The growth trajectory of TradeRev, starting from Canada, has spread throughout that country and into the South, East Coast and North Central areas of the U.S.
It has hopped the pond to offer white-label services in the United Kingdom, with discussions ongoing to launch in mainland Europe.
In mid-March, it secured up to $15 million in credit from KAR Auction Services, which is a backer of the smartphone-based auction company. That investment is primarily being used to foster the continued rollout of the product in additional U.S. markets.
In April, TradeRev announced a series of exclusive relationships with some of Canada’s largest dealer groups: Dilawri Group of Companies, AWIN Group, The Humberview Group, Open Road Automotive Group, Weins Canada and The MIERINS Automotive Group.
And now consignors are using TradeRev, a product initially geared toward the dealer-to-dealer space.
“What really drove us was a dealer need to create more transparency on their business end but also for the consumers,” TradeRev chief executive officer Mark Endras said in a phone interview last month.
“Ultimately, retail sales and the change in the business was driving us to initially innovate on this product. And I feel that that is the same thing that’s really driving the OEMs and the consignors to find more avenues to dispose of their lease returns in their portfolio of cars, but not only that, to see what’s the next step for them in this space and how they’re innovating.”
Endras co-founded the company with Wade Chia, Jae Pak and James Tani in 2009, and all four remain in senior leadership positions.
KAR acquired a 50-percent stake in TradeRev in August 2014.
So, what attracted TradeRev to KAR?
“First of all there’s some Canadian roots in there. So that was nice,” he said with a laugh. “But all joking aside, we were at a point in our growth where we were growing, we were profitable; but at same time, being successful in a market brings in competition.
“And there were small competitors starting to appear. There was word of bigger dealers, bigger competitors possibly coming into the space. And never operating out of fear, but wanting to grow quicker, we thought, ‘Well, this is perfect timing for us.’”
Endras counted KAR’s large presence and expertise in Canada as a big plus, and saw TradeRev as a great partner to that.
“And then in the U.S., where we were basically non-existent, they offered a great way to get into that market,” he said.
TradeRev found that through its success in digital with OPENLANE, KAR was “a very forward-looking company,” Endras said.
“And then we just really hit it off with the executive team and they shared our vision,” he said. “Jim (Hallett, KAR CEO) was very, very honest with me, and say, ‘Hey, listen, we’ll let you run this. You guys are the innovators. You keep going. We just want to help you.’
“And that kind of freedom is what we’re really looking for, because we’ve got a great vision for the company and we wanted a partner that was going to share that vision.”
Driving interest in digital
Both the retail and wholesale auto industries have seen growth in digital-based transactions, and KAR is no stranger to that. Endras said growth on the wholesale side is driven by the efficiency of digital platforms, which allows for quicker price discovery, decision-making and selling times.
“People want to be more efficient and find ways to shorten that cycle,” he said. “Because it all equates to more money.”
Of course, TradeRev finds itself in a spot, co-existing with — and, really, mutually complementing — the physical auctions of ADESA.
“We believe that physical auctions will exist for a long time. What they do and the capacity of how they integrate with these mobile marketplaces varies from market to market. But really it’s just another venue to sell a vehicle. And it’s another iteration and another set of buyers that can look at that car,” he said.
“So, some buyers are not on mobile devices. That’s just the truth. Not yet, at least. And some prefer to buy on certain channels and have certain behaviors, so I think the key is to provide a remarketing stream that enables a seller to have as many options as available in as short of a parked time as possible,” Endras said.
“And we think that that partnership with TradeRev and ADESA provides that, because with our technology, you can launch a car in an hour, decide did I get enough (or) did I not get enough; if I didn’t, move that to a physical auction, all within the app.”
He points out that as markets grow, so does the need for cars to be housed for reconditioning and post-sale services, all of which is brick-and-mortar.
“So, as much as you do on a device, you will still need that post-sale part that most people don’t talk about, that we’re very proficient at because of this relationship, again, with ADESA and all the operational experience that they have,” Endras said.
Relationship with DRIVIN
Another company TradeRev is now connected to is DRIVIN, which operates in a similar space as TradeRev.
