Edmunds said in January it plans to eliminate 129 jobs by March — 122 at its Santa Monica, Calif., headquarters and the rest in a satellite office in Detroit. The cuts are part of a restructuring that the company said follows a series of strategic moves to reposition the business.
Edmunds employed more than 550 people prior to the job-cuts announcement. The company did not elaborate on the reasons for the restructuring. In an emailed statement last week, Jamie Epstein, vice president of employment experience for Edmunds, told Automotive News that Edmunds needs "more time and preparation" to evolve the business "to transform the way we serve clients and consumers in a performance-oriented way."
The restructuring, she added, "will refocus the company on its core revenue drivers so that we are in the most financially healthy spot for future growth."
In a follow-up email, an Edmunds spokeswoman declined to identify which revenue drivers will be given priority.
The company said it has invested in website improvements in recent years, as well as moved to a performance-based advertising model "in response to shifting market conditions."
"We are confident in our ability to maintain the fullest level of support and oversight of our products and services during this period, and we are currently focused on upcoming initiatives that we believe will yield both near-term economic benefit and long-term competitive advantage," Edmunds spokeswoman Talia James-Armand said in an email.
As a third-party vehicle listings site, Edmunds offers shoppers the ability to review vehicles and pricing information. Its history dates to the 1960s, when it produced printed vehicle pricing guides. It currently counts 7,000 dealership clients.
"We're excited for this opportunity to collaborate with another well-respected industry leader that is dedicated toward making car shopping easier for consumers," Edmunds CEO Avi Steinlauf said of CarMax in a news release. "With our expanded resources and capabilities, we're confident this will be a mutually beneficial partnership for many years to come."