On Wednesday, General Motors Financial highlighted the winners of its nationwide Auction of Excellence program.
This year marks the first time GM Financial has recognized two winners — one for open and one for closed sale performance. Recipients were chosen after reviewing each of the company’s 46 auction partners’ performances in customer service, marketing promotions, pre-sale activities and overall auction success.
Taking the honor as 2015 Open Sale Auction of the Year is Grand Rapids Auto Auction located in Jenison, Mich.
“I have been privileged to partner with GM Financial for more than 10 years, and it’s an honor for GRAA to be recognized with this coveted award,” said general manager Mark Capel, who received the award on behalf of Grand Rapids AA.
“GRAA has been named to this honor previously, so our staff has had a benchmark to operate at a very high level,” Capel continued. “It’s knowing those high standards that I want to thank GM Financial and my staff — senior management, operations, internal, external, transportation and our compliance department at GRAA — who worked so diligently to operate near perfection for the GM Financial account."
Receiving the accolade as the 2015 Closed Sale Auction of the Year is ABC St. Louis located in Centreville, Ill.
“Our auction team at ABC St. Louis is a very competitive group. It is such an honor to win the Auction of Excellence Award from GM Financial,” said ABC president Jason Hockett, who accepted the award on behalf of ABC St. Louis.
“GM Financial runs at some very strong auto auctions, so to be honored as the top-performing auction is a testimony to the hard work and service of Todd Ritter, general manager, and his team at ABC St. Louis,” Hockett added.
A quarterly and year-end overall winner is awarded to one auction in each of GM Financial Remarketing’s five regions. This year’s Regional Auction of Excellence winners are as follows:
— Midwest Region: Grand Rapids AA
— Northeast Region: Manheim Pennsylvania (Manheim, Pa.)
— Southeast Region: Manheim Georgia, Atlanta
— Southwest Region: ADESA Austin (Austin, Texas)
— West Coast Region: Manheim Portland (Portland, Ore.)
GM Financial senior vice president of remarketing Dan Heinrich extended his congratulations to all awarded auctions.
“Many of these auctions’ successes can be attributed to the extraordinary people who work the GM Financial lanes,” Heinrich said. “Without them, honoring each of these locations would not be possible. Thank you to everyone involved in moving GM Financial vehicles through the auction process. Congratulations to all of our winners.”
The National Auto Auction Association is now providing its member auctions with free courses on Auction Safety Certification and Lane Safety Training.
NAAA added the safety series, which includes video courses, to its website on Monday.
It is designed to promote safety awareness and prevent accidents. The courses are based on a two-tiered system for both full-time and part-time employees at auctions.
The Auction Safety Certification course includes 12 videos. Staff members take a quiz at the end of each one. NAAA estimates that the entire course can be completed in an hour, but participants will have a month to complete it once they start.
Meanwhile, the 20-minute Lane Safety Training course is designed for temporary agency drivers.
“Busy auto auctions have the potential to be hazardous — especially to those unaccustomed to the work environment of the lanes,” NAAA chief executive officer Frank Hackett said in a news release.
“So our program not only addresses improving safe practices with staff members, but also offers training to familiarize the industry’s many part-time employees, and contractors with the safety conditions and issues encountered at an auction,” he added.
The courses can be accessed through the “Safe T. Sam” icon under the Education and Training section on www.naaa.com. Or, follow this link directly to the page.
“NAAA created this program because the safety of our members, their employees, customers, and their onsite contractors, are the most valuable and important asset at each auction,” Hackett said. “When you hire an employee, training and education becomes paramount to understanding the safest, most productive way to do the job.”
Ally Financial recently recognized its top performing auctions for 2015. Awards were given to auctions around the country for performance, leadership and growth throughout the year.
“The Ally team appreciates the effort and support provided by all of our auctions, without which we could not be successful. We are pleased to congratulate this year’s winners, who consistently demonstrate the highest levels of service and dedication to our dealer customers,” said Jason Alba, senior director of remarketing for Ally.
