November 16, 2009 13:36 ET

Automotive Retailer Zag Named Second Fastest Growing Private Company in Los Angeles County

Zag's 800% Revenue Growth in Two Years Lands It a Spot on the Los Angeles Business Journal's Top 100 List for 2009

SANTA MONICA, CA--(Marketwire - November 16, 2009) - Inc., the company that private labels its online auto-buying platform for several of the nation's largest brands, today announced that it has been selected as the second fastest growing private company in Los Angeles County by the Los Angeles Business Journal.

"We are proud to have our rapid growth and success over the past few years be recognized by the Los Angeles Business Journal," said Scott Painter, Zag CEO. "In order to be successful you have to have operating discipline. For us, the most important tenets are having the right people, transparency, and an accountable culture."

In August, Zag announced that it had reached profitability -- a remarkable accomplishment given the current turmoil in the automotive sector. Zag has shown consistent sales growth throughout 2009, posting growth rates far higher than the U.S. auto industry as a whole. In the first 10 months of 2009, total U.S. light vehicle retail sales decreased 25% versus the same time period in 2008. Sales through the Zag partner programs over the same time period increased by 73%. Dealers participating in Zag's program have sold over 80,000 cars since Zag's inception.

Zag leverages group-buying power to entice the dealers on its programs to offer lower, upfront prices to consumers while consumers are shopping online. As a result, dealers participating in the Zag programs are thriving because of their access to a high-volume of motivated car buyers that are "in-market" which helps fuel more car sales. Additionally, Zag, through its programs, has saved consumers more than $138 million off of MSRP on new cars sold.

Each year, Los Angeles Business Journal identifies the fastest growing private companies in the greater L.A. area. In order to qualify, companies must be privately held and headquartered in Los Angeles County. This year, they reviewed over 1000 private companies (including looking at financial statements), and narrowed the field to 100 finalists.

About Zag

Zag ( has created a better way to buy a car. Zag operates a robust auto-shopping, research and pricing technology platform that saves buyers money by concentrating group-buying power, while providing a superior car-buying experience by presenting guaranteed up-front pricing and a no-hassle delivery process with a select group of dealers. Zag provides its platform on a private label basis to affinity buying groups, such as USAA, AAA, American Express, Overstock, Liberty Mutual, Administaff and Capital One Auto Finance. Zag is based in Santa Monica, Calif.

Contact Information

  • Press Contact:
    Sean Stevens
    Atomic PR for Zag
    (415) 402-0230
    Email Contact