April 30, 2025
Wholesale: Auction News (144)
Cox Automotive Forecasts New Vehicle Sales
Staff Writer
May 26, 2023
New-vehicle sales when announced next week by many automakers are expected to show sizeable gains over last year, but a decline versus last month. The seasonally adjusted sales pace, or SAAR, is expected to finish near 14.9 million in May, a notable drop from April’s surprisingly strong 15.9 million level. Affordability issues, driven in part by high interest rates and elevated new-vehicle prices, continue to weigh negatively on sales, as typical monthly payments for new-vehicle loans are well above $700 in today’s market.
Compared to a year ago, the forecast for May reveals a significantly changed market. Sales volume is forecast to jump more than 20% year-over-year, thanks to far better inventory levels. A year ago, according to an analysis of vAuto Available Inventory data, total new-vehicle inventory at retail outlets across the U.S. stood at approximately 1.1 million units. This year, heading into the month of May, inventory was at a two-year high and above 1.9 million units, an increase of nearly 70%. Tight inventory was the key driver of lower sales in 2022. This year, as inventory builds for many brands, demand, not supply, is becoming the market driver.
“New-vehicle sales will show strong gains this month over last year’s levels, and on the surface, this is a bit surprising,” said Cox Automotive Senior Economist Charlie Chesbrough. “Interest rates are substantially higher than a year ago, as are vehicle prices, and yet sales will increase year-over-year. The reason? Vehicle shoppers now have a much better chance of finding something that fits their needs. Pent-up demand, held back by limited product availability last year, is now being fulfilled as inventory levels improve around the country.”
|
Sales Forecast1 |
Market Share1 |
|||||||
|
Segment |
May-23 |
May-22 |
Apr-23 |
YOY% |
MOM% |
May-23 |
Apr-23 |
MOM |
|
Mid-Size Car |
85,000 |
73,759 |
85,994 |
15.2 % |
-1.2 % |
6.3 % |
6.3 % |
0.0 % |
|
Compact Car |
85,000 |
67,370 |
86,656 |
26.2 % |
-1.9 % |
6.3 % |
6.3 % |
-0.1 % |
|
Compact SUV/Crossover |
210,000 |
154,862 |
211,508 |
35.6 % |
-0.7 % |
15.6 % |
15.5 % |
0.1 % |
|
Full-Size Pickup Truck |
190,000 |
162,044 |
195,081 |
17.3 % |
-2.6 % |
14.1 % |
14.3 % |
-0.2 % |
|
Mid-Size SUV/Crossover |
235,000 |
205,870 |
240,134 |
14.1 % |
-2.1 % |
17.4 % |
17.6 % |
-0.2 % |
|
Grand Total2 |
1,350,000 |
1,121,835 |
1,365,080 |
20.3 % |
-1.1 % |
|
||
1 Cox Automotive Industry Insights data. 2 Total includes segments not shown
IARA Names New Executive Director
Staff Writer
May 25, 2023
Mark Coleman has been named the new executive director of IARA, announced Jeff Bescher, president of IARA. An experienced business leader, Coleman will assume responsibilities on June 12, 2023.
“Mark is a 25-year veteran of the wholesale automotive industry,” said Bescher. “His experience includes time with Chrome Systems, and he was co-founder and President of Title Auctions, which developed a bespoke online auction primarily for credit unions and, most recently, with GE Fleet/Element Fleet.”
In 2008, Coleman joined Paul Seger’s team at GE Fleet as co-leader of national sales for the company’s then newly formed third-party remarketing services. Today, GE Fleet is now Element Fleet, and the third-party remarketing service is among the largest in North America.
Coleman holds a bachelor’s degree from DePaul University and a master’s degree from Gonzaga University in Organizational Leadership. Coleman lives in Portland, Ore., with his wife of 33 years. They have one daughter who recently graduated from college in Southern California.
KAR Global Rebrands as OPENLANE
Staff Writer
May 04, 2023
KAR Auction Services is rebranding to reflect the company’s transformation to a more asset-light, digital marketplace company. OPENLANE signals a new simplified, customer-first approach to used vehicle remarketing.
OPENLANE will serve as both the parent company brand and the go-to-market brand for the company’s digital marketplaces in the U.S., Canada and Europe.
