Friday, August 21, 2009

Used / Pre-owned / Experienced Automobiles?


So - the used car business looks appealing. There seems to be so many ways to be "better" than the next guy. Your instincts for retailing are good. You can sell. You know how to manage the environment. Stop!

You've got half the picture in view - perhaps less than half. The most difficult part of this business is buying inventory. Oh yea - it is. Don't kid yourself. This is not for the amateur. You'll be eaten and swallowed quickly. If you're an independent (no franchise) and even if your new car franchise does light volume, you really can't trade your way to good inventory. You have to find it to buy it. You have to compete with others.

The talent for selling is important but buying is where you make money. Buying is at least half the battle. The strategies, the skills, the rigor and talent needed to be a pro are rarer and more valuable than you might think. Some may argue that this isn't the case but they would be wrong.

So - if you want to "do used", be or get a professional buyer.

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