NEWS

Welcome to the Autorola Group newsletter

Feb 29, 2024   written by Autorola



Welcome to our first newsletter of 2024.

Just like 2023 the conversation for everybody is how used BEVs are performing in the individual markets around the world. Visiting the recent ENG remarketing summit in Berlin we had many conversations about all aspects of used BEV trends in particular how cross border sales are helping balance the supply and demand of used BEVs.

In some countries demand is very strong while in other countries dealers and OEMs are looking to export used cars in a bid to make better profits above selling them in their home market.

Cross border trends

In this newsletter MarketPlace global director Morten Holmsten shares with us the conversations he had from ENG with the industry and his conclusion on how cross border is helping boost dealer used car profitability.

Our INDICATA global director Andy Shields and his team also attended ENG and they were discussing used BEV trends with summit attendees. They focussed on the oversupply of used Tesla cars in The Netherlands and how cross border activity helped feed surplus stock into Danish dealers where used BEVs are very popular.

Our latest Market Watch report tells us that sales of used BEVs are slowing up in Europe and hybrids have become more popular as drivers choose them as their first step towards zero emissions motoring. With car makers having to meet strict new BEV sales targets in 2024 it will be interesting to see what impact this had on the used markets.

Customised digital platform

Our Autorola Solutions business unit continues to go from strength to strength and we have published our first case study from Australia. The team has customised Our Fleet Monitor digital vehicle asset management platform to optimise the fleet management for rental company SIXT Australia.

The collaboration with SIXT AU has seen Autorola Solutions deliver a customised digital platform, with brand new features, to optimise its fleet management in a way that fits perfectly with their business model. Our platform is successfully helping SIXT optimise the management of its large diverse vehicle fleet.

Profile on Autorola Brazil

Another area of the global Autorola Group that is going from strength to strength is our Brazil business. We have interviewed country manager Marcelo Cabral de Barros who tells us more about how Autorola is playing a big part in the country’s used car supply chain.

With customers such as VW Financial Services, Toyota Bank, Porsche, BMW Group and Toyota Kinto already in place, with the launch of our MarketPlace remarketing platform and INDICATA’s used car pricing system, Brazil already looks set to perform well in 2024.


We hope you enjoy the latest edition of our newsletter and look forward to reporting more on how the MarketPlace, INDICATA and Solutions business units are supporting customers over the coming months.

 

Best regards
Peter Grøftehauge (LinkedIn)

SIXT Australia launches new digital platform to optimise its fleet management

Feb 29, 2024   written by Autorola

 

SIXT AU is a leading car rental company in Australia, with locations all over the mainland continent and Australia’s largest AV rental fleet. Managing such a large and diverse fleet is not an easy task which is why SIXT AU partnered with Autorola Solutions in the summer 2023, to implement a Fleet Monitor, a customised solution that helps SIXT AU optimise its fleet operations.

Though the partnership is still new, SIXT AU has quickly become one of Autorola’s key customers in Australia, together reaching a complex solution, with expansion of many new features and even introducing a brand-new module.

A better way to manage fleets

As SIXT started its journey in Australia, it realised its current rental system was not sufficient for managing its increasingly more complex fleet operations and needed a more efficient way to handle its day-to-day business. One of the key objectives was to introduce a solution that made the end-to-end management of upcoming vehicle services easier and more pro-active.

Together with Autorola Solutions, SIXT AU implemented an automated solution for servicing alerts, thus enabling it to track and record servicing efficiently, thereby enhancing customers’ service experience. In addition, the solution also introduced the ability to track registrations and inspections, and even introduced a brand-new module, allowing to track all relevant recalls from manufacturers.


Ian Moore, Commercial Fleet and Maintenance Manager at SIXT AU said: “Overall the system creates a proactive way in the monitoring of fleet and the ability to obtain a well-maintained fleet without effecting our renting revenue.”


Fleet Monitor helps SIXT AU enhance its customer satisfaction and loyalty, by ensuring its vehicles are always in optimal condition and ready for rent.

Tailormade solution

The collaboration between SIXT AU and Autorola Solutions has been a success for both parties, as they have worked together to develop and implement a solution that meets SIXT AU’s specific needs and challenges, as highlighted by Ian Moore. He added:

As a start, the real value has been the ability for the Autorola team to configure the system to how we would like it to look. Nothing has ever been too difficult for the team, or any request met with barriers. Obvious benefits are a well-maintained fleet, with the value adds being a view on status and kms ahead of time, to make informed decisions on the best course of action.”