The winners include:
SmartLane Auction of the Year: ABC St. Louis
The SmartLane Auction of the Year award winner for the fourth year in a row was ABC St. Louis, continuing its tradition of performance and commitment to service excellence.
SmartLane is featured at participating physical auctions nationwide, and leverages Ally’s remarketing specialists to professionally represent and manage the auction sale process with the goal of maximizing net resale values for dealers and Ally. Dealers’ SmartLane vehicles are presented in the auction lane along with Ally vehicles, resulting in greater exposure for dealer units.
Leadership Auction of the Year: Columbus Fair Auto Auction
Columbus Fair Auto Auction, of Columbus, Ohio, was recognized for its top overall sales performance throughout the year. Columbus Fair AA is one of the largest independently owned auto auctions in the country, and continues to yield exceptional operational results.
The SmartAuction Independent Mid-Stream Auto Auction of the Year: Flint Auto Auction
Flint Auto Auction based in Flint, Mich., won SmartAuction’s Mid-Stream Auction of the Year award for the fourth consecutive year. Flint AA was the top seller of vehicles on SmartAuction among all the Independent auctions on the site. Flint AA was also awarded SmartAuction’s newest award, the Soaring Eagle Award, for selling more than 1,000 vehicles in a year.
“Flint Auto Auction is well deserving of this award. They have done an outstanding job leveraging the SmartAuction platform over the years and providing the service excellence that our buyers and consignors have come to expect," said Steve Kapusta, vice president of dealership online services and remarketing at Ally. “We value their commitment to this business and look forward to another outstanding year.”
Highest SmartAuction Sales Percentage: North Shore Auto Auction
North Shore Auto Auction in Ipswich, Mass., was awarded the Highest Sales Percentage Award by an Independent Auto Auction on SmartAuction.
Greatest Year-Over-Year Sales Growth: ABC Detroit Toledo
ABC Detroit Toledo, based in Toledo, Ohio, was awarded SmartAuction’s Year-Over-Year Sales Growth Award for the greatest year over year growth in sales by an Independent Auto Auction on SmartAuction.
Santander Consumer USA recently gave awards to 10 different auction locations when the consignor honored them for the wholesale work performed not only for SCUSA, but Chrysler Capital as well.
Taking the accolades as both Santander Consumer USA Auction of the Year as well as Chrysler Capital Auction of the Year was Manheim North Carolina.
The company also honored Kristine White, SCUSA’s AVP of asset remarketing for the Midwest region, as its Auction Manager of the Year.
The complete list of auction winners are as follows:
— ABC Detroit-Toledo: Santander Consumer USA Operations
— ADESA Long Island: Santander Consumer USA Northeast, Chrysler Capital Northeast Region
— ADESA Golden Gate: Chrysler Capital West Region
— ADESA Phoenix: Santander Consumer USA West Region
— ADESA Atlanta: Santander Consumer USA Q4 Auction Partner, Chrysler Capital Q4 Auction Partner
— Manheim North Carolina: Santander Consumer USA eCommerce, Santander Consumer USA Southeast Region, Santander Consumer USA Auction of the Year, Chrysler Capital Southeast Region, Chrysler Capital Auction of the Year
— Manheim San Antonio: Santander Consumer USA Central Region, Chrysler Capital Central Region
— Manheim Louisville: Santander Consumer USA Midwest Region
— Manheim Kansas City: Chrysler Capital Midwest Region
— Americas AA: Santander Consumer USA Auction Partner, Chrysler Capital Auction Partner
Leslie Ruhe didn’t exactly pursue the car business, she says.
“It actually pursued me! I was a brand-new mom, content with where I was. I had a friend encourage me to apply for a newly created job in the lease remarketing group where he worked,” said Ruhe, a 2016 Women in Remarketing honoree and a vice president and senior relationship manager at U.S. Bank
“Initially, I didn’t think it was the right time to make such a major life change, but after two days back from maternity leave, I realized I needed something new,” she added. “I have never looked back! I knew this is where I belonged very early on and have never considered a career change outside of the car business.”
