In the latest installment of the annual Power 300 issue of Auto Remarketing, we go behind the scenes with some of the leading companies in the used-car space and their top executives with a few Q&A features. 

Next up is Mark Endras, chief technology officer and co-founder of TradeRev.

Auto Remarketing: TradeRev brought artificial intelligence to its platform via “H” last year. Over the past year-and-a-half, what have been some of the applications of AI to TradeRev’s business?

Mark Endras: With “H” being the umbrella for all the AI and machine learning capabilities we’re developing here at TradeRev, we’ve been hard at work applying it to all aspects of the app.

Over the past year, we’ve applied “H” to features like Bid Assist, which calculates bid values based on the vehicle’s features, seasonality and condition; and Vehicle Recommendations, which recommends trades based on your buying history. Both make the user experience more intuitive and personalized than ever.

Our biggest launch for “H” was last month when H-Visionsm became available to all our users. H-Vision is an AI-driven image capture feature that fully automates condition report visualization. While in the TradeRev app, the user simply points their mobile device camera at the vehicle, walking around it, and H-Vision does all the work. It detects critical vehicle parts and damage all while capturing and accurately categorizing the images.

AR: How is the slowing automotive retail market changing the sourcing and wholesaling of used vehicles?

ME: With the slowing automotive retail market, dealers need to be smarter and more agile when they source and wholesale used vehicles.

With the amount of data and tools available, going off your gut isn’t an option anymore. For instance, dealers can now rely on intelligence from companies like DRIVIN which analyzes millions of data points to generate recommendation reports tailored to a dealer’s market and dealership that are delivered straight to their email. It takes the guessing game out for them, so dealers can make sure they’re moving aging assets off their lots and replacing them with vehicles that will yield the highest profit margin. 

But speed is also key, and that’s why so many dealers turn to TradeRev. Sourcing and selling vehicles can be time consuming, especially if you always need to travel to a physical auction. Time is money, and with TradeRev, dealers can buy or list vehicles from wherever they are whenever they like, cutting down on travel time and time away from potential customers. It also opens up your marketplace beyond your local auction, instantly connecting you to dealers coast-to-coast so that you can always find a vehicle or buyer.

AR: What challenges do dealers encounter with the current change in customer behavior?

ME: There’s been a major shift in how customers engage with companies and products. In this digital age, customers now bring their expectations about shopping at Apple or Amazon to their car buying experience, and if you don’t meet it, they’ll walk out as quickly as they walked in.

Having the right vehicle at the right price is what TradeRev can help you with, but it’s only part of the equation. That’s why now more than ever, dealers need to match their use of digital tools with best-in-class customer service,  so they can meet ever-rising customer expectations.

It may sound old school, but the best way to impress today’s customer is to offer the most personalized experience possible to them, end-to-end. That means everything from the first web search to financing and everything in between is equally as important. Each touchpoint is an opportunity, so treat it that way.

AR: How are the wholesale selling needs of dealers you work with changing?

ME: The business is constantly evolving, and there’s no question digital and online channels will play an even more significant role in the future.

From a wholesale perspective, dealers will need to take a 360-degree approach to how they acquire and move their inventory by leveraging more digital technologies. The physical auction isn’t going anywhere, and together with TradeRev, dealers can connect with other dealers across the nation, giving them access to the largest pool of buyers and sellers.

From physical to digital, in today’s marketplace, dealers who want to succeed should leverage all the tools they have at their fingertips. By combining them together, digital and online technologies accelerate, expand and significantly enhance the fundamentals of the brick and mortar auctions — giving dealers access to the largest and most diverse network possible.