Speed, Control and Profitability!
As we start the new year, it’s not just about resolutions and turning over a new leaf; it’s about embracing innovation and unlocking profit opportunities. CEO Le Etta Pearce speaks to AM-Online to explain why 2024 is the perfect time to make Dealer Auction your remarketing partner of choice.
How was 2023 for Dealer Auction?
“2023 has been a great year for Dealer Auction, as we continue to develop innovative digital solutions that help our retailers profit. When we reviewed the year-to-date data in October, we observed over 130k auctions end, attracting nearly one million bids, earning our retailers an estimated trade profit of £14 million with an average CAP clean performance of 104%. We introduced even more stock sources to the platform including more consumer sourced and fleet vehicles. It’s always been our mission to make buying and selling trade vehicles quick, easy, and profitable for everyone. Being recommended by AM readers as the Remarketing Supplier of the Year for the second year in a row fills us with immense pride and highlights our dedication to this mission. One of the most notable developments in 2023 has been the launch of our new end-to-end remarketing solution, which includes a full vehicle collection and processing service.”
Tell us more about the advantages of digital remarketing
“Before we talk about the advantage, we need to clarify the difference. Online is joining a scheduled physical sale event remotely. Digital is an experience designed for the user. In our case, that means a slick and enjoyable interface, smart filters and instant alerts that make finding suitable vehicles a doddle, and real-time data buyers can use to guide their decisions. It also means access to more vehicles from multiple sources, 24/7, and rather than waiting for a sale event, vehicles are on sale the moment they’re ready. This all combines to bring an engaged buyer base to the platform which in turn creates a buoyant marketplace that supports the sellers and increases speed to sell and performance.”
Why have you added collection and processing?
We introduced this service because retailers told us their only barrier to switching to a digital platform is their ability to self-serve the physical elements. They know that going digital makes commercial sense but their size, volume of sales and operational models typically stop them from making the change. So, we now offer the option to outsource these tasks to Dealer Auction Remarketing Services. It gives retailers the best of both worlds: all the benefits of a high-performing digital marketplace but with the convenience of a complete collection and processing service.
How does Dealer Auction Remarketing Services work?
We have partnered with a respected and established specialist with a nationwide network for the physical elements. Stock is collected and taken to a secure site where it’s photographed, appraised and listed on the platform. Feeds and our API service eliminate the need for manual processing, and where needed, we can aggregate stock from multiple locations into a single listing process. Listings can be ready to go live the moment they’re available or at a specific time, and can be placed on a same-day, ‘buy it now’ or timed auction basis. We also analyse thousands of similar vehicles previously sold, to recommend the best reserve and start price, optimising the listing to attract maximum bids. Once sold, the buyer either collects or can arrange delivery.
Does going digital improve performance?
Yes, in several ways. Firstly, stock sells within days on Dealer Auction. The option to have stock on sale the moment it’s processed, instead of waiting for the ‘next sale’ as you would traditionally, means faster returns. That minimises depreciation impact and supports cashflow. In some cases, it can also mean beating a book drop and retaining precious margin. Next, we put vehicles in front of not just more buyers, but the right buyers: we know the vehicles our 5,000 buyers want and those that will sell well in their locality. The 25,000 stock alerts we send out every day means they’re always informed. Alternatively, we can set up closed networks that prioritise selected buyers. We also add Auto Trader Retail Rating data to every listing. Combined, this means that buyers not only know the moment a vehicle that fits their profile is available, but they also have all the data they need to make quick decisions and confident bids. This translates into consistently strong CAP performance.
So, what’s in store for 2024?
We are extremely proud of how well Dealer Auction has performed for our customers in 2023 – both in terms of profitability and making the selling of vehicles quicker and more efficient. The activity on our marketplace will increase significantly throughout 2024 as we introduce more stock and new buyers. Our OEM and Fleet partnerships continue to grow, meaning Franchise retailers will find Dealer Auction not only the most profitable platform to dispose of stock but also a great place to acquire it!
The UK’s smartest digital wholesale marketplace
As you can see, there are many ways that Dealer Auction makes buying and selling used vehicles easier and more profitable for everyone. We’re backed by unique data insights and clever tools that help you make the best decisions and are constantly evolving to remain the very best at what we do
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