In fact, that’s a big part of what Ruhe enjoys about the car business — that people tend to stick around.
“I feel like once people are in this business, they stay here. Even if they leave a company, they still stay in the industry. I love getting to know people personally and professionally,” she said. “Everyone is so supportive and willing to help. The people I work with every day are like family. We’ve all worked together for many years and really enjoy working together. “
Beyond her teammates and folks with whom she collaborates, Ruhe said some of the most rewarding parts of the job have been attending and speaking at industry conferences. She enjoys meeting new industry peers and getting the chance to compare notes.
The invaluable opportunity for professionals learning from each other is one Ruhe appreciates.
Of course, that requires some confidence, which is the main point of advice Ruhe had for people looking to become leaders in the car business.
“Be confident. Walking into a full conference room or meeting hall with people you don’t know can be intimidating,” she said. “Don’t be afraid to walk up to someone, offer a strong handshake and introduce yourself.”
That’s sound advice in any industry. And so is Ruhe’s approach to problem-solving.
“You can’t just put a Band-Aid on the problem; you have to solve the real issue. You have to really understand the problem and what causes the problem before you can come up with a good solution,” she said. “Often it requires thinking outside of the box and not being afraid to try something new or risky.”
To get a sense of how Ruhe and her teammates have applied the latter part of that strategy, look no further than how she answered this question: In your specific area of the industry, where has the car business changed the most during your career?
“It has been very interesting watching online sales become more and more acceptable. The first month I worked in remarketing, we sold four cars online. We had no idea just how big this sales channel would become,” she said. “In more recent years, we have seen so many changes due to government regulations and the CFPB. We have had to become more creative in this environment.”
Check out the April 15 edition of Auto Remarketing to learn more about the entire class of 2016 Women in Remarketing honorees.
These outstanding leaders will be honored at Used Car Week 2016, where we will be launching our National Remarketing Conference partnership with the National Auto Auction Association.
Used Car Week is scheduled for Nov. 14-18 at the Red Rock in Las Vegas.
Perhaps the sprouts of a springtime wholesale price rise now really are starting to germinate.
According to ADESA Analytical Services’ monthly analysis of wholesale vehicle prices by vehicle model class, used-car prices in March averaged $10,815. The figure represented a 6.0-perent increase compared to February and a 1.7-percent uptick relative to March of last year.
Continuing a now-familiar pattern, ADESA chief economist Tom Kontos pointed out car prices on a year-over-year basis were down, while truck prices were up, particularly for full-size SUVs, CUVs, and pickups.
“Signs of the traditional spring tax-season market appeared in March as average wholesale prices rose both on a sequential and annual basis,” Kontos said in his monthly Kontos Kommentary that accompanied the latest data.
“Yet price softening driven by supply growth remains a visible undercurrent as totals and averages are broken down into model class, sale type and age buckets,” he added.
Looking deeper into the March data, ADESA reported that average wholesale prices for used vehicles remarketed by manufacturers were up 1.9 percent month-over-month but down 1.0 percent year-over-year.
Analysts noticed prices for fleet/lease consignors rose 6.8 percent sequentially but dropped 2.4 percent annually.
Within that category, Kontos mentioned off-rental risk units had “significant” year-over-year price declines despite lower average mileage.
“Ditto for prices of 3-model-year-old vehicles, a proxy for off-lease vehicles,” he went on to say.
ADESA also pointed out that 2- and 4-year-old vehicles also saw “major” year-over-year price declines, as did older models.
Finally, the auction company indicated dealer consignors saw a 4.1-percent price increase versus February and a 1.5-percent increase relative to March of last year.
Kontos offered more assessment about the March wholesale price data in the video available at the top of this page.
