Dealers around the country are starting to focus on the true cost of wholesaling cars at offsite auctions. Expenses such as auction fees, transportation and gassing fees have long been considered the cost of doing business and are typically expensed right into each sale. But other costs, such as having your best closers out of the dealership for days on end, is usually not factored in.
For a dealer that sends 10 cars per week to off site sales the yearly costs could reach $200,000 not including the manager being away from your store.
That is why so many dealers have began holding their own private bid sales and with the advent of auction software, it has never been easier to “Digitally Market Your Wholesale Cars.”
Other things to consider are, how the Velocity approach to marketing could apply to wholesale cars. Could we have the wholesale cars online and available for wholesalers to view on day two of the cars live span at your dealership? Could you presell your trades before you have to take it to auction?
Many dealers have been running bid sales or private auctions for decades but with the advent of digital wholesale marketplaces, any sized dealer could utilize dealer auctions and save the off site auction fees.
Why We Kicked Wholesalers out of our Dealerships
For the most part dealers have removed wholesalers from their dealerships because of backroom deals and the disruptive nature of their random pop-ins. In my opinion it was like the preverbal “throwing the baby out with the bath water”, because it has left dealers with only one choice for wholesale. Take them to auction and pay the fees. The core question is; could we find a way to prevent the back room deals and control the random nature of wholesalers? The answer is yes and while doing so, we could lower expenses and raise profits.
Learn how to Digitally Market Your Wholesale and Save Thousands
The question we try to answer in this session is; what would happen if we could avoid backroom deals and control the money, would it make sense to sell directly again? Is digital marketing for wholesale (DMW) the way to go? By the time you leave this session you will know how to do it and profit from the experience.
What You’ll Learn
• Learn how to digitally market your wholesales using existing processes and inventory tools.
• Turn digital savvy wholesalers into mini profit centers while avoiding the old school pitfalls.
• Learn a proven way to bring wholesale business into the digital age.
Don’t miss Kevin Leigh at the 18th Digital Dealer Conference & Exposition from April 21-23 in Tampa, FL.
