Editor’s Notebook: Auction Simplified another Online Channel, and Other Interesting Stories this Week

By Jon LeSage, Edi­tor, Used Car Mar­ket Reports

  • Deal­er Sim­pli­fied has launched Auc­tion Sim­pli­fied, which is now being used by 10 deal­ers in the Buf­fa­lo and Rochester, NY, area. Deal­ers aren’t pay­ing any­thing for their used vehi­cles to be placed on the online auc­tion. Deal­er Sim­pli­fied col­lects a per-vehi­cle fee of $25 to $120 from the buy­er and gives $20 of any­thing over $25 to sell­ers to help cov­er costs of hold­ing the pub­lic view­ing pri­or to auc­tion. ADESA and Man­heim have their offer­ings in online auc­tions, as do region­al chains. AutoAxess works with 55 fran­chised deal­ers in north­ern Cal­i­for­nia, though its buy­ers come from all over the state; Car­pho­nia says it has about 100 new car and inde­pen­dent used car deal­ers in its net­work.
  • Auto Remar­ket­ing has start­ed up a new cer­ti­fied pre-owned newslet­ter, called CPO Week­ly. Sto­ries from this week includ­ed a look at sta­tis­tics shared by True­Car on now much momen­tum is build­ing in the CPO busi­ness. Anoth­er ana­lyzed com­ments from JD Power’s John Humphrey dur­ing the NADA/JD Pow­er Auto­mo­tive Forum in New York on where lease matu­ri­ties went last year and where they’re expect­ed to go this year – and how CPO helps with it.
  • Lexus and Sub­aru deal­er­ships had the high­est aver­age con­sumer rat­ings among lux­u­ry and mass-mar­ket brands on Deal­er­Rater over the past 12 months. Lexus beat out Mer­cedes-Benz and Porsche among the top three ranked lux­u­ry brands; Sub­aru nudged past Mini and Hon­da among mass-mar­ket brands, accord­ing to Deal­er­Rater CEO Gary Tuck­er.
  • Lease cred­it approval volatil­i­ty has been appar­ent over the last six months, with every oth­er month surg­ing above or below Swapalease’s healthy mar­gin of 70% approvals, accord­ing to Scot Hall, Exec­u­tive Vice Pres­i­dent of Swapalease.com. Lease cred­it approvals tum­bled to 60% of lease trans­fer appli­cants in March, below the 2015 aver­age of 63.4%. “When the over­all vol­ume of appli­cants con­tin­ues to rise, it’s not uncom­mon to also find an increase in cred­it declines in the sec­ondary mar­ket,” Hall said. “Much of this activ­i­ty is the result of car shop­pers turn­ing to the sec­ondary mar­ket after their ini­tial and unsuc­cess­ful attempt to lease at the deal­er.”
  • Black Book Mar­ket Insights report­ed that small­er car seg­ments had an espe­cial­ly good peri­od last week. Com­pact Cars (+0.52%), Entry-Lev­el Cars (+0.45%) and Entry Mid-Size Cars (+0.15%) help keep over­all car seg­ments sta­ble and rel­a­tive­ly unchanged. The car seg­ment with the largest decline comes from the Pres­tige Lux­u­ry Cars, with -0.64% for the week.Crossovers have also done very well late­ly. “Com­bin­ing spa­cious cab­ins and bet­ter fuel econ­o­my, crossovers have sat­is­fied the Amer­i­can driver’s thirst for ver­sa­til­i­ty in a vehi­cle,” said Anil Goy­al, Vice Pres­i­dent of Auto­mo­tive Val­u­a­tion and Ana­lyt­ics for Black Book.
  • ADESA has seen a few enhance­ments late­ly to be more user friend­ly to its audi­ence. ADESA Assur­ance enables cus­tomers to quick­ly view off-lease and rental vehi­cles eli­gi­ble for a 30-day, no-ques­tions-asked return guar­an­tee; Watch List has new fil­ter­ing menus on the web­site and the mobile-opti­mized site with search enhance­ments, includ­ing mak­ing sal­vage units search­able using free-form text search.

1 Comment

Leave a Reply

Your email address will not be published. Required field are marked *.