On April 19 — six days after Auto Remarketing’s respective interviews with Endras and Hallett — KAR announced it had acquired Chicago-based DRIVIN in a $43 million stock purchase transaction.
Shortly after the purchase was announced, Auto Remarketing caught up with KAR chief operating officer Don Gottwald and DRIVIN chief executive officer and co-founder Kayne Grau by phone
Asked if there was any overlap between the services of DRIVIN and TradeRev, the execs acknowledged there is some, but it’s more of a “complementary” environment.
“Their original operating model, if you will, at DRIVIN is definitely a dealer-to-dealer-facing capability. I would say they are more complementary than overlapping,” Gottwald said. “There are multiple options to serve that space and the different segments of customers that have different needs. And they’ve taken two very, very different approaches to making that dealer-to-dealer transaction more efficient.
“So, we do believe over time, they will be very complementary,” Gottwald said. “But I think of TradeRev more as a transactional marketplace, and DRIVIN as a data science organization. And certainly the combination of those in the KAR platform is exciting.”
Grau added: “I think we can complement a lot of different solutions that they have. I think we were out in front on certain things that it’s ultimately going to just expedite the process. And I think that we can be nimble; we can take advantage of a lot of the assets that we have here in house and be able to get them integrated very, very quickly into the KAR ecosystem.”
Part I of the story can be found here.
The National Auto Auction Association has teamed up with the Massachusetts Independent Automobile Dealers Association to raise money for the victims of last week’s crash at Lynnway Auto Auction and for their families, as well.
NAAA said in a statement it is donating $25,000 and helping to promote MIADA’s Go Fund Me campaign: www.gofundme.com/lynnway-tragedy.
The organizations aim to raise $100,000, the proceeds of which will be provided to the families.
“Our heartfelt thoughts and prayers go to all involved, including our NAAA member family at Lynnway,” NAAA said in the statement. “We urge all our members to please make a contribution today and share the link to the fundraising campaign with others through your social media. Thank you.”
The fatal vehicle crash at the auction in Billerica, Mass., occurred on the morning of May 3.
In a statement released that evening by the office of Middlesex District Attorney Marian Ryan, officials confirmed that three people died from a collision at the auction.
A fourth person later died.
The DA released the names of the deceased in that statement: Brenda Lopez, 48, and Pantaleon Santos, 49, who were pronounced dead at the scene; and Leezandra Aponte, 36, who died from her injuries after being transported to a local hospital.
On Wednesday (May 10), the DA and Billerica Chief of Police said that Elliott Rowlands Jr., 50, who had remained hospitalized, died at Lahey Clinic following injuries from the crash.
The DA’s office indicated that a male Lynnway Auto Auction employee in his 70s was driving a 2006 Jeep at 10:13 a.m. (ET) during the auction's weekly sale when the vehicle accelerated through a wall at the auction and hit multiple people.
Along with the DA's office, the Billerica Police Department and the Massachusetts State Police CARS unit are investigating the accident. Officials do not believe it was intentional, based on a preliminary investigation.
The auction had said on its website that its May 10 sale was still being held. Lynnway was conducting a prayer service at 8:15 a.m., with the sale shortly following. The auction said on its Facebook page that it would be postponing its classic car sale (originally scheduled for May 20) until the fall.
It was mid-afternoon on Dec. 5, 2013, and KAR Auction Services chief executive Jim Hallett was at a meeting in a Chicago boardroom.
A person in that meeting was discussing a new product called TradeRev that had been launched in Canada.
“I stopped the meeting, and I said, ‘Go and phone the principals right now, and tell them we’d like to buy their company,’” Hallett said.
Within 60 days of making that phone call, KAR was in discussions with TradeRev to acquire a 50-percent ownership stake in the company. The deal officially closed in August 2014.
Three years later, if you talk to Hallett — as Auto Remarketing did last month by phone — you can hear that same excitement about TradeRev in his voice. The reason for that passion goes back to his days as a retail car dealer in Canada at a time when desking deals was quite the arduous task.
“When I first heard about TradeRev, I immediately went back 35 years and thought about, ‘Wow, if I could have had this product when I was desking deals 35 years ago in the retail car business, how much easier, and how much more efficient would my life have been, and how much more profitable would the dealership have been?’” Hallett said.
