CarGurus, Inc.

Just confirm you can hear me okay? Yep. Okay, good. I'm on cell, and it's had some issues. So, yeah, I assume you're talking about Carter's Convert, which is, in fact, an expanded program that we're offering to dealers, which allows the consumer to do different aspects of the transaction on our site so that by the time they are in fact interacting with the dealer they're a much more qualified uh shopper and they have done things like get a trade-in value estimation do some financing and other f and i offered by the dealers uh get a penny perfect uh you know a set of numbers and economics for the deal and set an appointment uh and we've had a ton of interest from dealers on that because You know, as I said, what it does for the dealer is it saves them a lot of time. And what we've proven is that by marketing all of their products, they're able to cross-sell as much as they can if the person were in the store, and so they're made whole on it. So we have a lot of dealers who are signing up for it. We also have evidence now that consumers really want it because a very – good and growing percent of consumers interacting with that dealer's VDPs are going through different aspects of this convert set of features. We've always said that we do this to make the dealer whole. And so much like our prequal consumer finance product where we make economics from the lenders because we're delivering value to them, I would think of Convert as the same way. We are giving this, all of this sort of enhanced lead capability to dealers for free and making them whole on it. So it really is a win for them. It's a win for consumers because it lessens, you know, they're able to do more things earlier on on our site versus spending, you know, several hours in a dealership. And it helps us because it differentiates us from other marketplaces where you can't get some of these features. And as I said in my prepared remarks on digital retail, these are, you know, area boost and prequalifications were sort of phase one. Cargurus convert is phase two. And then we're increasing our investment to bring more of those purchase elements onto our sites. And we're having interest – sorry, one other point. You had said you had maybe heard there was concern among large franchises. We have very large national groups that are eager to get on board with us with this.

Great. That's helpful. And then just one more for me. It looks like the monthly new installed dealers in April were very strong. is that coming mostly from dealers that were already using car gurus or are these dealers that were new to to are these just new dealers that weren't didn't have relationships with car gurus so are you talking about installed dealers for car offer our offer yeah so is it more of a cross sell or is it dealers totally new to your your site uh it's both so um you know if you think about the

volume of dealers that we have in our install base, uh, you know, it's, which is, um, well over half, uh, you would imagine that there's a decent chance that if they're signing up for car offer, that they're also using car gurus, but not necessarily, uh, by any means. Um, what we're excited about is that, uh, car offer is in fact growing the number of dealers that they're installing, uh, enrolling and installing, um, very quickly and as scott said earlier you know if you look at just the year-to-date growth it's pretty astounding how that's been accelerating um and uh we have only started to i mean if you think about it we closed january 14th on the deal and it took us you know several weeks to kind of get get everything in order once the deal closed and so we've only really begun uh passing warm, you know, partners of ours, handing them to introduce them to car offer for really only a couple months. And so there's that sales and account management synergy. And then there's the offers in the dashboard. And so that's also going to be a really big boost to introduce a lot more dealers who are not currently on car offer to their product and to the power of their