Remarketing has two components – the basic liquidation function / process, and maximizing the return. Most companies spend most of their time on the first part, with little understanding of how to approach the second. Dragonfly Cars handles both.
Dragonfly Cars Remarketing Philosophy
- Understand the Buyer – Identify the highest-use buyer on the purchasing end of the wholesale transaction, and present the car in the most appropriate condition, in the proper venue to meet that buyer.
- Every Car, Every Day –Increased recovery rates are based on making correct decisions and managing each unique asset. Minor gains on each car lead to significant overall recovery increases.
- Bottom-Up Approach – Each asset needs to be assessed and evaluated and treated as individual, with a global strategy being driven by the decisions made on the ground. A top-down process leads to excess costs and missed opportunities.
- The Market Isn’t Linear – Vehicle valuation has some awkward stair steps based on lender parameters, condition, mileage, body style changes, engine type, etc. that while tougher to track, create opportunities.
- Data Modeling Isn’t There Yet – There are too many shifting variables in the sale of older used vehicles, and no individual lender has anywhere near an adequate sample size. In remarketing, the focus needs to be on maximizing return today, on the asset at hand.
- Bottom Line Focus – The net check received is what’s important, not the individual costs.
