition of Gubagoo comes on the heels of CDK Global’s purchase of Roadster. That deal, reportedly worth $360 million US, similarly positions CDK to offer embedded functionality in dealer clients’ websites to provide what they’re touting as an Amazon-like experience to car buyers.

Acquisitions of this size and nature demonstrate the importance of digital retailing in the future of automotive. With more shoppers willing to make major purchases completely online, dealer software providers are investing in ways to meet customers where they’re at.

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