In those days, when a customer brought a trade-in to the store, the process would involve a walk-around, taking the vehicle for a spin, then looking at price guides and printed auction reports to see what that vehicle was fetching in the lanes.
“And then we’d get on the phone, and we’d phone our five favorite wholesalers, who would all low-ball us, and quite frankly, it wasn’t a very efficient or a very responsible way for appraising cars,” Hallett said. “We were missing a lot of trade-ins, and when you miss a lot of trade-ins, you miss the opportunity to sell a lot of new cars.”
Not to mention, even the task of trading dealer-to-dealer (in today’s market, no less) can be complicated. It involves negotiation, transferring titles, making/ensuring payment, transportation and floor planning.
“Basically, TradeRev does all of that on a mobile app,” Hallett said.
Investment, expansion accelerates
In mid-March, KAR announced it was extending up to $15 million in credit to TradeRev. That investment is being used to foster the continued rollout of the product in additional U.S. markets.
But the growth goes beyond that.
TradeRev has already been introduced and been used in the United Kingdom, with discussions ongoing to launch in mainland Europe.
It has also attracted the attention of commercial consignors, Hallett said.
When he first saw TradeRev, Hallett viewed it as a dealer-to-dealer app. He considered how KAR could disrupt the dealer-to-dealer segment of the wholesale space, which can see about 10 million units of supply a year.
(Breaking the market down, Hallett said, there are about 10 million units that go to physical auctions each year and 1-1.2 million that go to online platforms. There’s another 20 million that are dealer trade-ins that never make it to online or physical auctions. Assuming dealers keep half of those for retail is where Hallett gets the 10 million figure).
“Although I thought about it, I didn’t really appreciate the appetite that commercial consignors would have for this,” Hallett said.
“We have found commercial consignors now see it as another opportunity to sell their vehicles, especially with this onslaught of off-lease cars,” he said. “It’s like a waterfall event that we talk about. So, first it goes to a closed sale. Then it drops down to an open sale. Then it would typically go to a physical sale. Now the waterfall is, it goes from a closed to an open, now it’s going on TradeRev with some commercial sellers before it goes to a physical auction.
“So the fact of the matter is, we have as I like to say, three licks of the lollipop because it goes to a physical auction.”
Consignors want to be able to sell cars in every available channel, Hallett said. TradeRev allows them to do so — and quickly, with sales being over and done with in less than an hour. Consignors view TradeRev as another channel to sell the vehicle before having to pay for it to be sent to auction.
Challenge to traditional auction?
Of course, the inevitable question comes up.
“Many have said, ‘Well, aren’t you potentially taking cars out of the physical auctions? … And aren’t you reducing your economics?’” Hallett said, noting the difference in economic between TradeRev and the physical auction.
His answer?
“That’s exactly what I’m doing. And that’s exactly what I want to do,” he said. “I’m willing to take cars out of my physical auction because number one, I have the opportunity to do more business with more dealers in that other 10 million cars that will more than make up for it with the volume.”
After all, KAR’s goal is to have a multitude of available channels and continue to look for new ones. And let the customer decide how he or she wants to transact.
“I believe that it’s not up to KAR or ADESA to dictate how or where a car gets sold. I believe that we should allow the market to determine where the car gets sold and then secondarily allow the customer to choose how the car gets sold,” he said. “So with that said, I believe it’s our responsibility to provide as many channels as we possibly can where a car can get sold and then let the customer and the market decide how that car should get sold.
“So, whether it’s online, whether it’s mobile, whether it’s physical or whether it’s some other market that we haven’t thought about yet — or we haven’t announced yet,” Hallett said, chuckling at the last part, “I think the key is, don’t try to force cars into a channel.
“So with that said … I want to be in every channel and I want to have a presence.”
Editor's Note: Story updated to clairify timing of 50-percent ownership purchase.
Stay tuned to Part II of this series, where we talk with TradeRev CEO and co-founder Mark Endras.
With the intention of broadening its client roster beyond the 16 already in its portfolio, Auction Management Solutions (AMS) announced on Monday that Jamye Carpenter has joined its team as vice president of business development.
