Please provide us a brief overview of ACV Auctions?
We offer a digital platform for dealerships to sell their inventory, most of which are wholesale vehicles. We do not cater to retail consumers. ACV Auctions’ number one objective is to be the most trusted way dealers auction and sell their vehicles. ACV Auctions provide the most technologically advanced platform and have assembled dedicated teams of experts to oversee the entire auction process. We employ inspectors who go to the lot and do condition report of the vehicle, collect images, performing diagnostics every month and asses if the vehicle is optimal for being sold. Our platform is mobile-first, during the auction, buyers would get a push notification on their phone if a vehicle is up for an auction and through an app they can make a purchase—all in 20 minutes. ACV thus fosters an auction space that has moved from a brick-and-mortar store to the digital realm, where clients needn’t physically move their inventory to various sites.
ACV Auctions’ number one objective is to be the most trusted way dealers auction and sell their vehicles
ACV provides an end-to-end solution. From the moment a seller on-boards our system, we oversee the entire process. We schedule a time for our vehicle condition inspectors to go to our client’s location and on certain set intervals during a week and perform the assessments on all the vehicles. Engine fluid levels, OBD2 scans, paint meter readings, tire tread depths, and 30–40 hi-res photos, including details of the undercarriage, let dealers know exactly what they are buying. Once the report is submitted, the vehicle in question can be launched onto the auction. Buyers can use filters on the types of vehicles they would want to see from a wide category. Based on that, they get push notifications when a vehicle is put up which they can bid on, and at the end of the 20 minutes, if the reserved price is met, the vehicle is sold. After the selling process is complete, the seller will send the title or ownership of the car, and we will complete the transaction. At the same time, an invoice is shared with the buyer, and they send the amount. ACV checks the title and paperwork from the seller for accuracy then forwards it to the buyer. We also partner with a transportation agency that assists in transporting the cars if the buyers choose the option. We pride ourselves on providing a trustworthy and transparent auction experience. But, as with all automotive wholesale purchasing, arbitration is sometimes necessary. So, our approach is to remain fair and consistent. We provide seven days of arbitration protection at no charge and additional levels of protection for a fee.
What according to you are the distinct features of ACV Auctions or differentiating factors that give it a competitive edge?
Firstly, we are extremely customer-centric; our goal is to provide an excellent service to our customers and be the partners they need us to be. From a technology standpoint, we are investing in a lot of R&D. Franchise dealers who use ACV Auctions no longer have to lose time dealing with the demands of the physical auction or spend money shipping a vehicle, which once again gives dealers extra time to focus on their business objectives. They are not limited to a particular location or buyer pool. Our solution has enabled them to do business across the country. For the buyers, ACV’s impartial condition reports complete with detailed photographs allow them to have the luxury of knowing everything about a vehicle before they purchase, removing the uncertainty of buying from the physical auction.
What does the future hold for your organization? Any footprint expansion plans or platform enhancement strategies that you can shed light upon?
We are the fastest-growing independent auction in the nation, expanding into new markets every month. ACV is effectively saving dealers’ money, increasing reach, and streamlining the auction process, allowing them more time to run their businesses. Our plan is to continue our expansion and be in every market across the country by the end of the year. We will also be rolling out new functionalities and features to enhance our platform further.