Acquiring inventory

Frankie Florey

Hoping someone can provide some insight.  We are a luxury dealer in NJ with a lease penetration of 70%+    We sell about 65 new and 20-25 used.  We only take in about 10 trades a month and probably 5 of those are retail worthy (others are like $500 rats that barely run).  We have the option of buying lease returns however our price to buy is basically the same amount we can sell the car for.  The other day I looked at one with low miles and I could buy for $24,500.  I had a very similar car in stock thats' listed for $25000.  Buying cars at auction would be an even worse situation.  We have tried to advertise that we buy car but don't get any action, we work our service drive and get maybe 1-2 per month.   Our used inventory is about 35 units right now, we would really like to build it to 60-70 units but I am not willing to just buy 30 cars for more than I can sell them for, then take massive losses when I actually sell them.  Does anyone have any best practices or software or programs or anything that they use and have success with?  I'm getting desperate.

Thanks

Suzanne  Laine

I found an interesting article awhile back; could be worth a read:  https://www.autonews.com/article/20160725/RETAIL07/160729961/no-auctions-for-this-used-car-manager

Morgan Hardy

We have purchased vehicles through online auction and we decided to start physically sending someone to auction again. We go to two different auctions mainly and it seems to work out pretty well. We also participate in KBB ICO- we get a lot of leads through them. Do you have a trade appraisal tool on your website?

Suggested Discussions

forum  Start a Discussion

Featured Masters

No members found

Used Car Advertising Products

95%  Recommended Recom'd 1196 Ratings
Company: CarGurus
96%  Recommended Recom'd 746 Ratings
100%  Recommended Recom'd 17 Ratings
94%  Recommended Recom'd 17 Ratings

 Rate a Vendor Give feedback in three quick steps

Select a Vendor & Product
Can’t find what you're looking for?
Add a Vendor  or  Add a Product
  •  
  •  
  •