ASP

PX Valuations

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Happy new year guys...just a quick thought I've had over the Christmas period. I've got a couple of cars at the moment which are more than likely going to attract somebody looking to PX their current vehicle. Being relatively new to the game, and having only stocked first time buyers sort of cars, I've never actually taken a car in PX (although every advert I've placed since I started has said PX welcome). Trading from home and keeping my overheads low, I don't use CAP or Glasses, and use autotrader search within 60 miles of my home to value the cars I buy at the block. Just wondering how you guys value PX's in the same situation as me. Do you simply do what I normally do, search AT to find retail price and then deduct to get the margin I want from their PX? I will of course be retailing whatever comes my way. Cheers in advance :)

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ASP, you are doing the right thing, it’s called “retail back”. It’s standard practice, simply look at your local competition and price accordingly. 

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There you go-learnt a new phrase today! Cheers Arthur, much appreciated. Out of interest, is it standard practise to ask the customer first what they see as a fair valuation for their car, or do you go in with a fixed price and stick to it?

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I always ask for their bottom line. Sometimes it’s much less than you expected, I also always ask if they have got a “we buy any car” value.

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I usually offer just over we buy any car price. But it has backfired on us before when they’ve then run the reg of the car we’re selling them through wbac and told us it’s overpriced.

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Swappers,this is what I do,right or wrong.What you have got to do is weigh up the type of punter.If you sense they could be hard work,hit them with a price.Sometimes it can be a good idea to find out if they have had any offers from main dealers.If they have,you know you have a chance as some amateur in a crimplene blazer has probably undervalued.With nice punters who might have a cheapie,I always tell them how good it is “ the sum of the parts are worth more than the car” etc.They then uasually tell you how much they want.However,you must be carefull with ‘middle of the road ‘ swappers e.g. yours is £6k and the swapper is £3500,these are the ones you can get stuck with.....I had never heard the term ‘retail back’ before,but we have been doing that for years......At the end of the day,it has always been a great feeling to do a deal and get a good swapper in ‘right’.

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28 minutes ago, trade vet said:

Swappers,this is what I do,right or wrong.What you have got to do is weigh up the type of punter.If you sense they could be hard work,hit them with a price.Sometimes it can be a good idea to find out if they have had any offers from main dealers.If they have,you know you have a chance as some amateur in a crimplene blazer has probably undervalued.With nice punters who might have a cheapie,I always tell them how good it is “ the sum of the parts are worth more than the car” etc.They then uasually tell you how much they want.However,you must be carefull with ‘middle of the road ‘ swappers e.g. yours is £6k and the swapper is £3500,these are the ones you can get stuck with.....I had never heard the term ‘retail back’ before,but we have been doing that for years......At the end of the day,it has always been a great feeling to do a deal and get a good swapper in ‘right’.

TV, "Retail Back" is a AT term derived from Retail Check :)......Essentially, AT have given the pricing backwards strategy a name to what we have been doing for years anyway.

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First ask them what THEY want for the p/x.

This will let you know straight away what you are up against.

If they just want rid and state a silly low price then happy days.

If they ask for something well over the top just sit them down and show them the trade valuations in black and white.

If its something tasty i may offer CAP clean or more depending on how desirable it is, but usually i will just go in at CAP average tops, this means if worse comes to the worse i can offload it to another trader and break even on it or maybe just get a drink.

If you do not have access to CAP then value how you like but remember you have to show the buyer sometimes in black and white how you come to the figure offered to get them to part with it.

 

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all buyers are liars

inspect the p/ex

"its been great" =gearbox jumps out of second:ph34r:

"just fancy something different" =i cant afford that  big bill thats due

"always fancied one of these and dont really want to part with my car" please dont look underbonnet :(

"it is a short mot, but it will fly another" =last years advisories answer that one !

if they dont inspect your car properly, theyre desperate to get shut of p/ex, if they do inspect your car, then double inspect theres !

all buyers are liars

inspect the p/ex

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45 minutes ago, have a word with the wife said:

all buyers are liars

inspect the p/ex

"its been great" =gearbox jumps out of second:ph34r:

"just fancy something different" =i cant afford that  big bill thats due

"always fancied one of these and dont really want to part with my car" please dont look underbonnet :(

"it is a short mot, but it will fly another" =last years advisories answer that one !

if they dont inspect your car properly, theyre desperate to get shut of p/ex, if they do inspect your car, then double inspect theres !

all buyers are liars

inspect the p/ex

Could not agree anymore with this!! Great post!!!

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8 minutes ago, Ocsltd said:

Could not agree anymore with this!! Great post!!!

Not when they are repeat punters.When they pitch up,their swapper is usually OK and you get it in right,easy punters to deal with.

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7 minutes ago, trade vet said:

Not when they are repeat punters.When they pitch up,their swapper is usually OK and you get it in right,easy punters to deal with.

read post no.1;)

:)

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16 minutes ago, s and b said:

read post no.1;)

:)

Absolutely,have you not noticed,I always go off on a tangent.I was about to go on about getting the right stock to attract ‘good  chucky’,good swappers etc,...but I better not ! Thank you S and B.

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22 hours ago, have a word with the wife said:

all buyers are liars

inspect the p/ex

"its been great" =gearbox jumps out of second:ph34r:

"just fancy something different" =i cant afford that  big bill thats due

"always fancied one of these and dont really want to part with my car" please dont look underbonnet :(

"it is a short mot, but it will fly another" =last years advisories answer that one !

if they dont inspect your car properly, theyre desperate to get shut of p/ex, if they do inspect your car, then double inspect theres !

all buyers are liars

inspect the p/ex

Yup, 100% agree!

Had 2 back tracks last year as customers swapped in their piles of **** as one of my salesmen didn't do their sodding job properly and didn't do a bloody road test.

Luckily we have a Part Exchange disclaimer the customer signs.  It still costs us money though as we've prepared the sales car then have to do the swap of the cars (collect and drop).

===============

Back on topic - 

We go by HPi then AutoTrader Retail Check.  We used to use iControl but we have too many main dealers near us so it throws out nonsense data.
Usually offer Retail Check Value if in ready to retail condition or a few hundred less if ok.
If in terrible, we offer a few hundred less than Cap Below to ensure we get out money back from the AH.

1 tip - Be confident in what you're selling and ensure you know you have your price right on the money.  If it's something you don't want, be honest, we tell customers they're vehicles are going to auction.  At the end of the day they are there on your site so they have done their research and are with you that very moment for a reason.  Don't get me wrong, don't rip customers off, you want them to return, but don't over value Part Exchanges.

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On 01/01/2018 at 6:40 PM, have a word with the wife said:

all buyers are liars

inspect the p/ex

 

all buyers are liars

inspect the p/ex

Haha, the fact these lines are in bold & repeated tell you all you need to know about punters & their p/xs.

Plus, do NOT believe any religious types, elderly, disabled. Treat EVERYONE equally because I’ve met liars from all 3 of those ‘groups’.

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