Successful dealers using “all sources”
Successful dealers are using all the sources open to them in order to meet their used car and van stock needs as supply dries up, says e-commerce specialist epyx.
The company points out that, among dealers buying from its 1link Disposal Network e-commerce platform, those that are thriving are using not just advanced online sources but also traditional auctions, vehicle brokers and even buying direct from existing owners.
Ken Trinder, head of business development at epyx, said: “Of course, we’d like to promote e-commerce as the answer to all used vehicle stocking ills but the truth in the current climate is that while this is a rapidly growing area of the market, few successful used dealers are getting all the stock they need from one source.
“Instead, they are using every avenue open to them. This means that they are using e-commerce but also still visiting traditional auctions, working closely with intermediaries such as brokers and working hard at ensuring that they get the right trade-ins.
“Used vehicles will remain a key source of dealer profitability as we get further into 2010 and the only way to ensure that you are getting the cars and vans that you need is to ensure that you have every base covered.”
Trinder said that the main advantage of e-commerce platforms such as 1link Disposal Network in the current environment was that they allowed dealers to quickly and easily check for and buy stock.
He explained: “Most of the dealers that use our platform set up intelligent searches for the kind of vehicles that they want. If, for example, they would like notification of any two-three year old Ford Focus diesel Zetecs in metallic paint with 20,000-40,000 miles on the clock that come up for sale, the system will e-mail or text them as soon as matching cars become available.
“This is clearly a much faster and more time efficient way of sourcing stock than visiting an auction and, in the long term, is why we believe e-commerce will be increasingly used by dealers.”
Used sales to dealers through 1link Disposal Network continued to rise through the fourth quarter of 2009.
Trinder said: “We have set successive sales records in each quarter of this year as more major fleets have signed up to dispose of ex-company vehicles through the platform, in turn attracting the attention of greater numbers of potential dealer buyers.”
The current, buoyant performance has been prompted largely by a number of key leasing industry signings to the platform in recent months, including GE Capital Solutions, ING Car Lease, Volkswagen Financial Services and Inchcape Fleet Solutions.
1link Disposal Network is used by dealers to buy vehicles from major fleets, usually leasing companies, who are disposing of ex-company cars and vans online.
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