Who are the core users of the Pipeline system?
The core users of the Pipeline system include used car managers, dealership principals (DP), general managers (GM) and stock controllers.
What is the primary objective of using Pipeline?
The primary objective of using Pipeline is to ensure that vehicles are priced competitively in the market, increase stock turnover, and reduce the time to sell and holding costs.
What is the best practice strategy for using Pipeline?
The best practice strategy involves:
- Using market data and industry knowledge to accurately price wholesale opportunities prior to acquisition.
- Reviewing the market you will be publishing to upon receiving the vehicle, taking into account factors like existing appraisals.
- Weekly reviews of each vehicle to ensure competitive pricing based on core metrics such as price comparison to retail, average price, KM vs. the market, and days supply.
Why is days supply important in the Pipeline tool?
Days supply is an important metric in Pipeline as it indicates the "retail-ability" of the car in the market. It helps dealers understand whether the market is oversupplied or undersupplied and guides pricing decisions accordingly.
How can days supply be interpreted in Pipeline?
Days supply can be interpreted as follows:
- 0-30: Extremely strong (9+ out of 10)
- 31-45: Strong (8/10)
- 45-60: Good (6.5-7.5/10)
- 60-70: Average (national average for all stock)
- 70-100: Below average (4/10)
- 100+: Fair (3/10)
- 150+: Poor (1-2/10)
What is the difference between velocity and high gross in inventory management?
Velocity refers to accepting a lower margin but turning stock quicker, while high gross means chasing a higher margin but with a longer time to sell. Velocity is considered best practice as it allows dealers to maximise overall gross by turning stock more efficiently. Pipeline presents the right data to execute on a velocity approach.
How can effective inventory management be achieved using Pipeline?
Effective inventory management in Pipeline involves factors such as pricing, frequency of use, and the relationship to buying and the buyer. The tool provides valuable insights and data to help dealers make informed decisions about their inventory.
Why should I switch to Pipeline from other similar tools?
There are several core reasons to switch or use Pipeline:
- AutoGrab's Pipeline has the largest data set in Australia, providing the highest accuracy analysis in the market.
- It offers images for listed and delisted stock for all marketplaces, with images held for 90 days for delisted vehicles.
- Pipeline offers retail "KM adjusted" price benchmarking, allowing you to compare against real market prices rather than just the average market price.
- It provides more core information at a summary level, making it easier to identify problems and opportunities quickly.
- The tool allows you to toggle and benchmark the exact vehicle or adjacent variants for more precise analysis.
- Pipeline offers a seamless transition from inventory analysis and appraising to stock acquisition, with more integrations planned for the future.
If you have any further questions or need assistance, please don't hesitate to contact our support team.