AMS highlighted that Carpenter has more than 18 years of experience in the auto auction industry, with positions ranging from customer service to senior vice president.
Carpenter started her career in 1999 with AutoCheck as a customer service representative and eventually became the director of business development. She was responsible for growth in both the insurance and auction industry business that included creative ideas and building an ever-widening network of industry connections. Carpenter also managed the Red Mountain Technologies Client Services team, serving many of the largest property and casualty insurers in the country, while continuing to sell and develop new products for the auction and insurance clients she served.
“We are very excited to have Jamye join our team. She brings a wealth of knowledge and experience to AMS and those qualities will benefit our partners tremendously,” AMS president Tom Stewart said.
“Jamye will be working closely with our auction partners on the business development projects that we currently have in place, as well as help to expand our existing client base,” Stewart continued.
Carpenter also serves on the National Auto Auction Association Convention Planning Committee, the International Automotive Remarketers Alliance Standards Committee, and has been active with the American Association of Motor Vehicle Administrators.
AMS was started by Stewart and Richard Curtis to provide consulting and recruiting services to the automotive industry that includes independent auto auctions, service providers and vendors.
The focus of AMS is to provide strategic business development services, with an emphasis on business processes and profitability that aid in the growth and success of client/partner businesses.
Currently the AMS auction network has grown to 16 independent auctions across the United States and includes:
—Oklahoma Auto Exchange
—Columbus Fair Auto Auction
—Greater Quad City Auto Auction
—Rochester Syracuse Auto Auction
—Greater Erie Auto Auction
—DAA Chattanooga
—DAA Murfreesboro
—DAA Memphis
—DAA Huntsville
—DAA Mobile
—Southeastern Auto Auction
—Dealers Auto Auction of Idaho
—166 Auto Auction
—All Valley Dealers Auction
—Central Auto Auction
For more information, visit www.auctionmgt.com.
Manheim Pennsylvania will host over 100 auctioneers who are set to face-off in the 2017 World Automobile Auctioneers Championship (WAAC), which will showcase auctioneers competing for $12,500 in prize money as well as the title of the best auctioneer, best ringperson and best two-person team.
“It’s our privilege to sponsor this year’s event and celebrate the top professionals in automobile auctioneering,” Manheim Pennsylvania general manager Joey Hughes said in a news release. “It will be an inspiring display of hard work and unique craft.”
Auctioneers will be judged on chant, voice quality, salesmanship and other performance elements of efficient and authentic auctioneering.
Contenders will also have to showcase their ability to interact and communicate with bidders and buyers.
“The level of talent at this event will be unparalleled, and picking the winners will be an exciting, tough job,” Manheim Inventory Services senior vice president Grace Huang and judge for the championship said.
Other Auto auction industry executives set to attend the championship include Shane O’Dell, president of Cox Automotive Financial Solutions Group and Jerry Hinton, president of the National Auto Auction Association.
“It is fitting to hold this competition at Manheim Pennsylvania, where modern-day auto auctions began in the U.S.,” WAAC president Paul Behr said. “We appreciate Manheim making this event possible, and for the industry leader’s commitment to auto auction professionals.”
Manheim Pennsylvania is said to be the largest auction in the world, its operations currently sit on 400 acres, according to Manheim.
Manheim Dallas-Fort Worth recently announced that due to continued growth in specialty sales, it has invested in a 3,000-square-foot specialty building in order to meet growing dealer demand.
The new facility is located across the street from the auctions wholesale vehicle operation and will have its own staff that will serve dealers in two sales lanes, according to Manheim.
“Specialty vehicles are an important offering at Manheim Dallas-Fort Worth, and now we’re making it even easier for our clients to buy and sell these units,” Manheim Dallas-Fort Worth general manager Nicole Graham-Ponce said in a news release. “By creating a dedicated facility with an onsite staff right across the street from our traditional auction, we are able to prepare for growth, while providing a seamless experience for our clients."
The auction’s team unveiled the facility at a grand opening event it held with more than 350 buyers in attendance on April 14. According to Manheim, the event yielded an 82-percent sales rate, selling more than $4 million of specialty inventory.
