sharing inventory between rooftops

Christian Thompson

Hey Guys and Gals.

Looking for some feedback or suggestions on how to share used car inventory with a small group.  We have six rooftops and are trying to come up with some rules that allow each store to buy inventory from each other.  We want the rules to stimulate all stores to utilize each other's inventory but limit the weaker stores from cannibalizing the stronger stores' inventories.  The stronger sales managers work hard to get the cars in right and properly recondition them - I don't want them losing gross by having to sell to another store for cost plus X but not able to secure the same opportunity in reverse.   Any policies or suggestions would be appreciated.


Christian Thompson

General Manager - Truro Nissan


Randi DeSantis

I don't have any experience to speak from for how to do this successfully. But, I will say I would proceed with caution. Every horror story I have heard over the years with "missing" inventory has been in situations like these. Where the "missing" unit just gets transferred between stores and no one knows its gone for too long...  I'm not implying that WOULD happen there- I would just be really careful in your set ups to make sure you have the right checks and balances in place to protect yourself. 
Also- one suggestion I would make would be  like a timeline... So the prepping store gets a month (or 1-2 weeks with this market) to sell it before it gets opened up to general inventory for all stores. We do this with employee pricing on vehicles- its only applicable on vehicles that have been here for a bit. 

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