By Desiree Homer
Last Thursday, Carvana announced a new partnership with Manheim Auctions in creating and launching a wholesale purchasing platform. CarvanaAccess.com couldn’t come at a better time when dealers are struggling to predict wholesale pricing and a return to a new normal. This may be one of many partnerships within the industry, as new solutions to these post-Coronavirus conditions are in high demand.
The CarvanaAccess Answer to Wholesale Problems
According to the Carvana announcement, this new Manheim partnership platform will be available to both independent and franchised dealers who wish to participate. The auction portion of the website will feature authorized access to any wholesale buyers and registered dealers. Anyone interested can go to the site directly to register. Senior director of wholesale operations for Carvana, Scott Wood, says this new platform is designed to essentially harness the reach of Carvana and match it with the “technology modules from Manheim Digital, creating a whole new way to buy wholesale.” This platform will connect buyers and sellers on a more national scale and should diversify wholesale inventory options for those participating dealers.
How CarvanaAccess.com works
Sales are slated to begin on Fridays at 9:00 AM EST and will end on Mondays at 4:00 PM. All the vehicles listed on CarvanaAccess.com will offer “360-degree imagery” along with complete condition information about each. Vehicles will be featured based on Carvana’s processing timeline of wholesale units and customer trade-ins. These cars and trucks will then be sold in what they call a “timed bid,” that will be supported by Manheim Digital. Those registered users will have an opportunity to buy Carvana-sold trade-ins, before anyone else. The site boasts a 90% first-run sales rate and competitive starting prices. The mission statement indicates the site is seeking to offer a painless, seamless, and buyer-friendly experience.
Foreshadowing of New Tools, Solutions, & Partnerships
This latest announcement demonstrates that the industry is recognizing that new concerns and problems require unique solutions. The volatility of the auctions and wholesale pricing, coupled with predictions of used inventory impact from the recent Hertz bankruptcy, means dealers will be grasping for better innovations, bigger ideas, and new solutions. Today, dealer owners have a new tool at their disposal to leverage the opportunity to improve wholesale buying and selling. But it’s also a sign that more platforms, tools, and solutions will certainly be coming.
Dealers can’t be afraid to tap into new solutions these days. And it also makes sense to look for new ways to use old resources. Relying on past resolutions and tools won’t necessarily help in today’s vastly different conditions. Auto industry guru and 40-year veteran, Mario Murgado, talks to Dave Cantin about this in a recent Dealer News Today podcast episode. Tune into episode 54 to hear this insightful discussion. Murgado says, “you only think you know what’s going to happen next!” And he’s right. Dealers may assume they know what the industry will look like tomorrow. But when new solutions, like CarvanaAccess.com, we may only be dipping a toe in the pool of changes yet to come.