Ohio Dealer Introduces Online Auction Venue

By Jennifer Reed, Online Editor
February 21, 2006

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COLUMBUS, Ohio (Feb. 21, 2006) -- In 2000, while traveling back to his Columbus-based dealership from auction with all 20 vehicles he wanted to wholesale, Lewis Bungard found himself thinking there must be a more successful, easier way to conduct such business. After giving it some thought, he came up with a plan for an online auction venue, which he decided to call www.godealertodealer.com.

"At the time, I thought wouldn't it be great if I could leave the cars at the dealership to retail while having them at an auction at the same time," said Bungard. "I started doing some homework to see if anyone was offering an online auction service. Although it took some time, dealers are making the shift now.

"Soon after, we trademarked and received a copyright for godealertodealer," he continued. "We ran a beta test in 2002 and took our product to the market in September last year. Since then, we're pushing 370 dealers signed up."

Bungard says godealertodealer.com was created by dealers for dealers. The online auction site covers a wide variety of products, including vehicles, trucks, motorcycles, RVs, watercrafts and more. Dealers who sign up for the site have the benefit of buying and selling 24/7 while the inventory stays on their lots and can be retailed, said executives. Dealers can bid on multiple items through proxy bids on online inventories.

Dealers can search godealertodealer.com's listings via year, make, model, mileage, price and location. All members also receive free unlimited auction space. When viewing inventory online, if a dealer sees something he needs for a store, he can click on the Buy Now option. Additionally, if he retails a vehicle on his lot before it sells online, a dealer can select the Pull Option, so the unit is removed.

Bungard boasts that godealertodealer.com prides itself on no sell fee and no listing fee; however, if a dealer retails a unit prior to it being sold online and he wants to pull it, then he is charged a fee.

"We pride ourselves on no sell fee and no listing fee," said Bungard. "It doesn't cost a dealer anything unless he pulls a unit."

In order to make the transactions as safe as possible, dealers rate sellers on each transaction. Additionally, if a dealer puts a vehicle through several online auctions and the unit fails to sell due to the reserve not being met, the company provides a link where the highest bidder can get in touch with the seller and negotiate a deal.

"If the highest bidder really wants the car, he can talk to the seller," explained Bungard. "Perhaps the seller wanted $15,000, while the bidder proposed $13,000. After the auction occurs, the bidder can contact the seller and see if perhaps he'll agree to $13,700."

For dealers who run into technology questions or issues with the online auction venue, Bungard said there is help. The company has a program that allows support executives to directly link to a dealer's computer to see exactly what the dealer is seeing and solve any problems or issues that arise.

"Our services are working and our company is growing," he added. "We're talking to some large companies and trying to make some more alliances. We're really on the cutting edge of technology for the industry. Our timing is good. We have dealers that have sold motorcycles, boats and more from Florida to northern Ohio. We're just getting ready to implement an electronic feed system so files can be added that aren't in our system."

In December of 2005, the company signed a joint marketing agreement with the National Motorcycle Dealers Association.

"This (godealertodealer.com) is an innovative company that interacts with existing dealers and can help dealers with inventory control," said Gaylen Brotherson, MBA chief executive officer. "We are pleased to introduce them as a founding member of the NMDA. We are extremely pleased about this alliance.

"Most dealers have a problem moving existing used motorcycles," continued Brotherson. "The godealertodealer.com site is a 24-hour sales floor. It can help move inventory regardless of the time or the climate in your area."

A few dealership executives recently voiced their opinions about godealertodealer.com.

"It makes good business sense," said Bob Baker, general manager of Small Honda Village in Greensburg, Pa. "We no longer have to pay to sell our units wholesale. We have access to potentially thousands of additional units and our sales managers never have to leave the dealership."

James McCune, president of Monongahela Ford Co., in Monongahela, Pa., added, "The company has created a new avenue for my dealership to increase inventory turn, to access a vast seller's market and most importantly, to boost my profitability. ... The company has addressed many of the difficulties that I face every day remarketing my current inventory, as well as filling my voids. Admittedly, I am not the most Internet-savvy person, but the Web site is simple enough for even a beginner to understand."

For more information on the company, visit www.godealertodealer.com.

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