NEWS

Introduction from Peter Grøftehauge

Sep 28, 2021   written by Autorola

Just as countries start to get the Covid-19 pandemic under control so the automotive industry is faced with another challenge of restricted new car supply caused by the global semiconductor shortage. Our INDICATA team is seeing major price inflation for used cars with demand rising as more drivers switch away from new cars because of long delivery times.
In the latest INDICATA report Europe is also seeing a consistent fall in dealer stocks of used cars which is fuelling the price inflation which could last until 2023.

Top selling and fastest-selling used cars
Check out our new top selling and fastest-selling used car data which INDICATA has produced for all 13 countries in the Market Watch report. Split by fuel type the reports give buyers and vendors a true picture of which used cars are most popular and in demand in their country.
Autorola Germany is one of those countries and online remarketing continues to go from strength to strength following physical auctions shutting their businesses during last year’s lockdown.

Building a profit centre from a cost centre
It has been targeting new fleets with its online remarketing proposition under the headline of ‘Building a profit centre from a cost centre.’ It has been very successful, and Germany is now engaging with many more major fleet customers about how our online MarketPlace platform can transform their remarketing strategies.

VW Brazil rolls out Fleet Monitor platform
More exciting news is that VW Brazil has rolled out our Autorola Fleet Monitor asset management platform to manage all elements of its vehicle management processes. From managing lease returns to collecting the vehicles, reconditioning, and then selling them back to the dealer network, VW chose our Autorola platform to manage everything.
Three thousand used cars were sold as part of phase one of the roll out project in April and in July 2021 a full-fledged platform was launched to include over 500 dealer locations, to include direct interfaces with transport, compound systems and external inspection providers. This new contract demonstrates the power of our online platform.

Fleet Europe seminar dates announced
More good news is that Fleet Europe has announced its Seminar is being held in Brussels on the 9-10 November. As always, we will be a sponsor for the Remarketing Forum and for many of us it will be the first time, we will get to meet our customers, colleagues, and friends from the industry face-to-face since early 2020. We are looking forward to it very much.
Until then we hope your business takes advantage of the strong demand for used cars and our products and services keep supporting you in generating healthy profits. See you soon.
Peter

Best regards
Peter Grøftehauge (LinkedIn)

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VW Brazil and Autorola Solutions launch a nationwide vehicle management platform

Sep 28, 2021   written by Autorola

In the last two years, fleet owners, all over the world, were impacted by the pandemic. However, many of them proved to be more resilient than first expected, anchoring their survival in developing new business models, innovative technologies, and sustainable practices.

This was also the case for VW Brazil/ONE SELECT (VW’s exclusive Branded site to sell its used cars) when Autorola Solutions started the digitalisation project with them. Autorola has historically worked closely with VW in Europe, both in Marketplace and Solutions where traditional auctions have co-habited together with upstream remarketing processes through our Fleet Monitor platform.

Controlling their cars on a new platform
Now Brazil joined in the established collaboration between VW and Autorola. VW Brazil/ONE SELECT has an extensive network of dealers with over 500 locations nationwide. VW was changing from an existing auction provider and wanted a seamless migration to a new platform, where they could have more control of their cars and a branded auction environment for their closed dealer network.

The focus for VW Brazil/ONE SELECT, was to start with the remarketing of its lease return cars as well as surrounding services as the first phase of the project.

Managing the lease returns process
The next phase of the project was to conglomerate the lease return processes, including booking of lease return, handling of the units, upstream sales activities, transport, and preparation services, with the remarketing and vehicle delivery.

This was an all-new way of working with their vehicles in a more structured, less-error prone and more collaborative platform, where several suppliers were actively participating in moving them in an efficient and timesaving manner. This was defined as the second phase of the project.

As borders were closing, Autorola Solutions launched platform solutions with customers on the other side of the world together with the local team.

3,000 cars sold on the platform in phase one
Phase one of the project went live in April 2021 with over 3,000 cars sold on the platform. The next phase went live in July 2021 launching a full-fledged platform encompassing over 500 dealer locations, and direct interfaces with transport- and compound systems and external inspection providers.