Consolidating platforms, offerings and operations into OPENLANE will help focus the company’s strategy and investments, accelerate innovation and simplify the overall customer experience. The company’s corporate name will change to OPENLANE Inc. effective May 15, 2023. The company’s common stock will continue trading on the New York Stock Exchange under the ticker symbol “KAR.”
“Our vision is to build the world’s greatest digital marketplace for used vehicles, and we are advancing that vision by bringing together all of our sellers, buyers and vehicles under OPENLANE,” said Peter Kelly, CEO. “Over the past decade, we’ve built and acquired some of the leading digital platforms in our industry. Combining the best features and functionality from this technology and unifying our supporting operations will help us create the fastest, easiest and most active digital marketplace available. With flexible sale formats and thousands of cars offered each day—including exclusive, first access to a significant majority of North America’s off-lease inventory—customers will be able to list, bid and buy anytime, anywhere.”
In 2022, the company’s marketplaces facilitated the sale of approximately 1.3 million vehicles, with a gross merchandise value of over $23 billion, across a network of more than 50,000 franchise and independent dealers, OEMs, financial institutions, rental and recovery companies and fleet operators.
The first OPENLANE branded marketplace will be launched in Canada where the company will combine the existing ADESA and TradeRev platforms beginning in June 2023. In the U.S., the company successfully integrated CARWAVE into BacklotCars in 2022 and is currently rolling out the new live-auction format on a national scale. Once completed, the company will focus on integrating its U.S. dealer-to-dealer and off-lease platforms into a new, combined marketplace. And in Europe, the company has completed its consolidation of the ADESA Europe, ADESA UK and GWListe dealer-to-dealer technology into a single, consolidated marketplace that is expected to also adopt the OPENLANE brand.
“KAR catalyzed the digital transformation of remarketing through our acquisition of OPENLANE in 2011. So, it is fitting to anchor the next era of our company—and our industry—on the OPENLANE brand,” Kelly said. “From CPO-ready off-lease cars to higher-mileage older vehicles, to fleet, rentals, recoveries and everything in between, OPENLANE will have the right car for every lot in every geography. And with thousands of unique users engaging on our marketplaces each day, sellers can have confidence they’re receiving the best, most competitive market price available.”
Tony Long will resign his position as Executive Director of IARA effective May 5, 2023. “We thank Tony for his many contributions to the organization and his overall commitment to the auto industry,” said IARA President Jeff Bescher. “Since becoming the third Executive Director of IARA nearly ten years ago, Tony has helped drive IARA’s growth and membership, overseen the implementation of our CAR and ACT industry leading training initiatives, and has been a significant part of making our annual Summer Roundtable meetings an industry standard. “We are grateful for Tony’s dedication to the mission of IARA and his many contributions to our success, and we wish him well as he navigates his next opportunities in a long and successful remarketing career.”
Bescher noted that in addition to being the executive director of IARA for nearly 10 years, Long is a past president of the National Auto Auction Association (NAAA), former president and fellow of the NAAA Warren Young Scholastic Foundation, and he received the highest award given to non-dealers when he was inducted into the National Independent Automobile Dealers Association (NIADA) Ring of Honor in 2021. Currently, the IARA Executive Committee is beginning to work on a strategic plan to fill the void left by Long’s departure, in addition to the day-to-day operations of the IARA.
IARA’s Nikki Jones-Wenger will continue to be a point of contact for members and others during the transition.
NIADA Partners with SecureClose
Staff Writer
April 28, 2023
SecureClose LLC, which provides an automated avatar loan closing system for a legally compliant, consistently transparent closing every time, along with e-sign and electronic vault, has been selected by the National Independent Automobile Dealers Association as its newest bronze National Corporate Partner.
Amos “Ace” Christian, the founder and CEO of SecureClose, has been a BHPH dealer for 27 years. Based on real-life experiences, Christian developed the SecureClose Avatar to provide a consistent, transparent customer experience, by combining a recorded avatar presentation of legally compliant disclosures, with electronic document presentations, E-Signature, and secure UCC Article 9 compliant cloud vault document storage.
SecureClose LLC is based in Mesa, Ariz., and is managed by Christian and President Stan Heintz ‑ both with extensive experience in BHPH operations.
