BOSTON (08/18/2000) - Online car seller CarOrder.com Inc. shut its Web dealership Friday and let go two-thirds of its staff because the company couldn't generate high-octane sales.
"CarOrder.com has decided to suspend our retail Web site activities as of today," the company's home page states. "We are not accepting new orders at the present time."
The Austin, Texas-based company, which is a subsidiary of software company Triology Inc., laid off 100 of its 150 employees, according to CarOrder.com spokeswoman Erica Brynes. The employees worked in the company's call center.
The profit margins in the online car brokerage market were too slim for the company to reach profitability. CarOrder.com had to lay off 100 customer-service employees in May, Brynes said.
The company will now restructure its business model by focusing on buying and running car dealerships, she said. Triology will assist with steering CarOrder.com in that new direction and fuel up the car seller with US$25 million in second-round funding, Brynes said. CarOrder.com was founded in January 1999.
The company will complete pending sales transactions of customers who already paid for their cars. Those customers who placed an order without any payment will be notified via e-mail that the order has been canceled, Brynes said.
Triology, in Austin, Texas, can be reached at +1-512-685-3800 or at http://www.triology.com/.