A new online platform to help dealers manage the part exchange process has launched.
Tootle, which is part of the CitNOW Group, promises to simplify the part exchange process for retailers and customers.
It uses independent valuation data from Cap HPI to help build customer trust in a potential transaction.
"Tootle has been developed to help retailers overcome a common challenge and put them firmly in control of the part exchange process,” added Alistair Horsburgh, CEO at CitNOW.
“We often hear from retailers that customers aren’t transparent when reporting the condition of their current vehicle, with many often overestimating trade-in values.
"As well as increasing the risk of retailers providing an incorrect initial valuation, this can lead to an awkward conversation on the forecourt when the customer arrives in a vehicle that has more wear and tear than expected. Sometimes, that alone can put a stop to a deal.”
To process a part exchange vehicle valuation, the dealer shares its branded Tootle platform link with the customer via its website, an email, SMS or through its CitNOW Sales video presentation page.
The customer then submits their vehicle details, adds their desired exchange value and creates a Tootle account, which allows them to manage their part exchange process.
CitNOW Group said 76% of retailers think customers overvaluing their existing vehicle is the biggest challenge in the part exchange process.
Tootle will automatically alert the customer if their preferred part exchange value exceeds the Cap HPI estimate, helping to set expectations and avoid difficult conversations later in the sales journey.
While working with pilot site TrustFord, it was found that the customer’s anticipated value was moved to within 6.5% of cap clean with the introduction of Tootle - around a 15% improvement on average expectations.
Nick Bolton, head of Business at TrustFord Wilmslow said, “Tootle has been extremely helpful both during lockdown and coming out the other side.
"It’s given us the ability to provide a more accurate appraisal and price to the customer, along with the process being more engaging for them.
"The platform’s dashboard also provides a central location for the customer’s information to be logged, meaning that all of our sales staff can see exactly what our customers want. Tootle is simple to use for both dealers and customers and it has certainly helped us to convert sales remotely.”
To further increase transparency and accuracy, the customer is also invited to upload images and videos, and use a simple panel grader to identify any damage.
This enables the retailer to visually assess the condition of the car without seeing it in person before making a valuation.
The dealer-branded Tootle dashboard allows retailers to view valuation requests, check a valuation status, add customer notes and make an offer, based on their own appraisal of the car and guided by up-to-date valuation data.
Used car prices are soaring as car retailers report demand so strong that they “can’t stock the forecourt fast enough” – and supply shortages look to continue the trend.
As Cap HPI head of valuations Derren Martin reported that he had seen prices go “through the roof” with June’s anticipated market-wide used car values rise potentially reaching 6%, retailers told AM that the rate of consumer demand is growing.
Carzam is poised to launch an online used car buying platform as retailers seek solutions to the stock shortage issues that are causing vehicle values to soar.
The online car retailer, headed up by Big Motoring World founder and chief executive Peter Waddell, will extend the same digital processes and home service promise as that offered by the Carzam retail proposition.