“SecureClose was created to eliminate the ‘he said, she said’ that dealers face with consumers, who then go to regulators and attorneys with complaints,” Christian said. “Just this year, Jan 1 to Mar 31, consumers filed 1,681 complaints with the CFPB related to vehicle loans. That’s an 18.3 percent increase quarter over quarter and a 43.7 percent increase year over year. I want dealers to have proof, when these regulators come knocking, that they were transparent and compliant during their interaction with the consumer.”
Sales documents, finance contracts and other state-related documents are imported from the dealer’s DMS or CRM software. A recording (video and audio) of the closing is created as an avatar explains each document as if an attorney was in the room with the customer. Once the consumer confirms that they fully understand and agree to the content of each page, they digitally sign each document. Upon completion, the dealer’s “Authoritative Original” Retail Installment Contract and other documents automatically transfer into the SecureClose Vault along with the video recording. The customer also receives copies of the e-signed documents by email and can review the video closing for 10 days.
Tanner Litowski has been named the national remarketing manager at Central Auto Auction in Connecticut.
Born and raised in Canada, Litowski moved to the U.S. in 2011. He brings over 12 years automotive experience with him, most recently running a domestic franchise dealership sales department, that also included performing all trade appraisals, selling wholesale units and chasing inventory across the country from auto auctions and internet-based platforms.
“Tanner’s strong sales and internet skills are just what we need at Central Auto Auction as we continue to improve our grow our sale” said Anthony “AJ” Jasiak, Central Auto Auction General Manager.
Litowski said he is excited to bring his experience to Central Auto Auction.
“I believe that my knowledge of working on the dealer side of the business will help me succeed with improving the auction’s volume of inventory from both the dealers and commercial consignors,” he said.
Central Auto Auction was founded in 2006 and operates on approximately 12 acres, offering 3 lanes, full reconditioning services, including mechanical, transportation, title services, Auto IMS and Velocicast.
Oklahoma Auto Exchange Retains TPC Management Co.
Staff Writer
April 26, 2023
Oklahoma Auto Exchange, located in Oklahoma City, has retained TPC Management Company for strategic consulting in business development.
The auction was founded in 2005 and is headed by the father/son team of Mike and Kyle Clopton, now auction co-owners.
“From the beginning, Kyle and I have worked to develop the premier independent auction in this market, marked by a customer-focused auction operation,” said Mike Clopton. “We’re proud of what we have accomplished over the past 18 years, and feel the timing is right to expand our business as we work with Pierre Pons, Jiles Wanna and the team at TPC. We envision great possibilities as we strategize our future development and build our connections with the decision makers among the national commercial accounts”.
The auction offers up 700 vehicles including Dealer Consignment and Commercial Accounts every Wednesday in four lanes. The facility is completely enclosed to protect vehicles and customers from Oklahoma’s unpredictable weather. The physical footprint includes 125,000 square feet of indoor storage and auction space, situated on 18 acres of land. The auction has a six-bay detail and reconditioning shop, offers light mechanical services and in-house transportation, and includes a 2,500 square foot dealers’ lounge where customers enjoy free meals and a relaxing environment to look over sale lists. “The Cloptons have a passion for the auction business and are the ultimate competitors who put their customers first,” said Pierre Pons, president of TPC Management. “They have a large and loyal customer base among the new and used car dealers in the Midwest, and they have added a number of commercial accounts as well, several of which have recognized the auction for operational excellence and customer service over the years. As a matter of fact, the Cloptons were on the award podium again at the CAR Conference in March.”
Wanna, vice president of client services for TPC, celebrated the new partnership. “The motto at Oklahoma Auto Exchange is worthy of note: ‘If we don’t serve you, we don’t deserve you,’” said Wanna. “At the core of the auction is a commitment to the customer that is evident the moment a car arrives at check-in or a dealer sets foot in the door. It is exciting for us to work with an operation of this caliber to build its connections in the marketplace.”
Barrett-Jackson Sells VIN 001 E-Ray Corvette
Staff Writer
April 17, 2023
The world’s first electrified Corvette was sold during Barrett-Jackson’s 2023 Palm Beach Auction. The 2024 Chevrolet Corvette E-Ray 3LZ First Retail Production VIN 001 sold for $1.1 million, with 100 percent of the hammer price benefiting DonorsChoose, a national non-profit whose mission is to help classrooms in need. An additional $50,000 was donated to the charity from a generous Barrett-Jackson VIP in attendance.
