This question is about Carvana.

How does Carvana make money?

By Zippia Team - Feb. 1, 2023

Carvana makes money via car sales made on its car marketplace. Carvana makes a profit on the sale of any car purchased or acquired for a lesser price than the amount of money earned by Carvana on the sale.

This sounds straightforward, but other costs can be included in cars that Carvana purchases, such as ones associated with:

  • Transportation of the car

  • Marketing of the car

  • Inspections for safety performed on the vehicle

Carvana has not been a hugely profitable company and could even be considered unprofitable.

How does Carvana make money?

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