The long-anticipated new project from auto industry entrepreneur and TrueCar founder Scott Painter has officially arrived.
Fair, an app that allows consumers to shop, get approved and pay for vehicles on smartphones, made its debut Tuesday in the Apple App Store.
Painter, who stepped down from his TrueCar leadership posts in late 2015, co-founded Fair last year with Georg Bauer, a longtime leader in the auto finance space.
Bauer worked in the financial services business for Tesla internationally. His background also includes time as BMW Group’s chief executive officer of global financial services as well as Mercedes-Benz Credit’s U.S. CEO.
Painter has launched dozens of companies in the automotive space, including TrueCar, CarsDirect.com and, now, Fair.
The company is rolling out in the Los Angeles area and is set to expand throughout California by year’s end, Fair said.
Additional U.S. markets are planned for 2018.
How it works
Fair includes a completely digital checkout process and allows a consumer to keep the vehicle as long as he or she wants, then return the car after providing five days’ notice, the company explained in a news release.
Customers are provided a limited warranty, routine maintenance and roadside assistance. Fair said it aims to provide insurance options, as well, down the road.
“Fair was designed to free consumers from the long-term commitment of a loan or lease while providing benefits of car ownership that are missing from existing ride- and car-sharing options,” Fair said in the release.
Through the app, consumers are pre-qualified and can choose from vehicles that meet their budget needs. The car can be paid for in the app, as well. Fair provides home delivery of the vehicle.
Working with dealers
According to news release shared by Fair, the app also has the potential to benefit dealers, too.
“Fair’s digital sales process also provides multiple benefits for participating dealers, making it a win-win for consumers and dealers alike. It offers access to new, in-market customers on top of a dealer’s existing client base,” the company said in the release.
“Unlike lead-generation websites or apps, Fair charges no fees to the dealer for the transactions it generates,” it added. “By eliminating the time minimum customers must keep their cars, Fair also creates the potential for increased transactions for dealers.”
This is possible through Fair’s use of available price and depreciation data. The company utilizes that information to figure out the vehicles making “economic sense,” it said.
“Combined with digital consumer information and mobile technology, Fair is able to leverage this data to accurately predict the financial implications of pairing a given consumer with a specific car,” the company said.