“The atmosphere in the auction arena was supercharged during the bidding on the first retail production 2024 E-Ray,” said Craig Jackson, chairman and CEO of Barrett-Jackson. “The Corvette is ‘America’s Sports Car,’ and the sale of the first electrified version ever produced was an iconic moment as collectors coveted the chance to own a piece of automotive history. Barrett-Jackson has a long history of auctioning VIN 001 vehicles from General Motors to benefit deserving charities and we are proud to have had the opportunity today to help raise funds for our nation’s classrooms.”
NIADA Offers BHPH Training
Staff Writer
April 11, 2023
NIADA’s comprehensive BHPH General Management training promises to help current and prospective general managers learn the critical operational drivers necessary for running a successful BHPH dealership.
Senior 20 Group Moderator Ben Goodman will spend two days training management for BHPH/LHPH dealers during a session in Irving, Texas. The 12-hour course over two days is April 26 and 27. The cost is $549 for NIADA and 20 Group members, with a discounted group rate of $495 per person. For non-members, the class is $695.
“The management training is for existing BHPH owners, general managers and services managers,” Goodman explained. “We’re going to go into specific BHPH internal processes and operating guidelines, how to recruit, train and develop people, and sales.”
Goodman has spent nearly 30 years training and leading high-achieving sales teams in the subprime and BHPH markets, including 11 years with the nation’s largest BHPH franchise.
Attendees will develop a playbook for:
• Talent acquisition and retention
• Reducing reconditioning costs and shop inefficiencies
• Improving portfolio performance while reducing policy and warranty costs by effectively managing the post-sale customer service experience
• Coaching and motivating sales associates to develop leads; installing and managing a sales and underwriting process that will increase sales volume
• Recognizing red flags in your portfolio; turning your collectors into problem resolution managers; and compliance.
“It’ll cover the entire process from the general manger perspective. Anyone who is a general manager will profit from this class,” Goodman said. “I’m excited. It’s going to be a good class.”
Barrett-Jackson Offers Brian Kelly Collection
Staff Writer
April 11, 2023
Barrett-Jackson, the “World’s Greatest Collector Car Auction,” is offering nine spectacular vehicles from the Brian Kelly Collection, all with No Reserve. The 2023 Palm Beach Auction will be held April 13-15 at the South Florida Fairgrounds. Among the highlights is an iconic, one-year-only body-style 1963 Chevrolet Corvette 327/360 Split-Window Fuelie (Lot #733) that is one of only 2,610 equipped with a fuel-injected engine in 1963.
“Astute collectors worldwide turn to Barrett-Jackson when looking to sell their prized vehicles, and the Brian Kelly Collection is one of several head-turning groupings being offered at our Palm Beach Auction later this month,” said Craig Jackson, chairman and CEO of Barrett-Jackson. “From beautifully restored vintage Americana such as his 1954 Skylark convertible (Lot #684) to modern muscle like a 2022 GT500 Heritage Edition (Lot #762) with just 10 miles on the odometer, Brian’s collection of vehicles selling with No Reserve in Palm Beach will be immensely popular among our bidders.”
In addition to the 1963 Chevrolet Corvette 327/360 Split-Window Fuelie (Lot #733) with its matching-numbers engine, the Brian Kelly Collection also features professionally restored C1 and C3 convertibles: a stunning example from 1959 in Snowcrest White with silver coves (Lot #675) and a sleek 1970 model in Classic White with a black soft-top (Lot #371). The 1959 convertible is powered by its original matching-numbers 283ci engine (one of just 1,417 Corvettes so-equipped), which is topped with dual-quad carburetors and backed by a 4-speed manual transmission. The 1970 Corvette has only 34,301 actual miles and is powered by a 350ci V8 engine rated at 300 horsepower, with a 4-barrel carburetor and a 4-speed manual transmission.
A 1954 Buick Skylark convertible (Lot #684) received a professional frame-off nut-and-bolt restoration that earned it Best in Class awards at multiple Concours d’Elegance events. One of just 836 examples built for the 1954 model year, this Buick is powered by its matching-numbers 322ci Fireball V8 engine mated to a Dynaflow automatic transmission. This Skylark is finished in Arctic White with red wheel wells and a black convertible top over a red leather interior.
