Just moving from physical to an online auction platform could more than double trade sales profits
Looking at over 71,000 car sales, our research confirms that physical auction fees are usually bigger than the profits that selling retailers make. That ratio simply isn’t good for business for today’s retailer.
Retailers using physical auctions are usually happy as the results are better than they were used to getting when dealing with local traders, and the transaction is transparent and secure.
What they don’t realise is the stark difference in transaction costs between the physical and online auction route, and this will always reflect in the profits made. Given their business model, the physical auction houses need a high transaction cost to pay for their overheads. With lower buyers fees, sellers tend to see bigger profits as buyers have ‘more in the pot’ to bid with.
FullAuction has sold over 69,000 franchised retailers’ trade cars since it was launched – savvy retailers already use the platform as part of their core disposal strategy.