KAR Global said Monday that Black Book’s VIN decoding and pricing algorithms have been integrated with KAR’s digital offerings.
This means that automakers, dealers and others in the auto industry will be able to provide consumers with instant, VIN-specific guaranteed trade-in values on their respective websites or mobile apps.
The expanded relationship between KAR and Black Book also includes an element that involves BacklotCars, which is KAR’s digital dealer-to-dealer marketplace.
The partnership will utilize BacklotCars to help dealers wholesale those trade-in vehicles that don’t fit their needs.
“Today’s retail consumers want a more digital car buying experience, and KAR is uniquely positioned to help dealers deliver on those expectations,” KAR chief executive officer Peter Kelly said in a news release. “Together with Black Book, we can provide dealers with AI-driven pricing tools that allow them to make firm, accurate and real-time offers on consumer trades.
“By guaranteeing those prices, we de-risk the trade-in process so dealers can focus on and accelerate their retail transactions,” Kelly said. “And for those unwanted trade-ins that aren’t the right fit, we’ll provide near-instant liquidity by launching those vehicles on BacklotCars directly from the dealer’s lot.”
All the dealer needs to make the trade offer is the VIN or license plate. Black Book’s VIN decoding is designed to provide “more accurate deciphering of trim and installed options, resulting in more precise offers,” KAR said in the release.
The trade-in offers are shared through a QR code and are valid for a limited time. The consumer can then redeem the offer at a participating dealership.
The dealer then validates the condition of the vehicles. They can either choose to keep the car, accepting the trade-in amount, or sell the vehicle wholesale.
If the pick the latter, the dealer would enter the redemption code on BacklotCars to begin the paperwork and sales process.
“At Black Book, we use data to help OEMs, dealers, industry-related providers, and consumers make the best, most informed buying and selling decisions possible,” Black Book executive vice president of revenue Jared Kalfus said.
“KAR’s digital marketplace capabilities and strong relationships make them the perfect partner to extend and enhance the value Black Book delivers to our automotive community,” Kalfus said.
“This partnership will empower industry-related companies, helping them engage with consumers across the digital continuum — from first click through engagement, pricing, trade-in and sale. There is strong and growing national interest throughout the automotive sector, and we look forward to operationalizing and scaling this solution with them over the coming months.”
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