The team of expert consultants at Autorola Solutions has worked closely with SIXT AU to deliver a solution that lived up to expectations, being open-minded to suggestions, to set up a solution that is tailormade to support their business model.


More features on the horizon

With Fleet Monitor, SIXT AU has gained a competitive edge in the car rental market, by leveraging technology to optimise their fleet performance and introduce a customer-centric approach, with more features currently in the works, such as a spare key solution with easy tracking and alerts to ensure efficiency.

SIXT AU looks forward to further optimising its fleet management operations and growing its business together with Autorola Solutions with future ambitions of tracking infringements and creating a sales hub allowing for best case business decisions.

Picture caption: From left to right – Severin Stolberg-Rohr, Autorola Solutions consultant, and Ian Moore from Sixt Australia

 

Morten Holmsten, MarketPlace global business unit director reflects on Autorola’s recent sponsorship of the ENG Remarketing Summit in Berlin

Feb 29, 2024   written by Autorola

 

I have just returned from the excellent 16th annual Remarketing summit in Berlin, which was held by the European Networking Group, where Autorola was proud to be the main sponsor.

This two-day event brought together leaders of the remarketing industry from across Europe for a symposium that allowed attendees to discuss the challenges facing our industry, the wider automotive landscape, and what the future of our business looks like.

 

Used value trends

As part of our sponsorship, we were invited to give a keynote address on the used value trends in a fast-moving used marketplace, with a focus on how we can maximise used car profits within an international business landscape.

It’s an interesting question, as there in no one answer. Instead, it involves the use of data, cross border sales, tax regulation and consumer desires.

Cross border sales

As an example of how all these factors can work together to the advantage or disadvantage of the industry, we looked at the Tesla brand in Denmark and the Netherlands, and how the marketplace changed dramatically in 2022, leading to opportunities for maximising profits via agile cross-border used vehicle remarketing.

We have perfected cross border remarketing over the past 10 years via our MarketPlace platform which brings buyers and sellers together and then our experienced central and country teams manage the paperwork needed to import or export a vehicle from one country to another.

High demand for used Teslas

Because The Netherlands vehicle taxation system favours EV purchases, with a zero rate of taxation on this vehicle type, a discounted company car tax band, and a strong public charging network, demand for used Teslas had been historically high in this territory. By the end of 2022 however, this led to an oversupply of used Tesla vehicles within The Netherlands, which drove down prices as a result.

This created an opportunity for buyers in Denmark, where there is a comparable taxation level on EVs, thanks to their low Luxury Tax banding, and an equally strong public charging network. At the start of 2022, Danish buyers became responsible for 45% of purchases of used Tesla vehicles in the Netherlands which helped them balance supply and demand in their home country.

Demand for Teslas quickly fell

However, as supply and demand levelled out, by the end of 2022, they were purchasing just 5% of used Teslas – so dealers in The Netherlands had to look elsewhere to find a marketplace that offers profitability.

While this is a localised case study, these changes are occurring Europe-wide, and faster than ever before. The market is tightening, and while cross border selling is complex and involves higher transportation costs, it still offers the highest opportunity for profit to help balance supply and demand across Europe.

Data driven remarketing

Due to this level of complexity, the need for data-driven decision making has never been more important for buyers and vendors, and this is where our INDICATA used car pricing platform has become an invaluable tool for decision makers, thanks to the in-depth and up-to-date nature of the data it commands. Dealers can use INDICATA to quickly work out the country where their cars are going to be worth the most money.

Above all, beyond the chance to explain our platform and its benefits to the conference attendees, it was a great opportunity to meet other industry figures, and reconnect with old friends, as we collectively discussed the ways in which together, we can continue to grow in the years to come.

The key take aways from our session were:

  • Europe’s used car market is tightening, and margins are coming under increasing pressure
  • Cross-Border selling is complex, but offers a huge opportunity to boost profitability
  • More than a third of Europe’s used cars offer a cross-border opportunity
  • The potential profit can be €1,000s per car
  • The winners will be those who make proactive data-driven remarketing decisions

We would encourage the remarketing industry to see it as an opportunity, or someone else will. And we can help. We look forward to hearing from you.

