The unseen truth: Hidden extras can be margin killers
With many potentially hidden options, and irregular service history, dealers could be reducing their margins and customer confidence by under, or overpricing stock by not knowing the true specification of the vehicle they are valuing.
Without adequate service history, mileage and finance checks, dealers could also incur further costs, or open themselves up to legal action, for selling a vehicle in the wrong specification.
cap hpi is there to support the industry with trusted, instant, detailed used car valuations. By including its Spec Check service, with a VIN lookup, dealers can be confident in getting the most accurate data, improve margins, build confidence and help in negotiating with customers.
Over-the-air additions change the game
There is already a push for the software-defied vehicle to become commonplace. Drivers can add optional extras even after they take possession of the car. Cars that are sold in one specification could soon come into the used-car market with different additions. But at first sight, there may be no evidence of any differences, so it is more important than ever to dive into the vehicle history,
Service history gaps raise questions about condition
With drivers shopping around for servicing and repairs, incomplete history can impact residual values. As drivers look to minimise costs, some may turn to independent workshops for their service and repairs, leading to an incomplete service history. Gaps can raise questions, and result in inaccurate valuations.
Fast-paced turnaround can lead to oversights
A thorough vehicle appraisal is essential. Taking time in this crucial step can ensure that the correct specification is identified and provide a sound basis for pricing, protecting margins and building customer trust.
Misreading the signs can lead to problems
Mis-identifying optional extras may hinder sales, vehicles may sit on a dealer’s forecourt for longer. As values change the hidden extras problem compounds creating stickier stock and impacting on margins and profitability.
Ensuring accurate valuations with detailed specification check
Ensuring that the correct specifications are listed, and the right values are assessed, is therefore crucial. cap hpi offers a comprehensive Spec Check service, allowing for a more accurate valuation. By utilising the vehicle VIN, the service can identify the full standard and optional extra equipment, allowing dealers to check the specifications and make more accurate pricing decisions.
Valuation Anywhere, includes a vehicle spec check is now available to buy online, giving dealers instant access to a vehicle’s factory fitted options. When you know the true specifications you know exactly what a vehicle is worth.
