Integration Helps Car Buyers Secure
Insurance; Brings New Revenue Stream to Dealers
CDK Global, Inc. (Nasdaq: CDK), a leading automotive retail
technology company, has entered into a definitive agreement to
acquire Salty Dot, Inc. (“Salty”), a convenient, mobile-first
solution that helps consumers secure the insurance they need for
their vehicle seamlessly without leaving the car-buying
experience.
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the full release here:
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Salty’s technology will further expand CDK’s suite of digital
offerings and grow its total addressable market beyond the
digitization of traditional dealer workflows. This new capability
will also enable dealers to create a new, recurring revenue stream
from within the $311 billion U.S. automobile insurance market1 and
develop deeper consumer relationships beyond the vehicle sale.
“In a time of significant retail disruption, CDK is focused on
helping dealers and manufacturers meet the evolving demand for
simple and convenient retail experiences,” said Brian Krzanich,
president and chief executive officer, CDK Global. “Now that we’ve
completely digitized the sales and service processes within the
dealership model, we are taking the next step of bringing dealers
new capabilities—like Salty’s Embedded Insurance®—to help consumers
manage the many decisions that come with buying and owning a car.
With Salty, we are strategically rethinking the future of auto
retail and helping put dealers in command of the entire consumer
experience.”
Salty’s insurance platform uses cutting-edge technology to build
a customized, competitive and bindable insurance quote through its
top-rated carrier network. Through a seamless integration with the
dealer management system (DMS), the car buyer receives a text
message during their purchase process with a link to a quick and
easy form. Salty’s platform—driven by artificial intelligence—then
selects the carrier and personalized policy based on their answers
and presents it to them digitally within minutes.
“I am proud of the work the Salty team has done in creating a
digital experience that gives consumers a seamless way to buy
insurance when it's most relevant to them—during the car-buying
process,” said James Hall, founder and chief executive officer,
Salty. “By joining an industry leader like CDK, Salty gains instant
access to nearly 15,000 retail locations in automotive and related
industries, which will accelerate the adoption of our platform and
fundamentally change the experience consumers have during and after
a vehicle purchase.”
Salty is licensed in all 50 states and is available to all
dealers nationwide—not just those that use CDK’s DMS or customer
relationship management (CRM) system.
Salty is an early stage product with rapid long-term growth
potential but will not impact CDK’s current fiscal 2022
guidance.
About Salty
Salty Dot, Inc. is the Embedded Insurance® technology company.
Salty removes existing consumer impediments to buying the right
policy and having the proper coverage. The company’s platform is a
proprietary Software-as-a-Service (SaaS) solution that enables
carriers and distribution partners to offer a customized policy to
insure a product or service in real-time during the purchase
process. Salty uses artificial intelligence to analyze unique data
sources about the buyer and the purchase. It then sorts through
multiple carriers to seamlessly offer the right insurance. The
company is licensed to operate in all 50 states through Salty Dot
Insurance Agency, LLC and its affiliates.
About CDK Global, Inc.
CDK Global (NASDAQ: CDK) is a leading provider of integrated
data and technology solutions to the automotive, heavy truck,
recreation, and heavy equipment industries. Focused on enabling
end-to-end, omnichannel retail commerce through open, agnostic
technology, CDK Global provides solutions to dealers and original
equipment manufacturers, serving nearly 15,000 retail locations in
North America. CDK solutions connect people with technology by
automating and integrating all parts of the dealership and buying
process, including the acquisition, sale, financing, insuring,
parts supply, repair, and maintenance of vehicles. Visit
cdkglobal.com.
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This press release contains "forward-looking statements" within
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The Company gives no assurances that any of the events anticipated
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what impact they will have on its results of operations and
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described in the Company's reports filed with the Securities and
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I, Item 1A. Risk Factors" in its Annual Report on Form 10-K for a
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1 Source: IBIS World, April 2021
View source
version on businesswire.com: https://www.businesswire.com/news/home/20210923005080/en/
Media Contact: Tony Macrito 630.805.0782
Tony.Macrito@cdk.com
Investor Relations Contact: Taze Rowe 847.485.4012
Taze.Rowe@cdk.com
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