Trade-In Transparency is the Wave of the Future - Here's Why

October 27, 2019 in Improving Operations

Wholesale operations are evolving today, with car value transparency as the primary driving force behind this evolution. Transparency enables dealers to discover hidden opportunities for profit in their business, while ultimately winning more retail deals at the curb. 

From determining a solid trade-in value for your customers, to managing your store’s used car inventory in better ways, the message is clear - transparency is good for everyone

Below, we’ve outlined three critical areas of a dealership’s business and how transparency is improving operations.

Transparency at the Sales Desk

Today’s consumers demand trust in the car trade-in and buying process, and one of the best ways to create trust is by offering a solid trade-in value. Yet some of the biggest mistakes happen at the sales desk during the trade-in appraisal process on live trades. 

The Appraisal Lane makes it possible for dealers to receive guaranteed appraisals in 15 minutes or less on live trades. By accessing a simple mobile app, anyone at the dealership can connect directly with a team of appraisers and gain access to a national network of wholesale buyers. 

By using technology in this way, dealers can provide the most consistent and transparent approach to the car valuation process – one that has historically been anything but transparent. With access to robust value information, dealers can also “bank” a trade-in with aggressive valuation. 

The end result is a satisfying customer experience that builds trust and loyalty. 

Transparency In the Used Car Department

With today’s dwindling margins, managing inventory turn time and the wholesale line of business is more important than ever before. Time equals money, and money is generated from inventory. 

Technology is providing dealers with new ways of sourcing inventory and the ability to quickly liquidate wholesale units. Improvements like these in the used car department help managers to operate more efficiently, with enhanced control of their inventory flow. 

Dealers already have several tools in the palm of their hand, like market data and vehicle history information. Most of the major auctions have basic smartphone apps today, as well. 

Tools like The Appraisal Lane can add an exciting layer of functionality to a dealer’s smart phone by presenting his inventory to wholesale buyers in markets throughout the U.S. 

With the ability to quickly and transparently source and dispose of used inventory, dealers are saving time and money and gaining a new level of control over their inventory.

Transparency at the Bottom Line

Dealers can now follow a vehicle through its lifecycle in real time, from the used car valuation process to wholesale liquidation, while knowing the price points associated with each touchpoint along the way. 

This transparent process increases the opportunity for larger profits by enabling key team members to follow a vehicle and identify threats and opportunities as they arise. In this way, technology creates transparency for the greater good of the bottom line. 

Externally, transparency builds trust during the appraisal process and at the sales desk, enabling dealers to close more retail deals. Internally, transparency reduces costly guesswork, and eliminates unnecessary inventory sourcing and disposition costs.  

Harnessing the power of transparency can set dealers apart from their competition, today and in the future.