Conquest sales have never been more important for car dealers. Millions of dollars are invested each year to drive conquest leads to aggressive dealerships. However, when consumers visit your dealership in a vehicle you’re not familiar with, it can be difficult to provide an accurate trade-in valuation.
Over the last five years alone, more than 11,000 make/model/trim combinations have been manufactured. This means it’s virtually impossible for any one dealership to accurately assess used car values for all of the trades it processes - especially if there is an emphasis on conquest sales.
There are services available that can help you do a better job of conquesting, while avoiding the risks associated with trade-in vehicles that aren’t core to your inventory plan. Let’s take a closer look at how they work.
The Community Approach to Trade-In Valuation
The Appraisal Lane’s community approach to trade-in valuation is built on connectivity and human interaction. We use mobile technology to connect you directly with a live community of appraisers.
This approach removes the guesswork associated with trade-in valuation for non-core units, and gives you a guaranteed cash offer on any unit you submit to the community.
You can also use the community approach to more deeply engage your customers. The transparency of an independent third-party appraisal creates confidence and trust that your dealership respects the customer and has their best interests in mind.
Good Conquest Requires Good Trade-In Valuation
It can be tough for a busy dealership to juggle the work of providing a good customer experience and good used car valuation at the same time. This is especially true when the cars and trucks being evaluated are not familiar to the dealership staff.
Many dealers fall back on the convenience of algorithm averages from leading trade-in valuation tools. But relying strictly on averages is a risky proposition. Inaccurate trade-in values can easily cost you retail deals, driving down your ROI on conquest campaigns in the process.
How the Community Valuation Approach Works
A dealer scans the VIN of a used car or truck using their mobile device. They upload photos and complete a simple questionnaire about the vehicle’s condition.
The vehicle is evaluated remotely in real time by a team of professional appraisers. The appraisers work as a team to analyze every aspect of the vehicle and relevant market data, then each appraiser individually assigns an exact trade-in value. A senior appraiser evaluates the team’s work and makes a guaranteed cash offer for the value of the trade. This entire process takes only a few minutes.
The community approach, with several contributors working together, allows dealers to avoid overlooking important factors such as trim levels, options, and local market conditions.
Cash Offers Versus Used Car Values
Compared to used car values that rely strictly on averages, actual cash offers boost confidence and make every appraisal actionable. One click disposition allows you to process every trade at a competitive price while severely mitigating your wholesale exposure.
There is no question that conquest sales are important to a dealership’s bottom line. However, trade-in valuations for non-core inventory can be time-consuming and risky.
For many dealers using a community valuation tool like The Appraisal Lane, mobile technology has transformed the used car valuation process and greatly enhanced ROI for conquest marketing efforts.