The platform currently holds 18,000 units that are monitored and updated in the system, to initiate de-fleet processes in a timely manner and to secure full transparency and efficiency throughout the entire process for VW Brazil/ONE SELECT:

  • Structured and relevant information where and when it is required
  • Seamless integration of technology, people, and processes for efficient and effective delivery of core business functions
  • A one-platform solution to encompass all areas of their business with efficient processes for system users

Simplifying people, processes, and technology
The whole idea is to simply put people, processes, and technology together in one platform, which facilitates managing operations and services within the context of a business. With Autorola Solutions, VW Brazil/ONE SELECT succeeds in getting the work done in a digital context and is based on technology, which provides a powerful platform in terms of collaboration and productivity.

The third phase is currently being defined and planned to include direct driver sales and automated pricing among other new features.


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A year of change for Germany but the future remains online says Lars-Alexander Lilje, Senior Key Account Manager, Autorola Germany

Sep 28, 2021   written by Autorola


It has been an interesting period for the German car market. It has been a time of upheaval, which has brought challenges but also opportunities in equal measure. With new passenger vehicle registrations in Germany having expanded by 14.9% during the first half of 2021 to 1,390,889 cars, compared to only 1,210,622 cars sold during the first half of 2020, it seems as though the underlying confidence is slowly returning.

However, much like the rest of the world, Germany is currently suffering from the effects of the micro-conductor shortage, which is playing out on a global scale. In the German market, it has meant that used car prices are at a record high, but with a downside that no new cars are expected to arrive in any large volumes until mid-2022 at the earliest- although this is a mere prediction at this point, no production schedules can be confirmed- this high demand is not expected to fall anytime soon.

Increasing focus on a niche market

Autorola Germany took the decision 18 months ago to establish a clear and well-defined practice for developing business leads. These results of this research led us to focus on developing a client base of companies with a parc of 500 vehicles or more. Autorola then began an internal project to investigate how many of these there were in Germany, researching them in depth to discover their pain-points in the de-fleet process and then introduce them to the Autorola online remarketing platform in relation to these.

The project revealed a potential list of 150 companies with fleets large enough to be of interest to us, and this relatively small target list meant Autorola was able to fully understand every business proposition before every approach was made.

We spent a long time developing a comprehensive business case and a compelling narrative with which to attract these companies. We demonstrated in each case exactly how Autorola could solve their specific problems, and how easy the resolution could be for them as a result.

The catchphrase coined for the project was “building a profit centre from a cost centre” and the time we spent at the research stage paid off. In a highly mature and competitive marketplace such as Germany, Autorola’s depth of knowledge of the companies we approached meant Autorola stood out from competitors from the outset, as it was able to meet large corporations on an equal footing, as the de-facto experts in our field.

Reaping the rewards in an increasingly digital world

With the current scarcity of available stock within the country, the decision has really paid off. By focusing so intently on larger fleets of 500 vehicles or more, it results in these companies’ de-fleeting an average of around 100 vehicles a year each. Even with the current propensity of fleets to hold onto their vehicles for longer than usual, the relative availability of de-fleet vehicles for Autorola Germany has proved to be of enormous help in the current circumstances.  

It has been also of great benefit to Autorola that the Marketplace product is purely digital, as it has put the business ahead of the curve in a changing business landscape, the acceleration of which has been driven by COVID.

“Our online, customer-focused approach is proving to be just what the new disruptors to the marketplace are looking for, which allows us to attract the newcomers, while still working with the more traditional dealerships who are evolving too,” said Lars-Alexander.

Unique messaging of a USP

“As a result of this USP, and the time we have taken to refine our messaging around it, the last 12 months has been one of success for Autorola Germany. We have been able to successfully convert leads into sales, helped entirely by the fact that not only is our online platform the best in class, but also, when combined with our sales team, INDICATA and SOLUTIONS, the strength of our proposition is hard to deny,” said Lars.

The traditional de-fleeting process could take many hours per vehicle, and involve multiple parties, however with Autorola, it involves just one point of contact and can take as little as four minutes per vehicle. Put simply, we help reduce liability, risk, and costs, while raising profits. For companies managing fleets of hundreds of vehicles, this a compelling message for any fleet manager to hear.

“Through this unique formula of our huge international network, targeted selling means we reach the right process with the right dealers while reducing client processes, we are confident in the continued growth of Autorola in Europe’s largest car market,” he added.


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European dealer used car stock levels are falling which is causing price inflation reports INDICATA

Sep 28, 2021   written by Autorola
Dealer stocks of used cars fell by 7.3% on average between the beginning of August and early September 2021 across Europe according to the latest INDICATA Market Watch used car insights report.