ADESA Wholesale Used-Vehicle Price Trends
| |
Average |
Price |
($/Unit) |
Latest |
Month Versus |
| |
March 2016 |
February 2016 |
March 2015 |
Prior Month |
Prior Year |
| |
|
|
|
|
|
| Total All Vehicles |
$10,815 |
$10,202 |
$10,639 |
6.0% |
1.7% |
| |
|
|
|
|
|
| Total Cars |
$9,095 |
$8,508 |
$9,395 |
6.9% |
-3.2% |
| Compact Car |
$7,060 |
$6,650 |
$7,356 |
6.2% |
-4.0% |
| Midsize Car |
$8,119 |
$7,667 |
$8,122 |
5.9% |
0.0% |
| Full-size Car |
$7,828 |
$7,378 |
$8,194 |
6.1% |
-4.5% |
| Luxury Car |
$13,668 |
$12,902 |
$14,201 |
5.9% |
-3.8% |
| Sporty Car |
$14,550 |
$12,901 |
$13,970 |
12.8% |
4.1% |
| |
|
|
|
|
|
| Total Trucks |
$12,685 |
$12,032 |
$12,039 |
5.4% |
5.4% |
| Minivan |
$7,964 |
$7,262 |
$8,410 |
9.7% |
-5.3% |
| Full-size Van |
$12,788 |
$12,429 |
$12,805 |
2.9% |
-0.1% |
| Compact SUV/CUV |
$11,093 |
$10,615 |
$11,060 |
4.5% |
0.3% |
| Midsize SUV/CUV |
$11,327 |
$10,665 |
$10,721 |
6.2% |
5.6% |
| Full-size SUV/CUV |
$13,428 |
$12,100 |
$11,930 |
11.0% |
12.6% |
| Luxury SUV/CUV |
$18,891 |
$17,761 |
$18,865 |
6.4% |
0.1% |
| Compact Pickup |
$8,627 |
$8,370 |
$7,882 |
3.1% |
9.5% |
| Full-size Pickup |
$15,821 |
$15,303 |
$14,318 |
3.4% |
10.5% |
Source: ADESA Analytical Services. February revised.
It won’t be a “Saturday in the Park,” but rather a “Wednesday at the auction” when DAA Northwest hosts its annual Rock & Roll Sale.
The auction has announced that Chicago will be the featured headliner at the July 20 event.
“Every year, DAA’s customers, employees and vendors wait for this announcement with anticipation,” said DAA Northwest president Bob McConkey, who told the auction’s customers of the headliner just before the April DAA After Dark promotional event began.
“There was a lot of enthusiasm and energy in the lanes when we let them know about this one!” McConkey said.
The auction will host a 1,000-unit fleet/lease and motorsports sale on July 20, with the concert later that evening and an additional sale the following day.
Stay tuned to www.daanw.com for more information.
Barrett-Jackson tabulated that it sold more than $23.2 million in collector cars and automobilia while attracting dramatically more bidders and attendees during its 14th annual Palm Beach Auction this past weekend.
On Monday, the company highlighted this year’s Barrett-Jackson Palm Beach auction increased sales year-over-year with a higher average vehicle price in front of 65,000 people during a three-day span. Among the increased number of bidders in attendance, the company reported 42 percent of them were first-timers.
“Our Palm Beach auction was a remarkable success with an incredible docket of desirable supercars, original muscle cars and automobilia,” said Craig Jackson, chairman and chief executive officer of Barrett-Jackson.
“The crowds were electric throughout the weekend and primetime Saturday felt like primetime in Scottsdale as the wave of energy carried over from our 45th anniversary Scottsdale Auction,” Jackson continued. “We look forward to bringing this same excitement to our inaugural Mohegan Sun Auction in June.”
Barrett-Jackson said the popularity of the collector car event continues to climb. The Palm Beach Auction reached a broad international audience as Velocity and Discovery broadcasted live for 19 hours in the U.S. and Canada.
