ATLANTA – Through joint collaboration across the wholesale automotive industry, Auto Auction Services Corporation (AASC) has introduced a new industry standard for vehicle condition data reporting available to all members. This new standard will drive consistency across the entire automotive wholesale marketplace.
Through an arrangement with the National Auto Auction Association (NAAA), AASC will soon distribute Manheim’s AutoGrade™ service to all member auctions at no additional cost. ADESA, Bel Air Auto Auction, Greensboro Auto Auction and Tallahassee Auto Auction will be first to use the service once the integration project is complete.
“We are very pleased to share this new technology with the industry, which was developed through our partnership with Manheim,” said Mike Broe, chief executive officer and president of AASC. “AutoGrade™ will help auctions and sellers in North America maintain a consistent vehicle grading system and allow buyers to see condition report consistency across all channels.”
The AutoGrade™ service is becoming available at a time when wholesale volumes are increasing, buyers are embracing internet platforms, and sellers are asking for consistency and transparency in their vehicle valuation processes across all venues and geographies. Whether or not auctions have a scoring methodology of their own, they will now have the option to offer an AutoGrade™ on every vehicle in their inventory.
Positioning AASC as the distribution source for AutoGrade™ will allow all auctions to easily and confidentially adopt the AutoGrade™ methodology, ultimately improving condition report quality and consistency across the industry. An analysis of vehicle sales data shows that vehicles listed online with an AutoGrade™ score are three times more likely to sell than vehicles without.
Auction Executives Offer Their Opinion
“By using the AutoGrade™ service, our customers know that they will get consistent pricing for their vehicles,” said Jerry Barker, general manager of Greensboro Auto Auction. “The AutoGrade™ service will also provide greater consistency for our online buyers.”
“The AutoGrade™ score is acknowledged as the gold standard in the industry – buyers can consistently compare like-for-like vehicles and have the highest confidence in their purchase decision,” said Charles Nichols, BSC America’s president.
“AutoGrade™ utilizes vehicle information to calculate a consistent objective grade the same way, every time, across auction locations and online platforms,” said Paul Lips, executive vice president of operations and finance for ADESA. “This increases confidence for buyers and allows them to more effectively comparison shop vehicles. It also makes it easier for sellers to accurately price vehicles. Implementing AutoGrade™ as the standard for the industry should considerably improve the overall customer experience.”
“We feel AutoGrade™ will truly benefit the entire industry, and it’s our vision that one day all vehicles sold in the wholesale industry will be evaluated using AutoGrade™,” said Joe George, senior vice president and chief strategy officer for Manheim and AutoTrader Group. “Dealers have told us that they have been frustrated with the inconsistency of vehicle condition data, so we have taken the lead by offering this established and proven grading system to the industry.”
How it Works
AutoGrade™ will allow auctions an opportunity to input vehicle damages to generate vehicle scores while preserving confidentiality of certain vehicle data. Here is how the process will work:
To use AutoGrade™, each auction must maintain a membership in AASC, who maintains the remarketing industry standard inventory management system - AutoIMS. AASC continues in its 16th year serving the industry objectively and independently as a jointly-owned consortium of the auction industry.
To register for the service, please contact Jay Cadigan at Manheim (jay.cadigan@manheim.com) or Mike Broe at AASC (mike.broe@autoims.com).
About Auto Auction Services Corporation (www.autoims.com/)
Auto Auction Services Corporation (AASC) delivers an industry-leading set of online applications (www.autoims.com, www.recoveryims.com, www.mylocalauction.com) to manage auto portfolios, connecting wholesale auto consignors with auctions. Additionally, AutoIMS provides robust data, analytical and consulting services to help the auto industry benchmark and streamline processes and technology.