Used Car Sales on the Rise on Online Auction Sites
Recent reports indicate that the number of purchases of used cars is on the rise, especially on online auction sites. But it isn’t just individuals who are looking for a good deal that are using online auction sites to get a used car. Reports show that car dealers are using the online auction sites more than ever before. The report, generated by G3 Remarketing, shows that sales on just one online auction channel for cars, owned by the firm, experienced an increase in sales of more than 21 per cent on a year over year analysis. This type of increase in sales volume is turning heads, not just for G3 Remarketing, but also for other online auto auction sites and channels.
Vehicles with an average of 71.1k KM have seen the highest percentage of increase in purchases from dealers and from individuals at online auto auction channels. Those vehicles with an average age of 39 months or younger are also at the forefront of the buying craze. These are the types of vehicles that are becoming most popular on all online auto auction sites. In the past, dealers may not have been confident in purchasing from online car auction channels because there is no guarantee on the quality of the vehicle and the dealer takes all the risk in the purchase. For many dealers this risk was deemed too severe, especially when the market was down and not as many people were purchasing cars. With the market turning around, dealers are more confident about purchasing stock for their dealerships through online auto auction channels because the quality of the vehicles being offered is better and the number of people willing to purchase used cars is also increasing in significant amounts.
Some of the most attractive features to dealers of online car auction channels include the convenience of bidding on auctions without having to leave the dealership. That means the dealers and their sales staff are able to continue focusing on sales at the lot and still finding new vehicles. In the past, dealers would have had to leave the dealership for a full day to attend a live car auction in order to get some of the best deals. Online auto auction channels also allow dealers to increase the number of vehicles they can choose from. Instead of purchasing from the local or nearby car auction, or having to pay to travel to outside auctions, dealers can access auctions all over the world from their offices. Many online car auction channels also include features like audio reports, which are verbal descriptions of each vehicle from the inside out performed by certified vehicle inspectors.
For buyers, the benefits are also great. Less fees for the car dealer means that savings will eventually be passed on to the buyer. This, in turn, will increase the number of people willing to purchase used cars from their local dealers and will boost the economy.
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