The 112-acre auction site has been in operation since 2000 and has since expanded to a team of 201 members.
Manheim said the auction currently hosts an estimated 1,600 independent and franchised dealers each week and offers approximately 2,300 units each week in-lane and online.
Rawls Auto Auction hires manager
In other auction news, what is said to be the nation’s first auto auction, Rawls Auto Auction of Leesville, S.C. — founded in 1938 — announced it has recently brought aboard Michael Mancuso to be its national accounts manager.
Mancuso has worked for both auctions and consignors, and he brings extensive national remarketing experience, Rawls AA said.
“As Rawls Auto Auction continues to expand and improve its commercial consignment sales, Mike’s national account background makes him a valuable addition complementing our experienced fleet lease department,” auction owner and general manager Jimmy Rawls said in a news release.
In his new role, Mancuso will be tasked with further developing the auctions fleet lease technology, marketing and sales.
Additionally, on May 16, the auction said it will host its 79th anniversary sale that will end with a large cash drawing for a grand prize.
A fatal vehicle crash occurred at Lynnway Auto Auction in Billerica, Mass., on Wednesday morning.
In a statement released Wednesday evening by the office of Middlesex District Attorney Marian Ryan, officials confirmed that three people died from a collision at the auction. Nine were hospitalized.
At the time of another news release from the DA's office Thursday evening, one remained hospitalized with serious injuries. The DA released the names of the deceased in Thursday’s statement: Brenda Lopez, 48, and Pantaleon Santos, 49, who were pronounced dead at the scene; and Leezandra Aponte, 36, who died from her injuries after being transported to a local hospital.
The DA's office indicated that a male Lynnway Auto Auction employee in his 70s was driving a 2006 Jeep at 10:13 a.m. (ET) during the auction's weekly sale when the vehicle accelerated through a wall at the auction and hit multiple people.
Along with the DA's office, the Billerica Police Department and the Massachusetts State Police CARS unit are investigating the accident. Officials do not believe it was intentional, based on a preliminary investigation.
In a joint release from the Billerica police and fire chiefs on Wednesday, officials said:
"Police Chief Daniel Rosa and Fire Chief Thomas Conway wish to acknowledge the rapid response of surrounding towns, who sent emergency resources into Billerica during today’s critical incident in which a jeep struck several people during an auto auction, killing three and injuring approximately 10 other people.
"The incident has been classified as a Mass Casualty Incident, which necessitates the rapid response of emergency resources to tend to a large amount of victims with varying degrees of need, ranging from walking wounded to life-threatening injuries," the statement continued.
"The Burlington, Bedford, Tewksbury, and Wilmington Fire Departments sent units to the scene, and the Chelmsford and Burlington Fire Departments provided station coverage for the vacant Billerica fire houses during the incident. Trinity Ems Inc. sent ambulances to the scene during the incident, which allowed for patients to be rapidly transported to hospitals. Lahey Hospital and Medical Center was alerted within minutes and was able to prepare its emergency department to receive patients.
"On the law enforcement side, the Northeastern Massachusetts Law Enforcement Council activated municipal police departments from across Middlesex and Essex County, sending its Rapid Response Team and its mobile command post to the scene, providing much-needed manpower and logistical resources. The Massachusetts State Police also responded with a number of units. The chiefs are grateful for the assistance, and the speed and organization of the today’s emergency deployments."
In the statement, police chief Conway said: "During a mass casualty incident, seconds count for patients. Manpower at the scene is critical, but it is just as important that these resources be deployed in a orderly and organized fashion, consistent with best practices of incident command.Today’s incident was a tragedy, but I am grateful for the tremendous response of police, fire, and EMS resources today that likely prevented further loss of life today."
Fire chief Rosa added: "I am grateful for the strong working relationships that exist among public safety agencies in Massachusetts. On behalf of the entire Billerica community, I would like to express sincere condolences to the families and loved ones of all of those involved in this tragic incident."
Earlier in the day, the Massachusetts State Police — which on Twitter said it was assisting the local police — said in a statement posted to its website: "Preliminary investigation at the scene of the crash at Lynnway Auto Auctions in Billerica indicate that there are fatalities among the multiple victims.