Viewers in the United Kingdom caught 10 hours of live auction action on Discovery Channel U.K. and Discovery Turbo making the live broadcast available to more viewers around the world than ever.
“One of the biggest stories was the strong demand for original American iron this year,” Jackson said. “On Saturday, we sold a pristine 1969 Ford Boss 429 (lot No. 423) that was once part of the Ron Pratte collection for $550,000. Original mid-year Corvettes from the FAC Collection attracted strong bids including a 1967 Corvette roadster (Lot No. 375) for $181,500 while another Bloomington Gold certified 427 convertible (lot No. 376) brought $154,000. Customs, especially trucks were popular, too. But the pristine, matching-numbers American muscle and sports cars were particularly coveted.”
The auction executive added that one of the reasons for the surge in interest in original cars in Palm Beach is the respect for Barrett-Jackson’s expertise in the industry and the presence of the most recognized experts in their respective automotive fields.
“We believe Barrett-Jackson has the most knowledgeable specialists in the collector car hobby,” Jackson said. “Our team, including president Steve Davis and vice president of consignment Gary Bennett, is comprised of experts from across the industry who have all earned the respect of collectors worldwide.
“Based on our extensive experience and expertise, bidders, consignors and our fans trust us to put on a world-class event,” Jackson went on to say.
Barrett-Jackson also mentioned supercars were a prominent part of the auction. Two rare Heritage Edition Ford GTs (lot No. 401 sold for $467,500 and lot No. 426 sold for $412,500) attracted heated bidding. Competition for a broad range of Porsches and Ferraris also reached a fevered pitch as many generated significant interest.
Barrett-Jackson continued its strong support of non-profits. The eight charity vehicles hammered for a combined $1,050,000 with 100 percent going directly to the charitable organization. Barrett-Jackson has helped raise more than $89 million to date.
“Not only did some remarkable vehicles cross the block for charity this year,” Davis said. “We also hosted some extraordinary guests, including retired U.S. Navy Seal Marcus Luttrell who encouraged people to support the Lone Survivor Foundation. It was inspirational to stand next to a genuine American hero.”
Movie and TV star William Shatner arrived on Friday to auction his 2002 Aston Martin DB7 and 2004 Volkswagen Phaeton. After the legendary actor transported his star power and humor to the stage, he autographed the cars for the winning bidders.
Country music artist Zac Brown, who headlined the 45th anniversary Scottsdale Gala, joined in the celebration at the Palm Beach’s Opening Night Gala and NASCAR superstar Kurt Busch flew in for Sunday’s action following his race in Texas on Saturday evening.
Barrett-Jackson will host its inaugural Northeast Auction at Mohegan Sun Resort & Casino on June 23 to June 25. For information on consigning a vehicle or becoming a bidder at the Northeast Auction, visit www.Barrett-Jackson.com.
Two decades ago, Paul Lips — who had been in the Indianapolis area working in public accounting since graduating from Ball State University in 1990 — received a call.
It was about an opportunity with this auction company in the area known as ADESA, and he decided to go in for an interview.
“I came in for the interview, and the CFO at the time for ADESA was Brian Warner, and Brian and I had gone to college together,” Lips told Auto Remarketing in an August 2012 interview ahead of his 2013 NAAA presidency. “It was pretty much one of those interviews where he just asked me one question, which was ‘When can you start?’”
But Lips didn’t exactly jump immediately at the offer.
“Well first, I’ve got to see what these auto auctions look like,” he told Warner.
So, Lips went out to ADESA’s Indianapolis location, which was about a year old at the time and one of 26 facilities the company had throughout the country.
“I always explain that the vision in my head at time was that an auto auction was an old barn with dirt floors and junk cars coming in, and a big heavyset auctioneer with a cowboy hat on and a handkerchief over the microphone with a gavel,” Lips said. “I walked into ADESA Indy and with it being a new facility, there were cars in the lobby, and it looked like a new-car dealership showroom.
