Is CarGurus Legit? A Website Review & Look At Competitors
Source: Pixabay
For most car shoppers, looking for a new vehicle begins online. So, before even actually researching cars, a consumer needs to pick a website (or a few) to start the hunt. One option that comes up is CarGurus. With this in mind, we will answer the inevitable question, “Is CarGurus legit?” We’ll examine what makes Cargurus tick and then dive into how its offerings compare with another popular choice, CoPilot.
Founded in 2006, the Massachusetts-based CarGurus has grown into a popular online car-buying resource that went public in 2017. As of February 27, 2023, the company is trading at $17.02 per share, not far from its $16 IPO price.
Is CarGurus Legit: The Basics
Cargurus’ website is straightforward. From the home page, visitors can choose from the following:
- Selling their car (via a purchase offer)
- Buying used, new, or certified pre-owned
- Financing
To keep things focused, we’re concentrating the conversation on what CarGurus brings to the table for the buying of cars. Frankly, so many companies offer car purchasing and financing services those areas are worthy of a separate discussion.
PICK THE RIGHT USED YEAR MODEL
When it comes to buying a used car, you want to find the perfect intersection of savings and reliability. See how much you can save buying nearly new vs. new with CoPilot Compare.
Starting the Car Search Process
Whether a visitor is searching for a new or used car, Cargurus asks for the buyer’s zip code and the make and model (or make only) they’re interested in. There are also options for searching by body style (like an SUV or sedan), price, or body style and price together. Those looking for a certified pre-owned (CPO) vehicle can do a blanket search of all CPO cars in their area and narrow the search by make or make and model.
A list of categorized vehicles appears, each tagged with what CarGurus calls its Instant Market Value (IMV). IMV is CarGurus’ signature calculation to determine how each vehicle holds up when it comes to a fair retail price. The formula considers market conditions and a car’s specifics (make, model, trim, year, mileage, equipment, and vehicle history). An algorithm then ranks each car accordingly: Great, Good, Fair, High, or Overpriced. Dealer reputation and IMV rating help determine where each offering appears in the search results.
The IMV rating features prominently in each individual for-sale listing. Still, curious shoppers will have to wonder what a detailed definition of “Great Deal” or “Good Deal,” for example, means. Each listing shows where the car’s asking price ranks in the marketplace, but there’s no additional discussion of what makes one deal “great” while another is merely “good” or worse.
Let’s move on to what a prospective buyer can do with the search results. We’ll also use this opportunity to compare the experience with what CoPIlot offers. Given that CoPilot is primarily a smartphone-based platform for consumers, we’ll see how the apps from CarGurus and CoPilot stack up.
CarGurus Vs. CoPilot: App Review
Continuing our “Is CarGurus Legit” exploration, let’s look at each platform’s smartphone app.
CarGurus App
Automobile buyers will find that the CarGurus app provides a similar search tool to its website. If someone has looked for vehicles on CarGurus.com, they’ll have no issues getting started with the app.
CoPilot App
CoPilot takes a different approach with its app. After downloading, the consumer completes a brief profile via a “CoPilot” virtual assistant to better identify vehicle preferences. Real humans are also available for one-on-one support. The information is saved to a personalized account.
THE BEST USED LUXURY CARS ON THE MARKET
Buying a used or CPO luxury car is one of the smartest buys you can make - you can get a lot of car for not much money. You can pick up a three-year-old luxury car for about half of what you’d pay new. Check out this list of the best used luxury cars on the market to find the best deals.
Search Results: CarGurus
Using its IMV formula, CarGurus generates an extensive list requiring further filtering to remove undesirable vehicles, like those in an accident or with a salvage title. The results are broad, but the shopper has to filter out (or in) desirable traits for cars to consider.
Regardless of the filters used, a buyer will always see “sponsored” vehicles at the top of the list. These paid dealer advertisements may or may not display cars that match filter preferences. In addition, it’s not unusual for these sponsored vehicles to have a lower IMV rating than other cars that appear. For instance, you may see a “Good Deal” car given preference over a “Great Deal” listing. And while CarGurus claims to offer unbiased vehicle search results, this manipulation shows otherwise.
In a nutshell, CarGurus search results are comprehensive, but the app user has to spend time filtering through unwanted cars and dodging dealer-promoted listings.
THE BEST USED SUVS UNDER $10,000
We looked into price, reliability, features, and more to create this list of the best used SUVs under $10k on the market today. Take a look - some of the best used SUVs have gone mostly overlooked or forgotten.
Search Results CoPilot
Because of the information that was provided earlier, the CoPilot app generates two levels of filtered lists. There’s even an option to include used and new cars or only used/CPO cars. Buyers first see multiple top-ten lists that highlight “hidden gems” (the best buys that match preferences) and “steals of the day” (the cheapest cars that match a user’s profile). In addition, a user can opt to look at a more extensive list that goes far beyond the top-ten choices. Also, additional filtering options allow for further narrowing of available vehicles.
CoPilot then ranks each car in two ways. First, a numerical rating (#1, #2, #3, etc.) assigns a pecking order to the vehicles on the list, giving shoppers an easy reference point. Next, each car gets a letter grade (A+ to D-) with a Reasons to Buy/Reasons to Pause summary, further helping buyers choose from what’s in the marketplace. The app also automatically excludes undesirable cars like those with a salvage title.
CoPilot uses its own proprietary algorithm to categorize each vehicle. This formulation analyzes factors like marketplace pricing, accident history, dealer reputation, seller motivation, matching equipment, and available factory records. The calculation also reflects pricing trends, which help a buyer determine the best time to buy.
Importantly, there is zero dealer advertising, so CoPilot users can be assured of unbiased search results.
CarGurus Vs. CoPilot: Wrap-Up
The part of our “Is CarGurus Legit” review includes a side-by-side summary of CarGurus’ and CoPilot’s key features.
Get a Curated List of the Best Used Cars Near You
The CoPilot car shopping app is the easiest way to buy a car. Tell us what you’re looking for and we’ll search the inventories of every dealership in your area to make you a personalized list of the best car listings in your area.
Only looking for newer models? CoPilot Compare is the search engine for nearly-new cars. Only see cars five years or newer with low mileage — CoPilot Compare is the best way to find off-lease, early trade-in, and CPO cars.
The best part? CoPilot is built using the same technology that dealerships use to buy and sell their inventories, so we have more info on each vehicle than competitors. CoPilot doesn’t work with dealerships, so there are no sponsored posts or other shady practices — just the most info on the best cars. Check out our About Us page to see how CoPilot works.