"At this point, there is no evidence or information to suggest the incident was caused by an intentional or terrorist act. All evidence and information at this time suggests an accidental cause. The investigation by Billerica and State Police is ongoing. No further information is available at this time."
The state police also tweeted on Wednesday that it was dispatching crash reconstruction and crime scene teams to the auction, along with its detectives in the Middlesex County District Attorney’s office.
When reached via direct message on Twitter, Billerica police referred Auto Remarketing to the DA’s office, which was handling media requests.
Lynnway Auto Auction posted this message on its Facebook page Wednesday: "We are shaken and deeply saddened by the unfortunate accident at Lynnway today. Our thoughts and prayers go out to the individuals and families affected by this event."
Social media accounts of auto auctions have posted condolences for those affected.
Dealers Auto Auction of the Southwest tweeted, "Our thoughts and prayers go out to the individuals and families affected by the unfortunate accident today at Lynnway Auto Auction."
"This is a sad day for everyone in the auto auction industry. Our thoughts and prayers are with Lynnway Auto Auction. #AuctionFamily," tweeted Manheim New England, which is located in North Dighton, which is located 62 miles north of Lynnway.
Manheim Statesville tweeted: "Our thoughts and prayers go out to the individuals and families affected by the unfortunate accident today at Lynnway Auto Auction."
What's it like being a leading edge subprime auction in a huge metropolitan market surrounded by the ongoing tempest of chain auction leaders?
It's like being a teapot that needs to continually brew innovation, creativity and, basically, a solid consistent blend to keep the tempest at bay.
Someone asked me recently how we survive and, in the past decade, have actually grown? What's our secret?
We actually don't have one; the real secret is in our consignors.
More on that below.
Mini-chains are seemingly Midwest- to Eastern U.S.-located and picking up more places each month in that marketspace. Their version of economies of scale to keep the tempest at bay.
Our consignors recognize one thing: the one-size-fits-all box doesn't always fit everything well or efficiently.
So they give us opportunities, because how many auctions have a GM that is an IARA Certified Remarketer, Auto Remarketing Women in Remarketing honoree, and a past and future candidate for NAAA VP?
How many auctions have been privileged to be honored by its own employees as one of "The Best Auto Auctions To Work For" by Auto Remarketing?
How many auctions have long offered the following?
— No arbitration policies back to our consignors on any unit we completed the condition report on
— Digital bidder badges inside our APP
— Carfax-driven transparent transactions
— In-lane concierge dealer lounge
— A new operating system that drives our mobile technology driven lot operations
The "teapot" continues to percolate up new service-related brews, delivered with customer service and access to senior management second to none.
So I just gave away the secret to success when you are the teapot: ignore the tempest and give your consignors options that standardization and selling with your competitor might not be able to.
To all our buying and selling partners, we thank you for recognizing value is driven by returns and service, and not low price and rebates.
As always, just one man's opinion.
Editor’s Note: Jim DesRochers is vice president at Dealers Auto Auction of the Southwest. As with any contributed content, the opinions expressed in this and other editorial columns are solely that of the author’s and do not necessarily reflect those of Auto Remarketing or its parent company.
Auction Academy recently announced that its fifth class group has completed its first two sessions of the year, following two days of training, a seminar on selling vehicles online, and two field trips,
The continuing education program for auto auction industry professionals welcomed its newest class group for its first day of training on April 6 in Nashville, Tenn.
The two-day training included an opening by industry icon, Tony Moorby who provided background on the automotive industry and an account of his own career, as well as presentations by Black Book’s Anil Goyal about the economics of depreciation and Pierre Pons, who delivered an overview of the current auto auction landscape.
Some members of the class arrived early for a pre-session field trip to the Nissan Manufacturing Plant in Smyrna, Tenn.
“Class 5 Group was fantastic. They asked great questions throughout the Session and quickly became engaged in all aspects. The post-session reviews were equally strong with the best marks going to the Nissan Plant Tour, the time spent at Manheim Nashville and Kay Hudson’s presentation on employment practices,” Auction Academy president Penny Wanna said.