“And then I walked out in the lanes and saw the activity and all the people, and starting thinking about it.”
He added: “I was like, ‘Wow. I’ve got tons of variety, a very interesting business, and there are people from all walks of life all over the country that I’ll be able to interact with.’ And I’m like, ‘I think this is for me.’”
That might have been an understatement.
Two decades after joining ADESA in 1996, Lips is now the auction company's chief operating offer for the U.S.
ADESA said Thursday that Lips is being promoted from his current role as executive vice president of operations and finance.
This move coincides with a new structure for ADESA’s auction groups. In the new post, Lips will head up the entire U.S. auction operations group for ADESA, which will now consist of four regional groups instead of two.
Previously, it was just East and West. Now, ADESA has added Midwest and Mideast groups.
ADESA said in Thursday's news release that the aim of the new structure is “to implement best practices and standardize processes to provide more dedicated service and support to customers nationwide.”
President and chief executive officer Stéphane St-Hilaire said in the statement: “At ADESA, we are continually developing new strategies to ensure our customers have the best auction experience possible. The launch of four regions in place of two will enable us to further satisfy our customers’ needs and better leverage our resources and multiple assets at KAR Auction Services.
“Paul is a proven innovator and leader who has consistently strengthened our operations since joining the company nearly two decades ago. His unique blend of financial and operational expertise will be essential to driving this exciting change.”
In his 20 years with ADESA, Lips has held such leadership roles as corporate controller for ADESA’s finance department, vice president of investor relations and planning, and senior vice president of operations and finance. Plus, his most recent post as executive vice president of operations and finance.
Edtior's Note: This story contains an abridged version of a 2012 Auto Remarketing feature on Lips as he prepared to take on the presidency of the National Auto Auction Association. The full story can be read here.
ADESA has named Paul Lips its chief operating officer for the U.S.
He is being promoted from his current role as executive vice president of operations and finance.
This move coincides with a new structure for ADESA’s auction groups. In the new post, Lips will head up the entire U.S. auction operations group for ADESA, which will now consist of four regional groups instead of two.
Previously, it was just East and West. Now, ADESA has added Midwest and Mideast groups.
ADESA said in its news release that the aim of the new structure is “to implement best practices and standardize processes to provide more dedicated service and support to customers nationwide.”
President and chief executive officer Stéphane St-Hilaire said in the statement: “At ADESA, we are continually developing new strategies to ensure our customers have the best auction experience possible. The launch of four regions in place of two will enable us to further satisfy our customers’ needs and better leverage our resources and multiple assets at KAR Auction Services.
“Paul is a proven innovator and leader who has consistently strengthened our operations since joining the company nearly two decades ago. His unique blend of financial and operational expertise will be essential to driving this exciting change.”
With the realignment comes two additional promotions, as well.
- Jay Hinchman, who had been general manager of ADESA Las Vegas, is now vice president of U.S. auction operations in the new Midwest region
- Geoff Parker, formerly the GM of ADESA Cincinnati-Dayton is regional vice president of U.S. auction operations in the new Mideast region.
Pat Stevens will continue as executive vice president of U.S. auction operations in the West, and Mike Caggiano will remain in that same role in the East.
Additionally, as part of the auction operational structure changes, ADESA said Doug Shore, who had been vice president of business operations, has been named senior VP of auction operations.
His role will be to head up ne new auction integration and capital allocation.
ADESA is also expanding the role of Jane Morgan, president of specialty auction divisions. She will now oversee mobile auction offerings and help in geographic expansions, as well.
Lips has been with ADESA since 1996 and held such leadership roles as corporate controller for ADESA’s finance department, vice president of investor relations and planning, and senior vice president of operations and finance. Plus, his most recent post as executive vice president of operations and finance.
Lips was also the 2013 president of the National Auto Auction Association.
