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Carvana, known for its automotive vending
machines, cuts 2,500 jobs following loss
of $506M

Original Article

Posted By: NorthernDog, 5/11/2022 1:28:37 PM

Carvana, the fast-growing used-car seller based in Tempe, announced Tuesday its plans to lay off 2,500 employees – more than 10% of its workforce – as losses mount. The company, which operates a network of high-profile vehicle "vending machines" including one at Loop 202 and Scottsdale Road, said the move was designed to "better align staffing and expense levels with sales volumes." Carvana reported a $506 million loss in its first quarter ending March 31, well above red ink of $82 million during the same stretch of 2021, despite a 56% jump in revenue to $3.5 billion and a 14% increase in


A variety of economic conditions caused the layoffs. Apparently employees were blindsided by the job cuts.

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Reply 1 - Posted by: ROLFNader 5/11/2022 2:01:57 PM (No. 1152415)
What the? Whoever thought this one up will go down in the annals somewhere close to the Edsel designers......
5 people like this.

Reply 2 - Posted by: Stencil 5/11/2022 2:55:15 PM (No. 1152449)
The Edsel was a fine car.
4 people like this.

Reply 3 - Posted by: Lurker2 5/11/2022 2:57:13 PM (No. 1152450)
Carvana is also known for failing to deliver the title after the sale. No title means no registration, no insurance, and a vehicle that can't be driven legally. But surely that has nothing to do with a sales drop.
8 people like this.

Reply 4 - Posted by: rocket-j-squirrel 5/11/2022 5:03:16 PM (No. 1152536)
What could go wrong when you put $25,000 into a bubble gum machine and expect that special toy in the plastic case instead of that crappy gum you have to chew to make your friends think you really just wanted some gum? I'm selling horses, dogs, and cows on the interweb. No need to insult me with questions about them being ambulatory or aspirating. Just head over to the "Tower 'O Critters" and takes yo chances!
4 people like this.

Reply 5 - Posted by: 3XALADY 5/11/2022 6:46:57 PM (No. 1152602)
I just heard one of their TV ads this afternoon.
1 person likes this.

Reply 6 - Posted by: DVC 5/11/2022 11:26:13 PM (No. 1152736)
It was a stupid idea. The good news is that privately funded stupid ideas eventually run out of money and stop being stupid. Unfortunately, government funded stupid ideas have an unending supply of government money to keep being stupid forever. And there is never ending supply of government funded stupid ideas.
2 people like this.

Reply 7 - Posted by: tootall 5/12/2022 8:07:22 AM (No. 1152895)
I'm 'seeing' that this will happen with quite a few of these 'new age' type businesses. As well as the home delivery services. How's Peloton doing?
2 people like this.

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