Auction & remarketing
A car auction as a sales methodology for remarketing has been in live form for decades. The online car auction took place in the Netherlands around 2002. Trendsetters in this field were Autoveiling.nl and Fleetselect online car auctions. The car leasing industry was most interested in internet car auctions. If you did not have an online car auction, you were really behind. An online car auction made it possible to do business efficiently with both large and small traders.
Why did car auction providers grow so fast?
The breakthrough of the online car auction had several causes:
The increasing traffic jam problem in the Netherlands. The live viewing of cars was time-consuming and had a high risk of damage. Visiting a car auction or sales area was certainly not always successful. Internet became fast and cheap, making the digital description of vehicles but also a live car auction possible in a simple way.
Digital photography quickly became better and cheaper. The professional description of a car with the aim of a car auction was easy
Growth of car exports. Eliminating travel time was very welcome for foreign buyers. Many follow car auctions outside the home country via the internet
Tax options for car export. As a result of the possibility of returning the rest of the BPM on export, there was a growing interest in our cars from abroad, especially if cars were net priced at an online car auction.
Is there a difference between a car auction and other sales methods?
Meanwhile, most sales processes have been digitized and developed so that there is no real dividing line between a car auction and other remarketing methods. After all, most methods have a competitive element between buyers within a timeframe.
Car auction and competition
The forerunners in the field of car auction have served as a popular source of inspiration for other parties in the remarketing industry. Many car auction methodologies and processes are sometimes literally copied and developed, something the car auction industry already took into account and tries to respond to new innovations.
Was the online car auction disruptive?
Due to the enormous innovation and efficiency improvement that an online car auction brought with it, the 100% live auction has decreased enormously. In many cases, former providers of 100% live auctions seek a combination between live and live online bidding.
One thing is certain: the online car auction was disruptive for the traditional live car auction.
Vi Automotive knows every corner of the car auction industry and is happy to assist you in your decision-making concerning strategy, policy and execution of car auctions.