Photographs often highlight how valuable — or deteriorated — a vehicle might be before it lands in your inventory.
Well, Black Book leveraged some helpful imagery as a part of a new educational infographic to help dealers, remarketers and finance companies learn how the company’s History-Adjusted Valuations can drive more profits during appraisals.
Black Book reiterated that History-Adjusted Valuations are a VIN-specific, analytics-driven resource that can deliver Black Book’s most precise vehicle valuations, helping automotive professionals determine the impact a vehicle’s history has on its value.
Even with the use of vehicle history reports, Black Book insisted automotive professionals are still reliant on making an unscientific, educated guess as to the impact a vehicle’s history has on its value, which often leads to mistakes in the valuation process.
On average, editors calculated History-Adjusted Values are 31 percent more precise when compared to the auction transaction price than valuations without a history adjustment included. Black Book’s analytics process leverages data that can help automotive professionals quickly pinpoint a more precise valuation on two individual vehicles of the same year, make and model, based on data inputs that take specific vehicle history events into account.
Making an inaccurate estimation on appraisal values can decrease margins for a dealer, as well as increase losses for auto finance companies, according to Jared Kalfus, executive vice president of revenue at Black Book.
“Two vehicles may look the same, but when you take VIN-specific history into account they aren’t valued the same,” Kalfus said. “Our History-Adjusted Values represent Black Book’s most precise values yet, and this new infopgraphic is a quick way for dealers, remarketers and lenders to better understand the process and how it can help drive more profit-producing transactions and reducing risk in portfolios.”
Black Book’s History-Adjusted Valuations analyze multiple factors and events in a vehicle’s history such as number of owners, vehicle usage, accident and accident severity, title issues, flood/hail/fire damage, CPO history and other variables that are not obvious when physically inspecting a vehicle.
The infographic explains this process in detail, how automotive professionals can utilize History-Adjusted Valuations and spells out specific benefits to dealers and lenders looking for ways to build more margin into transactions and portfolios.
To view Black Book’s new History-Adjusted Valuations infographic, go to this website.
For a demo of how History-Adjusted Valuations can help deliver more profits, call (800) 554-1026.