It's a simple concept: You can't sell cars you don't have. Inventory is essential for success. And, as we've always said at vAuto, you make money when you buy a car, not when you sell it. So buying cars right is the key to used-car profitability. Yet inventory shortages plague dealers nationwide. Given the unprecedented and prolonged volatility in the pre-owned vehicle market, dealerships continue to struggle to fuel their inventory pipelines.
This new normal has made the traditional methods for replenishing used-vehicle inventory insufficient to meet demand in the market. As the landscape evolves, it can be difficult to keep up with the changes.
We talk with hundreds of dealers across the country every month, and the following recommendations are what we see as common best practices to help dealership management teams weather supply constraints with confidence while building an inventory pipeline poised for profitability and significant growth.