 

 

2023 was a record year for AUTOROLA Brazil while 2024 looks set to be even better

Feb 29, 2024   written by Autorola

 

We caught up with Marcelo Cabral de Barros to find out why AUTOROLA Brazil is experiencing such a strong period of growth and expansion.

2023 was an important year for the territory, as we not only enjoyed record growth in sales, with a 3X improvement over 2022, but we also saw a huge 250% increase in turnover in the region, setting record levels for both.

It is equally pleasing to report that both our market penetration and customer retention levels show that this growth is not just a flash in the pan, but rather a foundation from which we can build in 2024.

Solutions

A big driver of this growth has come from the relationships that we have built with OEMs and their banks and leasing companies within Brazil, as well as the consolidation of our Solutions product which is helping these companies to manage their assets effectively and securely in-life and then de-fleet rapidly at the end of contracts.

Our biggest customers are VW Financial Services, Toyota Bank, Porsche, BMW Group and Toyota Kinto, as well as a growing number of smaller Brazilian lease companies, all of which have come to rely on Solutions to manage their vehicles across a wide geographical area.

Marketplace has launched successfully in Brazil with more than 15,000 active buyers

As a minimum, each participating OEM now has its own branded weekly auction on Marketplace, with several brands holding more than this. We also now hold an end-of-month, multi-brand auction for all vehicles, which attracts a large and diverse group of buyers from across the entire country.

Our buyer profile has widened since we launched Marketplace, and while the majority are located in the major cities and conurbations in the South, South East and Central regions of the country following our consolidation within these regions, we will continue to push heavily into the North and North East of Brazil to expand our buyer base further across a wider geographical area.

INDICATA: leading the way for service levels in Brazil

We are investing in which will help to integrate into the OEM and dealer networks in Brazil. We are confident that by focusing on dealer groups first, then lease companies, and finally OEMs, we can instill INDICATA into the Brazilian used car market from the ground up. Considering that there are currently more than 7,000 OEM dealers across Brazil that could benefit from INDICATA, there is a huge opportunity for our growth in this sector.

Feedback from existing customers is that the transparency that Autorola and its associated products bring to the used car market in Brazil is a unique differentiator, which will allow us to expand and further integrate our service offerings within the automotive landscape in the future.

To this end, we are planning to integrate our three business units further in the coming year, so that we can offer a holistic service package to our Brazilian customers, which would make for a truly unique proposition in the territory.

 The used vehicle market in Brazil shows no signs of cooling off

The way in which the Brazilian market favour used vehicles over new is unique to the territory, and largely driven by the limited availability of new cars in Brazil. In 2023, just 2.2 million new vehicles were registered, while more than 14 million used vehicles changed hands.

As a result, the used car market in Brazil is one of most aggressive territory in the world, and this level of buyer competition provides a great backdrop from which to sell our products.

Secure asset management for the leasing companies and banks, easy de-fleet capabilities, high conversion rates at our auctions, and of course, accurate valuations help both vendors and buyers alike to keep the Brazilian market buoyant.

We look forward to continuing our growth and diversification in 2024.

Maximise used car profit and streamline your operations all in one platform

Feb 29, 2024   written by Autorola

 

‘Big data’ and ‘AI’ are terms already prevalent in the market but in 2024 Autorola predicts these are going to become even more important to support strategic decision-making.

 

Optimise your business with data insights

Working intelligently with data allows fleets to monitor their flow and to configure key focus areas; from timely call back of cars on the road, to actual returns, return inspections, and aftersales processes.

 

Risk management and cost saving are central issues in vehicle fleet management and every fleet manager wants to achieve large returns with low costs.

 

Ib Kimose, director of Autorola Solutions said: “Each day an asset is standing still on the compound without moving onwards in the flow, it depreciates, while at the same time accruing cost to storage. Delays impact largely on fleet management businesses and are directly linked to the final sales price and margin obtained. This has a direct impact on an asset owner’s cashflow.”


Data-driven approach to profitability

Autorola’s answer to this is to redesign your digital landscape and set it up to identify opportunities within your ecosystem. The idea is to look at the areas that can be optimised within your business, and then apply data analytics and digitalisation to highlight the “hidden opportunities”.