This means stock levels are now 12.3% below August 2019 which is mainly down to the increased demand for used cars due to the semiconductor shortages impacting new car sales.

With sales demand rising and much lower than normal volumes of young-used-cars available from the ex-rent-a-car fleet the impact on stock levels is likely to worsen.

Stocks fall well below 2019 levels

Stocks of left-hand drive cars at the start of August 2021 were already 2.2% lower than August 2019 and that gap has widened to 8.8% lower at the start of September compared to the beginning of September 2019.

With used car sales up 13.9% for the first eight months of 2021 virtually every European market is reporting consumers are switching to a used car to avoid long lead times for new cars.

Used car inflation set to continue

With no signs of the semiconductor crisis coming to an end used car inflation is likely to impact all countries for another 12 months and possibly into 2023. The UK alone has seen prices rise by 16.6% in the first eight months of the year.

While there was a visible slowdown in used car markets during the August holiday period, EV sales increased by 7% compared with July. However, EVs achieved the slowest stock turn (4.8x) out of all the fuel types compared with 7.6x for petrol and diesel cars. Hybrid stock turn sat at 5.7x which is further proof that they are becoming an integral part of the used car industry.

Price inflation could last until 2023

“Used car stock levels fell in every country except Turkey in August and demand shows no signs of slowing up due to new car supplies still being compromised which may last until 2023. This means we will see price inflation in the used market continuing for many more months to come,” said Andy Shields, INDICATA’s global business director.

“We urge dealers to continue to review their forecourt stock pricing on a daily basis and to be prepared to raise prices to keep pace with consumer demand,” he added.

To download the 30-page INDICATA report go to www.indicata.com/corona



Click here to go back to the September news

INDICATA reveals Europe’s top selling and fastest-selling used cars in August

Sep 29, 2021   written by Autorola

INDICATA has launched a new report which identifies the top selling and fastest-selling used cars below four years of age from its nine million used vehicle adverts analysed across Europe.

The new reports are available for each of the individual 13 countries in our new-look 30-page Market Watch report as well as for Europe as a whole.


VW Golf is Europe’s top selling used car

In August the VW Golf, the Toyota C-HR and the Renault Zoe were the top selling respective ICE, hybrid and BEV used cars. When considering all fuel types of the VW Golf was the top selling used car followed by the Renault Clio and VW Tiguan.

Meanwhile, the fastest-selling ICE, hybrid and BEV were the MG ZS, Mercedes GLA class and the Skoda Citigo which at their current selling rates means there is only enough stock in the market to last 21.8, 28.7 and 36.6 days respectively.



Mokka is Europe’s fastest-selling used car

When identifying the fastest-selling used cars across Europe the Opel/Vauxhall Mokka, MG ZS and Skoda Yeti made up the first three positions.

“We have responded to buyer and vendor requests for the best selling used cars by publishing these reports and will announce how more detailed data will be available to purchase in each of our countries in future months,” explained Andy Shields, INDICATA’s global business unit director.



To download the top selling and fastest-selling reports for 13 countries go to www.indicata.com/corona


Click here to go back to the September news

Autorola sponsors Fleet Europe Remarketing Forum

Sep 29, 2021   written by Autorola


We are pleased to continue our sponsorship of the Remarketing Forum which is part of the Fleet Europe Summit which is being held in Brussels on the 9-10 of November. It will be held at the Square Convention Centre, in the heart of the city.

The full-day remarketing forum is dedicated to the remarketing industry will bring discussion, case studies and networking for remarketing professionals.

The rest of the summit will feature four sessions for the fleet decision maker on sustainability, post-COVID-19 fleet management, corporate mobility, and innovation & technology.



We look forward to seeing you in person

We will have members of our MarketPlace, INDICATA and Solutions teams at the show who look forward to meeting customers, prospects, colleagues, and friends, many for the first time in person since the start of the Covid-19 pandemic in early 2020.

Early bird tickets are available here until 1 of October.

https://page-builder.hopin.com/events/fleet-europe-summit-2021/registration


If you want a meeting with any of our team to discuss your online remarketing, used car insights data or fleet asset management platform needs in more detail please get in touch with your country manager.


