Auto Trader has launched its guaranteed part-exchange service following a successful trial with 1,000 retailers.
The offering provides car buyers with a guaranteed part-exchange price for their current vehicle, which is underwritten by Manheim Auction Services using a combination of Auto Trader’s valuations and current auction data.
Auto Trader says it provides consumers the confidence of a guaranteed part-exchange price for their vehicle and the convenience of completing the process from home.
It also helps retailers source stock more cost-effectively, by resupplying their forecourts with a continuous flow of part-exchanges. If the vehicle doesn’t fit their stock profile or if the deal represents a risk the retailer isn’t willing to take, they can dispose of it through the Manheim underwritten disposal service.
Karolina Edwards-Smajda, Auto Trader’s commercial product director, said: “The service marks an important step in our commitment to support retailers with their digital retailing ambitions and complements the blended retailing experience many consumers have come to expect.
“Throughout testing, we saw that retailers got the most value when they fully embedded the tool into their entire part-exchange process, using it with all enquiry types, whether the customer was online, on the forecourt, local or buying from a distance.”
Auto Trader’s car retailer partners can now sign up to get their first 60 days of Guaranteed Part-Exchange free. While the service will be included in participating retailers’ adverts for consumers to engage with, the valuation appraisal software is also built into Portal accounts, enabling retailers to use it with any enquiry type, whenever a deal includes a part-exchange.
In the recent beta test, retailers went on to advertise stock acquired through the tool with an average profit margin of more than £2,000 per unit.