In their most recent quarterly filings, the three retailers indicated they have undertaken cost-saving measures to partially offset declines in revenue, retail vehicles sold and profits that occurred as used-car market conditions deteriorated in 2022.
CarMax’s advertising spending was $58.7 million in the three months ended Nov. 30, 2022, its fiscal third quarter. That’s down about 23 percent from its spending in the year-earlier period. Carvana’s advertising spending was $117 million in its third quarter ended Sept. 30, 2022, down about 7 percent from the year-earlier period. Vroom’s advertising expense in its third quarter—also ended Sept. 30—was $14.9 million, down nearly 58 percent from the year-earlier period.
CarMax ranks No. 1 on Automotive News’ list of the top 100 retailers ranked by used-vehicle sales, with retail sales of 924,338 used vehicles in 2021. Carvana ranks No. 2, with retail sales of 425,237 used vehicles in 2021; and Vroom ranks No. 10, with retail sales of 80,910.