A rental company in the South East of England has reduced the cost of selling its used cars by 90 per cent and increased returns by 10 per cent.
Kendall Cars provides private rental vehicles from its 10 sites across the South East of England. It recently switched from selling its used vehicles through traditional auctions to FullAuction.
Kendall Rental switched to FullAuction six months ago and since that time has reduced the preparation costs for selling vehicles from around £100 per car to £10.
It has also seen greater returns on the vehicles it has sold through FullAuction with cars and vans regularly achieving approximately 90 per cent of the CAP Clean value, compared to the 80 per cent it previously expected from traditional car auctions.
Mark Kendall, Director at Kendall Cars which employs around 70 people and operates over 1,500 vehicles, said: “As a large rental company we need to sell around 10 to 15 vehicles every week and until recently we have done this through traditional car auctions. Since we have started using FullAuction the benefits have been substantial and we have achieved significant increases in the values achieved for our vehicles and a huge reduction in the time and cost associated with preparing a vehicle for auction. Another of the major benefits is that you have far more control over your vehicles, they don’t leave your possession until the buyer collects them. There is no capacity for damage to occur to the vehicle or for important documents to go missing, which can sometimes happen with large scale motor auction operators. There’s also no need to transport the vehicles to and from the auction site.”
Kendall Cars is now successfully selling more used vehicles at the first time of asking - and achieving better prices.
Mark said: “I think one of the reasons for this is that, if a car doesn’t sell, the staff at Cooper Solutions work with bidders and buyers to try and find a price both parties are happy with. That type of follow-up generally doesn’t happen at traditional auction and you might miss out on a sale despite only being £100 apart. FullAuction also opens the vehicles up to a national audience of bidders, increasing the potential for a sale. Sellers can also build up relationships with buyers and we have already seen successful bidders from across the country returning to purchase more vehicles from us through FullAuction because, having bought vehicles from us in the past they know they have been accurately described.”
Mark Jeff-Johnston, Business Development Manager at Cooper Solutions, said: “Traditionally FullAuction is used by car dealerships but Kendall Cars has demonstrated that the benefits of this product are much more far-reaching. The kind of improvements Kendall Cars has enjoyed is being replicated by many other FullAuction users across the country. FullAuction is the future and we believe it is only a matter of time before the industry moves away from traditional auctions and embraces this new approach to buying and selling trade vehicles.”
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