Manheim Tucson Becomes Company’s First 100 Percent Digital Site

To drive greater efficiencies for clients while helping to create a safer auction experience, Manheim debuted its first all-digital auction with a ribbon-cutting on Wednesday, May 22, at its Manheim Tucson location. The new four lane format is a live auction where vehicles remain parked in designated spots and are offered for sale digitally by an auctioneer via oversized monitors featuring enhanced images, barcode price scanning capability and condition report information.

This innovative auction experience provides a digitally advanced, comfortable setting where buyers and sellers can bid in person or online using Manheim Simulcast. The inaugural sale included more than 300 online and in-lane bidders and achieved an approximate 76% sales conversion rate.

“Bringing the excitement of the auction to clients in a live, all-digital format is a key move in our broader digital strategy,” said Grace Huang, president of Manheim. “With advanced vehicle information and imaging, we are able to deliver digital solutions that create greater confidence and efficiencies while delivering a safer auction experience for everyone.”   

Manheim’s first all-digital auction is a natural evolution of its digital strategy. While Manheim Tucson is the first site to implement this new technology for an all-digital auction, Manheim has been adopting digital lanes at sites across the U.S. with more than 100 already in place.

Manheim Tucson predominantly handles dealer vehicles under $5,000, which can be challenging to sell through digital channels such as Manheim Simulcast. Manheim Tucson was chosen to prove that an all-digital auction could appeal to all types of buyers and work for all vehicle price points by creating a digital experience as close as possible to a physical sale.

With its first sale completed and with very positive reaction from dealers, the location is preparing for its Digital Debut Grand Celebration on Wednesday, June 5. On this day, the team will run a Total Resource Auctions sale at 9:30 a.m. and their regular sale at 10:00 a.m. Giveaways will be provided to the first 200 attending dealers along with special sale incentives.  

“I see the benefits and efficiency of digital lanes. No emissions in the lanes, and the increased safety that comes with moving to a digital auction help prevent accidents from happening in physical lanes,” said Vinnie Da Cruz of Simply Sell it Now, located in Tempe. “In an industry such as the reselling of automobiles, to not accept technological growth is almost certain death.”

The location’s all-digital launch supports Manheim’s goal to offer clients greater choice, tools and convenience when doing business in the Manheim Marketplace. The company’s mobile app, Manheim Express, also serves as a digital tool where dealers can access the largest wholesale marketplace to buy or list vehicles directly from their smartphones. Both solutions were created to address the increased demand from Manheim’s clients to conduct more transactions digitally. Nearly half of all vehicles sold by Manheim in 2018 were through digital channels, a trend that is expected to increase this year.

“Our team was so excited to be part of creating a new chapter in our company’s history,” said John Duplanty, general manager, Manheim Tucson. “Our main priority was to work closely with our clients, preparing them for the change and help them realize higher conversion and retention performance. This has been a big win for our buyers and sellers.”

While Tucson is Manheim’s first all-digital site, it could be an early indicator of the wholesale digital marketplace’s future.

“I think going with digital auctions – without driving the cars through the lanes – is a brave move the rest of the auction industry will look up to,” said Wail Abushaar, dealer principle at Pioneer Automotive, located in Tucson.