Used-vehicle subscription service Fair on Monday named Bradley Stewart its new CEO, succeeding co-founder and former CEO Scott Painter, who resigned last fall.
Prior to joining Santa Monica, Calif.-based Fair, Stewart was CEO of XOJet, which provides on-demand private aviation services.
He joins Fair as it strives to make its subscription model financially sustainable and profitable.
Stewart was XOJet's CEO from 2013 to 2018. His background includes stints with private equity firm Parthenon Capital Partners and McKinsey and Co.
"It is clear to me that Fair is meaningfully improving both vehicle access and the driving experience, while offering real value for consumers," Stewart said in a statement. "Its high engagement among digital natives, exclusive focus on the more affordable preowned market and innovative financing structures create a seamless experience that offers freedom and flexibility — both highly desired attributes among today's modern consumers. Fair and its products are perfectly positioned to capture several powerful trends in mobility, and I am proud to join this dynamic company at such an exciting moment."
Fair operates via a mobile app that allows consumers to pay a "start" fee, followed by a monthly payment, to drive a vehicle on a subscription basis, rather than through traditional rentals or leasing. Roadside assistance, limited warranties and routine maintenance are included in the monthly payment. Fair purchases its vehicles from dealerships.
Fair was founded in 2016 by Painter, who also launched vehicle listings company TrueCar, and industry veteran Georg Bauer. Painter resigned as CEO in October 2019, though he remains on the company's board as chairman.
"Brad's passion for Fair's unique offering is evident and exciting, and his experience innovating a mobility model that eliminates unwanted elements of ownership makes him the perfect choice to lead Fair into the future," Painter said in a statement Monday.
Painter told Automotive News last fall that the company needed to change up management — a shakeup that saw the exit of his brother, Tyler Painter, who served as Fair's CFO — to become profitable. That followed a decision in October to lay off 40 percent of its staff.
"The jury's out on whether or not we were going to be successful, you know, and whether or not we're going to be long-term profitable, but that's obviously what we're hoping and what we are working towards and what we are committed to getting to, for sure," Painter said in November 2019.
The company operates only in California and Florida after exiting a number of markets. A spokeswoman said Fair intends to add more markets.
Interim CEO Adam Hieber will return to his role as an operating partner at SoftBank Investment Advisers, while staying on Fair's board, the company said. SoftBank led a $385 million funding round for Fair in 2018.
