ADESA Launches New Tool to Drive Greater Wholesale Value

Rhea-AI Summary

ADESA, a unit of KAR Global, has launched a new tool aimed at enhancing the vehicle reconditioning process for sellers. By utilizing extensive data on vehicle repairs and sales, the tool provides actionable repair suggestions to maximize resale profits in the wholesale channel. This innovation allows sellers to view vehicle statuses and make data-driven decisions quickly. During the pilot phase, sellers reported improved returns even in a competitive market. The tool’s functionalities are accessible via the ADESA Portal, streamlining the process from vehicle check-in to sale.

Positive

• Introduces a new tool to optimize vehicle reconditioning, enhancing profit opportunities for sellers.
• Provides actionable data-driven repair recommendations to maximize vehicle resale value.
• Reported successful pilot results, indicating effective tool performance even in a competitive market.

Negative

• None.

CARMEL, Ind., Oct. 28, 2021 /PRNewswire/ -- ADESA, a business unit of global wholesale used vehicle digital marketplace operator KAR Auction Services, Inc. d/b/a KAR Global (NYSE: KAR), reveals a new tool to enhance the reconditioning process and optimize return on investment for sellers. By leveraging millions of data points on vehicles, repairs and sales, the technology arms sellers with actionable repair suggestions that maximize the profit opportunity on the resale of those vehicles in the wholesale channel. The new tool showcases how specifically tailored repairs and enhancements will improve its vehicle grade, helping vehicles become front-line ready, faster.  

"With instant access to recommended recon services and the ROI of each, this new tool makes it easier than ever for sellers to make data-driven decisions on the fly," said John Hammer, chief commercial officer of KAR Global and president of ADESA. "We've seen impressive results throughout our pilot period, even in a hot market, due to our sellers being able to invest in the right repairs to yield the highest possible return. Plus, sellers can see all of their vehicles in one place, along with the status and location of each, from check-in to inspections to shop work all the way to sale."

The reconditioning tool visually displays the cars as recommendations in one centralized digital location, the ADESA Portal, putting the power in the hands of the seller. Sellers can see which services will improve the grade and therefore optimize profit. A maximum cost can be set to determine what can be done to the vehicle within budget while driving greater wholesale value.

"With a few clicks, sellers are able to decide which services to move forward with based on grade improvement, spend and ROI," said Srisu Subrahmanyam, chief operating officer of ADESA. "With bumps in grade improvement, we are driving more eyes to the vehicle, as many customers filter by grade when evaluating inventory to purchase. Our sellers aren't the only ones benefitting; dealers are reaping the benefits of retail-ready, higher-quality vehicles, cutting valuable cycle time between when they purchase at auction and when they can deliver to their retail customers."

ADESA is a leading provider of digital marketplaces for wholesale used vehicles supported by more than 70 vehicle logistics center locations across North America. ADESA's progressive technology, data-driven tools and industry-leading customer support are helping make wholesale easy so its OEM, financial institution, rental, fleet, and franchise and independent dealer customers can be more successful. Learn more about ADESA here.

Media Inquiries:	Analyst Inquiries:
Jill Trudeau	Mike Eliason
(317) 796-0945	(317) 249-4559
jill.trudeau@karglobal.com	mike.eliason@karglobal.com

About KAR
KAR Auction Services, Inc. d/b/a KAR Global (NYSE: KAR), provides sellers and buyers across the global wholesale used vehicle industry with innovative, technology-driven remarketing solutions. KAR Global's unique end-to-end platform supports whole car, financing, logistics and other ancillary and related services, including the sale of nearly 3.1 million units valued at over $40 billion through our auctions in 2020. Our integrated physical, online and mobile marketplaces reduce risk, improve transparency and streamline transactions for customers in about 75 countries. Headquartered in Carmel, Indiana, KAR Global has employees across the United States, Canada, Mexico, Uruguay, United Kingdom, Europe and the Philippines. For more information and the latest KAR Global news, go to www.karglobal.com and follow us on Twitter @KARspeaks.

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SOURCE ADESA

FAQ

What new technology has KAR Global launched for used vehicle reconditioning?

KAR Global has launched a new tool through ADESA that enhances the vehicle reconditioning process by providing data-driven repair suggestions.

How does the new ADESA tool improve vehicle resale value?

The tool offers actionable recommendations based on extensive data, enabling sellers to optimize repairs that improve vehicle grading and resale value.

What benefits did sellers report during the pilot of the new ADESA tool?

Sellers reported impressive returns due to the ability to invest in effective repairs, maximizing profits even in a hot market.

Where can users access the new reconditioning tool from ADESA?

Users can access the new tool via the ADESA Portal, which centralizes vehicle statuses and repair recommendations.

What is the focus of ADESA within the KAR Global framework?

ADESA focuses on providing digital marketplaces and innovative technology solutions for the wholesale used vehicle market.