60 Day Used Car Turn Program

[Hawk]

I understand a number of dealers run their used vehicle inventory with a policy that they are "wholesaled", no matter what, after 60 days. I would be interested to hear from those who use this type of system on some of the rules they use, how they dispose of the vehicles, and how they get the program started. Did you need to use a consultant? Any ideas would be helpful. Thanks.

Tom Hawkins

[fossy]

I can tell you that a member of my 20 group has a 60 day policy and he's usually on the far hand side of the the left page in almost all his departments (that's a good thing). He literally takes the car off the lot on it's 60th day, no exceptions except body work, and will not sell it -- no matter the gross -- on day 61 or 62 or 63. He'll even take a loss to a wholesaler with a profitable deal pending. The salesman know the age of the cars and when it approaches the 50 day mark they really hussle. By the way he doesn't HAVE TO wholesale that many used. It was only painful when he started to get everyone educated.

As for me, I tried it and couldn't make myself sell the same unit at the auction at a loss in one lane and in another lane buy a similar one back for more money.

Good luck

one more thing -- he gets his cars out of recon within 72 hours.