We can now purchase just about anything online and have it delivered to our doors in record time. It’s a trend we’re seeing across all industries as consumers’ mobile devices have become the portal to their everyday transactions. Take Amazon for example. Prime was created because it was understood within Amazon that customers wanted to buy quality products for less money, and more specifically, customers wanted to receive products as fast as possible.
That’s not too different from what’s happening in the remarketing industry. Dealers want a flawless, frictionless experience that gets their inventory on their lot quick—they want greater velocity in their transaction. While our delivery times were on par with industry averages, we started to investigate if we could make the process more efficient and became laser-focused on it. We quickly created a Global Logistics team here at TradeRev with a simple goal: create a more strategic and transparent transportation process.
With that goal in mind, we started to look at every process, feature and update we had in place or were launching, and asked ourselves: Does it get cars to the dealer faster? Does this make the dealer’s experience easier? Digital auctions need to look at everything with that lens and if the answer is no, then you need to make some changes.
For buyers, their main concern is having access to a wide-range of inventory that they can get onto their lot as quickly as possible, so they can turn a profit. But once they source that inventory, their biggest challenge is coordinating transportation.
We began to assess KAR Global’s vast resources to identify where we could leverage their ancillary services to improve ours. The answer came in the integration of CarsArrive in the US and STRATIM in Canada.
It took some work, but by integrating the two companies into TradeRev’s platform, we were able to streamline transport. We removed the manual process to allow our customers to receive real-time quotes, order and pay for their transport, and even track their delivery from assigned to arrived, all within the app.
But we took things a step further. We created new features like “In Stock” and the “Third-Party Inspected Badge”* as visual indicators for buyers to immediately know the vehicle was ready for pick-up and had a consistent, thorough condition report—another step toward greater velocity.
The results were staggering. We reduced our delivery time by 53% and are hitting our target of 3-day average delivery under 500 miles. Now, as a testament to our customers’ satisfaction, 70% of our users are ordering their transportation in-app. Our logistical improvements are evidence that the saying “if it isn’t broken, don’t fix it” isn’t the right mentality. It really doesn’t matter what industry you’re in; you always need to be innovating and never become complacent. Just because something is popular and works doesn’t mean it couldn’t be more efficient or that it couldn’t be better. It’s this constant retooling and reinvention that keeps companies on the cutting edge, and in turn keeps their customers happy.