DealerWire Positions for Growth, Leads Strategic Acquisition by DealerTrack August 2006 F&Ieading
Lebanon, N.H. — DealerWire, a provider of data-driven inventory management solutions for automotive dealerships, successfully positioned itself for expansion through a strategic acquisition by DealerTrack Holdings, a leading provider of software and data services for the automotive retail industry.
Founded in 2000, DealerWire (Wired Logic, LLC) developed a web-based platform designed to help automobile dealerships optimize vehicle inventory and maximize profitability.
The system evaluates a dealership’s sales and inventory performance by vehicle make, model, and trim, analyzing metrics such as unit sales, acquisition costs, days-to-turn, and front-end gross profit. By reviewing actual vehicles on a dealership’s lot, the platform generates actionable recommendations on which vehicles should be added or removed from inventory to improve profitability and return on investment.
Strategic Growth and Acquisition Process
As part of its growth strategy, DealerWire’s management evaluated multiple pathways to scale the business, including organic expansion and strategic partnerships. Marc Falcone, brought in as a strategic advisor serving in a business development leadership capacity, stated: “After analyzing market dynamics within the automotive retail technology sector, I determined that acquisition by a larger platform provider would provide the fastest path to broad adoption and product expansion.”
Mr. Falcone subsequently identified a strategic acquirer and led the acquisition discussions that resulted in the company being acquired by DealerTrack Holdings. The transaction involved the acquisition of substantially all of DealerWire’s assets and certain liabilities from its parent entity, Wired Logic Inc.
The acquisition expanded DealerTrack’s capabilities in dealership inventory analytics, control, and vehicle ordering. By integrating DealerWire’s analytics with DealerTrack’s broader automotive software ecosystem, the combined platform enabled dealerships to manage inventory decisions using data-driven insights rather than manual judgment or historical guesswork.
At the time, DealerTrack served thousands of automotive dealers across the United States, providing online credit application processing, finance and insurance tools, and dealership management solutions designed to streamline the retail automotive sales process.