Autobytel Scores in Online Satisfaction

J.D. Power and Associates last week tapped Irvine-based Autobytel.com Inc. as the leader among online auto-buying services in dealer satisfaction.

It’s the second consecutive year Autobytel.com has won the award for delivering nearly as many new-vehicle sales as its two closest competitors combined, said Chris Denove, J.D. Powers’ director of consulting operations.

“Autobytel not only provides a high volume of buyers, but they also provide solid service,” Denove said.

The quality of the leads the dealers get from the auto-buying services is critical, Denove said, because about 40% of them are from people who aren’t serious about buying a car.

“Dealers also get frustrated that many customers just use the site to get a price quote and take that price quote to their local dealer,” Denove said.

“It’s the penalty we pay for all the games that have gone on in this industry for so long. Consumers are distrustful and frustrated with everything they’ve had to deal with in buying a car.”

Still, being No. 1 in dealer satisfaction isn’t translating into Autobytel.com’s stock price.

The company went public last month, a few days after rival Autoweb.com Inc. had its initial public offering. The stock on Monday sank to $19 a share, its lowest point since the public offering, then rebounded to close Friday at $28.88.

That price gives the company a market capitalization of $516 million, compared to Auto-web.com’s $28-per-share price and valuation of $657 million.

Jonathan Gaw covers technology and electronic commerce for The Times. He can be reached at (714) 966-7818 and at jonathan.gaw@latimes.com.