Maximising profit on car trade-ins
New system gives sales staff access to vehicle’s history and vital statistics
Appraisee is a new software tool aimed at speeding up and simplifying how car dealers evaluate trade-ins. At present, appraisals are largely paper-based and this can create issues around accountability and traceability.
Appraisee digitally connects and integrates all elements of the sales cycle, including negotiations on price, to ensure an accurate record of the process from start to finish.
“Appraisee provides immediate access to all the key data points about a vehicle and ensures the salesperson can identify the margin potential before a price is agreed on,” says founder Colm Murphy.
“With retailers making approximately 1.5 per cent net margin on a new car sale, maximising profits on part-exchanges is critical to a business’s profitability. Undervaluing and miscalculating the condition of the vehicle at the appraisal stage can be the difference between a profit or a loss for the dealer.”
The main markets for the sofware as a service product are franchised and independent dealerships and car manufacturers. Murphy set up the company in October 2016 and comes from a background in financial services software. Over the years his customers have included Volkswagen Bank, the GAA and French multinational St Gobain.
Murphy says Appraisee’s product gives sales staff instant access to a vehicle’s history and vital statistics from anywhere at any time on any computer or mobile device.
“We didn’t want customers to have to pay for hardware to run the system so that was a key consideration during development, as was creating a really simple and easy user interface,” he says. “Most existing systems on the market are UX and feature poor.
“Having instant access to past appraisals and knowing what prices were quoted also frees up significant time for the sales teams,” Murphy adds. “In addition, management can use the system to delve into appraisal data and sales team performances.