Click here to go back to the September news

Introduction from Peter Grøftehauge

Aug 24, 2021   written by Autorola

This month we have interviewed Philip Browne, country manager at Autorola Australia who are leading the way with upstream selling used vehicles online in response to vendors looking to speed up the sale of its vehicles to trade buyers.

Selling used cars upstream
Vendors are being paid for vehicles before they have been de-fleeted and two out of every three cars Autorola Australia is now selling through the upstream process. At the heart of the success is our Fleet Monitor asset management system which manages a vehicle fleet from the time a car is ordered and delivered to the time it is sold as a used vehicle.

Autorola Brazil is also experiencing record levels of growth with a recent new contract being signed with VW Financial Services Brazil. Our MarketPlace online remarketing platform in partnership with Fleet Monitor has built up a reputation with banks and leasing companies for its reliability and transparency across all elements of the vehicle management process.

Autorola Brazil sells record number of used cars
It recently sold 2,203 vehicles in a single day which is a record across our group. Another country breaking records is Autorola UK, which recently celebrated its 15th birthday. As more vendors and buyers have moved to the efficiency, trust, and speed of online remarketing during the pandemic so the number of cars being purchased by major franchised dealer groups and independents online continues to grow.

Our UK group operations director Neil Frost believes the Covid-19 pandemic has sped up the move to online remarketing in the UK by two decades.
As well as running regular online sales in the UK for Arval, Sixt and Porsche the UK hosts European and global online sales for the likes of Lamborghini, McLaren, and Aston Martin from our MarketPlace online platform.

New INDICATA functionality launched
INDICATA’s new 0km/pre-registered and options and equipment functionality are also now live across Europe which is another example of us responding to the changing needs of our customers.
In an ever-changing remarketing environment where used demand exceeds supply it is even more important that dealers value their part exchanges and retail stock accurately which is where INDICATA can help. Watch our two short films that bring these new INDICATA features to life.

We look forward to continuing to share exciting news and views from around our 19 countries over the coming months.

Best regards
Peter Grøftehauge (LinkedIn)

Click here to go back to the June news

Autorola Australia leads the way with upstream selling

Aug 24, 2021   written by Autorola

In some cases, vendors are being paid for vehicles before they have been de-fleeted, such is the competition for 2-4-year ex-lease cars between dealers. Two out of every three cars Autorola is now selling have gone through the upstream process.

Upstream selling is a win-win for all concerned
In the current climate where demand exceeds supply upstream selling is a win-win for all parties concerned. The vendor sells the used car quickly, the buyer has access to new stock before it hits the used market, and the fleet operator reduces costs in the form of reduced de-fleet charges being charged by the leasing provider.

Like many countries the used market in Australia is very strong as buyers switch their attentions to used cars as new car availability is being compromised by the global semiconductor shortage.

More vendors are switching to online remarketing
Many physical auctions have also been shut during large periods of the Covid-19 lockdown, while Autorola’s MarketPlace online platform has been trading throughout. Many more vendors have begun to appreciate the speed, convenience, and cost efficiency of online selling.

Autorola’s upstream selling process starts at between 25 and 90 days before a leasing vehicle comes to the end of its contract. Its nationwide network of inspectors contact the driver to inspect their vehicle to gauge its condition in relation to the leasing company’s de-fleet standards and cost matrix.

Each vendor runs the Autorola Fleet Monitor asset management system which manages all aspects of a vehicle fleet from the time a car is ordered and delivered to the time it is sold as a used vehicle. The system automatically informs the client of key timings within the vehicle’s life cycle such as when a vehicle reaches 90 days from the end of its lease.

Fleets take more of a strategic view
“Fleets are holding these inspections in very high regard as they are able to take a strategic view on the level of costs they are in for when they hand back a car to the leasing company. They can decide to spend money on repairing a vehicle prior to de-fleeting or whether they hand it back and get hit with the charges,” explained Philip Browne Autorola Australia’s country manager.
“In some cases, accident damage is being identified which is then being properly managed via an insurance claim. In the current climate dealers will pay more for used cars in great condition as they know that the car will be ready to retail when it arrives on site,” he added.

Used cars are sold 7-10 days before being de-fleeted
Once inspected and any damage is repaired then Autorola uploads the used car onto its online remarketing portal 7-10 days before it is de-fleeted. On receipt of cleared funds, the vehicle is de-fleeted and transported directly to its new owner.

