AppraisalPRO began operations on June 25, a company intent on revolutionizing the vehicle appraisal industry with AI database designed to provide new and used car dealers nationwide with the market’s most powerful tool for optimizing trade-in values.
Created by the founders of FIXD Automotive—whose sensors have scanned more than 5 million unique vehicles over the last decade—AppraisalPRO’s offers a sensor and subscription-based software system to help dealers identify hidden reconditioning needs to optimize trade-in values, increase profitability, and ensure fair deals for customers.
The wireless OBD-II scanner and appraisal system scans vehicles for 20,000 mechanical problems, looking for hidden issues and then delivering dealers immediate repair estimates specific to their year, make, mileage, model, trim and geographic location allowing dealers to accurately price their trade-ins.
Testing Since February
Over 2,000 appraisers at car dealerships across the U.S. have been using the system since February. AppraisalPRO officials said their feedback has helped perfect its system.
FIXD Co-founder and CEO John Gattuso, who is creating the company as a standalone brand, proclaimed the new program as “the most powerful trade-in tool car dealers have ever had.”
“After a decade in the automotive diagnostics industry, my team and I recognized a large, unsolved problem: dealers can already scan vehicles for mechanical issues—that is, Diagnostic Trouble Codes—but they haven’t been able to quickly translate that blizzard of codes into reliable repair costs,” Gattuso said in a press statement announcing the launch. “That matters. People hide problems and dealers get stuck with lemons all the time.”
AppraisalPRO Benefits
Officials pointed to two market trends they see as providing tailwinds as it launches.
Early this year, a Cox Automotive report warned that dealerships will continue facing challenges to efficiently protect their profit margins. Then last month, S&P Global Mobility published data showing that—for the sixth straight year—the average age of vehicles on American roads has risen, now at 12.5 years. S&P predicts that the age of cars will continue growing until, at least, 2028.
The key attributed of AppraisalPRO’s scanning and appraisal system include:
- Thorough Issue Detection: a portable, wireless, Bluetooth-enabled OBD2 sensor scrutinizes a vehicle’s powertrain, body, chassis, and network modules for thousands of hidden mechanical issues.
- Accurate Cost Estimates: Using FIXD’s database of 130 million scans, it provides precise repair costs instantly, informing purchasing decisions for buyers and sellers. ASE-certified master technicians constantly audit the results to enhance accuracy.
- Comprehensive Condition Reports: Subscribers get a single, detailed report including mechanical and non-mechanical costs–that is, breakdowns of expected parts and labor expenses–simplifying trade-in negotiations.
- Lemon Prevention: AppraisalPRO detects miles since last DTC reset, highlights recent resets, helping dealers avoid overpaying for cars with hidden problems.
- Affordable subscription: For less than $500 per month per rooftop, auto dealers receive AppraisalPRO’s OBD2 scanner free of charge and can scan an unlimited number of vehicles.
Feedback From Dealers
Kache White, a used car manager at the Utah-based dealership, said the new program has “revolutionized” customer interactions at Cedar City Motor Company.
“The data scanning system enables us to conduct more professional and transparent conversations with our clients,” said White. “By using the AppraisalPRO condition report, I can effectively address any issues with their vehicle right from the start, ensuring we provide an accurate and fair valuation. It’s a game-changer.”
Cory Hewett, director of enterprise initiatives at FIXD who will now spearhead the company’s growth that he sees as being “perfectly positioned” to capitalize on current market trends.
“It’s as simple as this: Older cars mean more mechanical problems; and if dealers aren’t accurately assessing risk when sellers drive onto their lots, they’re jeopardizing their profits,” said Hewett. “That’s the bad news. Here’s the good: AppraisalPRO is now here to help them.”