When the class visited Manheim Nashville, general manager Sam Chaple and his team shared their views on how to make dealers feel welcome even in a very large facility. Following the tour, Jeremy Robb of Nissan, Kay Hudson of Capital Automotive Reconditioning gave presentations on human resources and employment practices essentials.
Auction industry digital and Internet managers of the class met in Franklin, Tenn., to attend the Academy’s Digital Managers’ Seminar.
“This is the fourth year in a row that Auction Academy has held a session focused exclusively on selling vehicles on the Internet,” Wanna said. “Each year we look to enhance the program, and the initial reviews from participants indicate that we succeeded, with many saying that this year’s session was the best to date.”
The managers heard presentations and participated in discussions with Michael Daseke of Liquid Motors, Brent Ramels of SmartAuction, Peter Lavallee of OVE, Dan Diedrich of Auction Edge, and Joe Miller and Mike Broe of AutoIMS.
Additionally, Keith Fetz of Clark County Auto Auction and Tad Swift of Winchester Auto Auction discussed techniques for selling vehicles online. Nick Pirovolids of BSC America’s Bel Air Auto Auction led a talk about using social media as a marketing tool at the auction. The next seminar series session scheduled for June 12 and June 13 will cover auction operations.
“The operations session will be followed closely in July by our first ever Leadership Seminar in Nashville, led by four of the top trainers in the country,” Wanna added.
Auction Academy said its fith class will also travel to Spokane, Wash. in July for a session hosted by DAA Northwest’s Bob McConkey and his team.
OK, OK, OK. Want a sure sign the spring market is blooming in the auction lanes?
Perhaps, here it is.
The latest Black Book Market Insights report indicated compact cars performed the best out of all vehicle segments. On the other hand, editors noticed full-size vans saw the largest depreciation, dropping 0.38 percent in value last week.
However, Anil Goyal noted that most of both car and truck segments continued to show strong retention as the industry gets deeper into spring.
“Wholesale markets held steady last week with strong bidding in the auction lanes resulting in most car segments improving in values,” said Goyal, who is senior vice president of automotive valuation and analytics at Black Book.
Looking at volume-weighted data, editors determined overall car segment values increased by 0.16 percent last week. In comparison, the market showed similar performance increasing on average by 0.14 percent during the previous four weeks.
As mentioned, Black Book reported that most car segments increased in value. Compact car, sporty car and full-size car segments gained the most by 0.50 percent, 0.38 percent and 0.33 percent, respectively.
Again volume-weighted, editors found that overall truck segment values — including pickups, SUVs and vans — remained steady last week. In comparison, truck values depreciated by just 0.03 percent in the previous four weeks.
Minivans made up the best performing segment two weeks in a row whereas full-size vans declined the most by 0.38 percent.
Black Book personnel mingling in the lanes with dealers at about 60 auctions added more color to the spring market scene; alluding to the fact we might be at the peak in some locations.
That sentiment came from Texas where Black Book’s lane watcher said, “Great weather, lots of buyers and trucks are very strong. It’s possible that we are close to the top of the market.”
Another strong indicator came from southern California where the representative noted, “The market is really holding its head up with prices keeping pace.”
Elsewhere, the spring scene might still be in the budding stage such as in Georgia where Black Book gathered this report: “The sale started out really strong selling almost everything with high prices. Quickly though, no-sales and softer prices were the norm for the remainder of the auction.”
And in North Carolina, the story went, “Dealers remain optimistic as the spring market continues here. Luxury vehicles, whether they be SUVs or passenger cars are the only tough sales at the auction.”
Perhaps dealers still wondering when spring will come might operate out of the Midwest. That’s where two other reports from Black Book only gave a hint about spring.
Out of Michigan, Black Book received, “Retail is not as hot here as it should be but trucks were firm today with active bidding. Sport cars and convertibles are finally bringing spring values.”
And in Illinois, the lane watcher shared an assessment that might be valid at any time of year, relaying “Dealers say that they may pay more than a fair price to acquire the good, clean inventory that they need for retail.”
![IMG_0127[1][1]](https://www.autoremarketing.com/wp-content/uploads/2017/05/IMG_012711.jpg)