 

This is achieved with Fleet Monitor which is a single platform solution that gives asset owners access to a wide range of features and capabilities, including fleet monitoring and converting real-time insights into market trends. It helps streamline operations and optimise businesses.

 

 

It is designed to improve overall performance by combining real-time market data with customised process management. This will allow companies to stay ahead of the competition and make informed decisions to maximise output and minimise risks.

 

Choosing a bespoke solution for businesses

At Autorola, we understand that every business is different which is why Fleet Monitor is designed to be customisable to a company’s specific needs. The platform can be tailored to best support a specific business model and can even be seamlessly integrated with external systems, allowing you to plan and control all systems and activities from one single point.

 

Autorola’s systems, as a single platform solution, offer a tool to extract valuable insights into a business enabling customisation to support different business methodologies. In Fleet Monitor’s case this extends from acquisition to sales – and everything in between.

 

Seamless integration

Additionally, Fleet Monitor seamlessly integrates with Autorola’s entire range of products, including INDICATA forecasting, the next generation of business intelligence and market insights software for the management of used vehicle inventories.

 

With this, companies have the advantage of their entire fleet sitting within one platform with direct access to residual value forecasting on stock in real-time courtesy of our INDICATA used car pricing and insights platform. This enables companies to stay ahead of the market and to optimise sales strategies and maximize used car profits.

 

Insight into every part of a business

Our platform provides valuable insight into every part of a business; whether it is KPI reports, sales statistics, overall inventory flow or user behaviour, Fleet Monitor allows companies to support businesses based on data insights, whilst helping improve services and lead-times.

 

This combination of real-time market data, customised process management, and flexible customisation options provides the right tools to succeed, and a dedicated consultancy and support team that is always ready to help to optimise their investment.

 

Companies looking for an effective end-to-end solution to manage all vehicle stock in real-time, should contact us for a consultation. https://autorolasolutions.com/contact/

 

INDICATA’s latest Market Watch report shows used BEV sales continuing to fall across Europe

Feb 29, 2024   written by Autorola

 

Used BEV sales continue to fall across Europe according to INDICATA’s latest Market Watch used car insights report, while Market Days’ Supply of BEVs is now double that of ICE cars.

Consumers appear to be looking to used hybrids as their first step towards zero emissions rather than moving directly from ICE to BEV.

 

Diesel sales continue to fall alongside BEV across Europe

 Diesel vehicles have fallen in market share across Europe, and now account for just 21.7% for vehicles under four years of age. At the same time, BEVs have also dropped in their market share and now make up 4.11% of the online used B2C used vehicle market.

 

Hybrid powertrains continue to increase in popularity

A rapid rise in the popularity of hybrid powertrains across European markets has seen this vehicle type rising to an all-time high of 15.29% of the used car market. Within this, the more traditional plug-in hybrid and hybrid electric vehicles remain the most popular but are closely followed by mild hybrid vehicle types.

 

It is reasoned that this rise in popularity is down to consumers wanting hybrid vehicles as an interim step before the adoption of pure battery electric vehicles, with buyers remaining unsure about transitioning to a purely battery-powered vehicle, without the aid of an internal combustion motor alongside it.

 

Petrol remains the fuel of choice for buyers

Petrol vehicles accounted for more than 44% of used vehicle sales in Europe in January, and have outperformed BEV and hybrids in value retention, remaining level with diesel in this regard. Petrol vehicles have seen a slightly longer Market Days’ Supply than diesels (67 and 65 days respectively) however these are outperforming BEV significantly by almost 50 days.

 

New car supply has returned to pre-pandemic levels

With the semiconductor shortage now over, and new vehicle sales returning to normal, the market has seen a return of manufacturer-backed tactical sales, with pre-registered and nearly new used-cars now re-entering the market in increasing volumes, with a more than 7% month on month rise having been observed.

 

Fastest and best-selling vehicles
January’s top selling vehicle (up to 4 years old) in Europe was the Volkswagen Golf, while the best-selling hybrid vehicle was the Ford Puma, and the best-selling BEV was the Renault Zoe. The fastest-selling vehicle overall was the Toyota Prius+ hybrid, followed by the ICE Opel Corsa, while the Opel Mokka X was the fastest selling BEV.



To read the full details of the report and learn more about each territory in depth, please view the latest Indicata report which is available now. https://www.indicata.com/marketwatch