As the focus by companies to reduce their impact on the environment upstream selling has a major part to play. Each vehicle on average is transported 141kms less by not being transported to a physical auction location. According to Impact Sustainability that equates to a saving of 92.08 CO2-e (tonnes) per 1,000 vehicles.

Online auctions reduce cost and CO2 emissions
“The distances between towns and cities in Australia is enormous and by not having to transport vehicles into physical auctions vendors are protecting the environment as well as saving money. The tide has finally turned towards online auctions and Autorola is well placed to serve the changing needs of the remarketing industry,” said Browne.


Click here to go back to the August news

Autorola UK is celebrating 15 years

Aug 24, 2021   written by Autorola


Autorola UK is celebrating 15 years of selling used cars online this week as the Covid-19 pandemic has speeded up the acceptance by trade vendors and buyers to selling vehicles digitally.

Group operations director Neil Frost believes the three lockdowns have accelerated the industry’s move to online buying and selling by at least two decades.

Changing behaviours
“As tough as the pandemic has been for the motor industry it has changed behaviours dramatically as for many months since March 2020 dealers and leasing companies have had no choice but to sell and sell used cars online.

“Dealers, leasing companies and vendors have also begun to appreciate the convenience of selling online as well as the reduction in transportation costs. They now realise the importance of providing quality imagery and descriptions on each car as these give the buyer confidence to buy a car without seeing it in the metal.

Auctions not returning to physical
“Some physical auction companies have also got to grips with selling online and haven’t returned back to driving cars through the halls since the pandemic began,” he added.

Frost has been at Autorola since the beginning and the business has gone from selling hundreds of used vehicles each month in 2005 to 2021 where they are selling several thousand a month.

Blue chip online clients
As well as running regular online sales in the UK for the likes of Arval, Sixt and Porsche it hosts European and global online sales for the likes of Lamborghini, McLaren, and Aston Martin from its MarketPlace online platform.

But despite Autorola’s commitment to online remarketing Autorola employs a large customer service team to engage with dealer buyers and follow up on any questions or issues. A seller’s money is also held in an escrow account until the buyer is 100% happy with the vehicle, which is another element to instil confidence and trust with buyers in the online trading process.

Increased trust
“The customer service team has given buyers increased trust in the online buying process. It also spells good news for human beings as there are no signs that robots are set to take over selling used cars just yet,” said Frost.

Click here to go back to the August news

INDICATA’s new functionality helps dealers’ price up used car options and pre-reg cars more effectively

Aug 24, 2021   written by Autorola

As OEMs constantly look to bolster market shares with tactical dealer registrations, it is vital dealers can price 0Km/pre-registrations correctly but continue to monitor the market to ensure remains competitive against rival dealer pricing.

Three types of used car category
The INDICATA dashboard now identifies three types of used car category, they are:
• 0km/pre-registered vehicles that sit on a dealer forecourt but have never been driven
• Demonstrator stock with a few hundred kilometers on the clock that are a few months old
• General dealer used car stock
Meanwhile, INDICATA’s new equipment and options functionality help dealers improve the accuracy of their part exchange valuations and appropriately price their stock to be competitive.

True worth of an option on a used car
Different equipment options impact used values by different levels depending on the segment of car and need to be priced accordingly. INDICATA gives dealers the true worth of an option based on the millions of vehicles Indicata assesses every day and compare stock in their local area to ensure their part exchange valuations and retail pricing is competitive.

Each dealer’s used car inventory is automatically recorded inclusive of equipment levels and options which ensures values are always based on the latest market price movement. That way dealers have a real time value of used cars in stock, a major benefit for multi-franchise dealer groups and for car supermarkets where pricing is competitive and profit margins are slim.

Don’t risk compromising or losing money on a sale
Generally, the higher value the car, the more optional equipment it has fitted which means a dealer appraisal could be inaccurate and risk under valuing the part exchange and compromising a sale. Alternatively, if the dealer under values the retail car market it risks potentially losing money.

“We are pleased to add this increased functionality to our INDICATA used car insights portal as it offers dealers the power to value part exchange and retail stock more accurately against the local competition,” said Andy Shields, INDICATA’s global business unit director.

“We have had some fantastic feedback from dealers prior to launch and ultimately it will help dealers sell more used cars more profitably.”
For further information go to www.indicata.com or contact your local INDICATA country manager.



Click here to go back to the August news