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Carvana Debuts Digital‑First New‑Car Showrooms

Wall Street Journal US Business •
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Carvana, once known for its towering “vending machines” that display used cars, now rolls out a new‑car concept called new‑car playgrounds. The Tempe, Ariz., firm unveiled the design in Dallas, turning a showroom into a mobile‑first experience. Shoppers sit in vehicles and use their phones to view specs or request test drives for customers everywhere.

Tom Taira, Carvana’s president of special projects, said the goal isn’t to sell cars but to present them. By eliminating paperwork and sales reps, the chain hopes to streamline the buying loop and cut operating costs. The pilot showroom sits inside a renovated Chrysler‑Dodge‑Jeep‑Ram dealership, signaling a shift in retail strategy for customers worldwide today.

Carvana’s move taps into a broader trend of tech‑driven car buying that grew during the pandemic. Investors watch whether the new‑car playgrounds can match the company’s online sales volume and profitability. If the model attracts buyers, it could pressure traditional dealerships to adopt similar digital‑first layouts, reshaping the industry’s touchpoints for buyers everywhere now here.

By shifting focus from inventory display to digital interaction, Carvana tests whether a showroom can function as a showroom‑free platform. The company plans to roll out more playgrounds across the U.S. if pilot metrics show higher conversion rates. A successful launch could redefine how consumers experience new‑car purchases and force the auto retail sector to rethink its brick‑and‑mortar model today.