Reynolds and Reynolds has snatched up dealership management technology startup AutoVision, hoping to use its next-generation vehicle acquisition technology to help retailers sell more used cars. Financial terms were not disclosed.
AutoVision is centered on an artificial intelligence-driven platform that automates dealership management processes.
"This is a true startup — a next-level, visionary product that is breaking down barriers," Reynolds President Chris Walsh said in a statement.
AutoVision, based in Santa Clara, Calif., and launched in 2020, said its technology can help dealers and automotive companies boost efficiency and automate areas including buying, selling and vehicle inventory management. The technology includes tools enabled by APIs (which help different technology systems talk to each other), big data and machine learning (a form of AI) designed to help dealers grow their profits and make better decisions, according to the company's website.
Reynolds, a dealership software, services and forms company based in Dayton, Ohio, said in its Thursday announcement that AutoVision will be woven into its Reynolds Retail Management System.
AutoVision has 10 employees, whom Reynolds plans to retain, according to a Reynolds spokesperson. The company will continue as a wholly owned subsidiary of Reynolds, the spokesperson said. Auto Vision's top leadership will also stay on, including CEO AJ McGowan, who has the new title of president. Lyle Dizon, the chief operating officer, remains as executive vice president. Chief Technology Officer Efrain Esparza has stayed on as vice president of software engineering.
Retailers acquiring used vehicles will be able to use the AutoVision technology to conduct precise appraisals using customizable and adaptive market pricing algorithms. It also would work in tandem with ReconTRAC, a web-based software application Reynolds acquired in 2020 to streamline the vehicle reconditioning process.
In combination with Reynolds' technology, the acquisition will help dealers better handle used-vehicle acquisition, reconditioning, inventory management and merchandizing, according to the announcement.
Plans call for formally launching its new-vehicle life cycle platform supported by the AutoVision technology at the 2024 NADA Show in February in Las Vegas.
Walsh told Automotive News this year that the company would focus on acquisitions.
In April, for example, Reynolds acquired DealerCorp Solutions, a Canadian software company and partner focused on providing digital retailing tools to dealerships.
In January, Reynolds snatched up American Guardian Warranty Services of Chicago, which provides vehicle service contracts, limited warranties, and additional finance and insurance products and services.
Reynolds acquired its Gubagoo digital retailing platform in 2021, and in 2022 purchased Proton Dealership IT, a cybersecurity service and information technology provider.
In a January interview with Automotive News' "First Shift" at the 2023 NADA Show in Dallas, AutoVision's McGowan said the company was poised to do well with the supply of new cars normalizing after the pandemic and used cars seeing pricing declines while inventory rises.
"2023 is going to be a challenging year in some ways, but challenge presents opportunity and we're excited about it," McGowan said at the time.
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