by Matt Parsons » Tue Feb 20, 2007 10:49 pm
I am very familiar with both CarFax and Auto Check/Auto Check Express by Experian and have written several articles on Used Vehicle History reports for publications like Ward's Dealer Business and Dealer Magazine.
I would tell you in working with dealers that have one or both the answer is that the client wants a used vehicle history report and whether it is from CarFax or Auto Check is somewhat of a non-issue. The key is to actively promote the report you are using as a proactive element of the sale and not wait until a cusotmer or perspective customer asks for one (tyically they will say CarFax as that is the name they know). Each offering has marketing materials that can be used by the dealer to position the value of the reports, but they need to be visible andd used by the dealership employees early in the sales cycle. In addition it is important to run a report on every used vehicle you are selling or taking in, not just randomly on vehicles that you suspect something is not right if you really wish to mitigate the dealerships risk - especially in a court of law.
From my experience, most dealers are paying between $8 and $10 for a CarFax report and as much as $25 for infrequent single reports. Auto Check on average from my experience is less than $5 per report. Being that both contain for all practical purposes, the same information, not sure why a dealer would want to spend 2x's as much. Recently spoke to a dealer that paid $2300 in a month for CarFax reports and could have bought the same quantity of ACE for $529. Even if a customer demanded a Carfax, they could easily afford to run the one or two and still save a great deal every month.
Be aware however, that some OEM's (I.e. Ford, Honda, GM, etc.) mandate that a used vehicle history report must be part of the Certified Pre-Owned Program. Some even stipulate that it must be CarFax or ACE. So know the rules for your OEM.