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Auction Raises Money for Veterans
Staff Writer
April 04, 2023
America’s Auto Auction Savannah held its “Get Lucky Sale” last month and collected $1,750 in dealer donations for a veterans organization.
Hundreds of vehicles from featured consignors packed the arena, drawing buyers from the surrounding regions. A free barbeque lunch and a $5,000 drawing brought over 400 dealers.
Team Savannah for Veterans focuses on helping vets in the Savannah/Low Country area. The group assists veterans through peer support and providing essential items that veterans may need to limit stress in their lives. Its goal is to create an environment for veterans to feel like they are a part of a family.
“We had a great group of dealers in attendance and the support to our local veterans was wonderful to witness,” said Katie Polk, auction manager.
NIADA Announces Sugar Ray Leonard as Keynote
Staff Writer
April 01, 2023
Gold medalist and the first boxer to win championships in five weight classes, Sugar Ray Leonard will share his drive for success as the keynote speaker for the National Independent Automobile Dealers Association’s Accelerate 2023 Convention and Expo. Leonard will speak at 4:30 p.m. June 20 at the Wynn Las Vegas.
Registration for the largest expo and convention for the independent auto dealer is underway at niada.com/convention. Early bird registration ends May 15.
Leonard began boxing at 14, winning three Golden Gloves, two Amateur Athletic Union and the 1975 Pan-American crown, before capturing the gold medal at the 1976 Olympic games in Montreal.
To help his family defray mounting medical costs due to his father’s illness, he turned professional following the Olympics.
At 20, he won his first professional fight to start his stellar career, which included winning welterweight, junior middleweight, super middleweight, and light heavyweight titles. He fought and won legendary bouts against Wilfred Benetiz, Roberto Duran, Thomas Hearns and Marvelous Marvin Hagler in his 20-year career.
Leonard started the The Sugar Ray Leonard Foundation in 2009 with his wife, Bernadette. Since its inception, the foundation has funded countless research projects and offered life-changing patient care for children living with type 1 and type 2 diabetes. The foundation is also committed to helping children lead healthier lives through diet and exercise, equipping them with the tools to be successful in health later on.
Leonard’s keynote address is part of the June 19-22 NIADA Accelerate 2023 Convention & Expo.
Hallett Announces Retirement
Staff Writer
March 31, 2023
KAR Auction Services, Inc., an operator of digital marketplaces for wholesale used vehicles, announces the retirement of executive chairman Jim Hallett. Hallett retains his seat on KAR’s board of directors while stepping down from his roles as executive chairman for KAR and chairman of the board of directors. Michael Kestner, who has served as lead independent director since 2019, has been named chairman of KAR’s board effective April 1, 2023, and Peter Kelly continues to serve as KAR’s chief executive officer.
“I am so proud of what we have accomplished at KAR, and it has been a true honor to serve our company, customers and industry over the last 47 years,” said Jim Hallett. “Each day I was humbled by the passion, energy and grit of our employees, and grateful for their dedication to our customers. Together, we transformed KAR’s brick-and-mortar business into a global digital marketplace for used vehicles. I have never been more confident in KAR’s strategy and leadership, especially with Peter at the helm—aside from being a great leader, he’s the best digital mind in our industry.”
Hallett’s tenure with the company spans more than 25 years. He was appointed executive chairman of KAR in 2021 after leading the company as CEO since 2009 and chairman of the board since 2014. Hallett joined the company in 1993 as president of ADESA Canada. He became CEO of ADESA in 1996 and led the company’s IPO in 2004. In 2007, Hallett architected the leveraged buyout of ADESA and merger with salvage auction provider Insurance Auto Auctions, Inc. Hallett took the combined company public in 2009, and in 2019 led the successful spin-off of IAA which generated significant value for KAR stockholders. Under Hallett’s leadership, KAR completed the acquisition of more than 50 wholesale auctions and other businesses, expanding the company across North America and Europe.
“Jim’s bold vision and dedicated leadership positively shaped our company and our industry for more than four decades,” said Peter Kelly, CEO of KAR. “From safety to philanthropy to digital transformation, Jim challenged everyone around him to think differently and pursue bold, new ideas. At KAR, Jim catalyzed our entrepreneurial spirit and culture of innovation, and set the vision for the digital leader we have become. I am very fortunate to call Jim a friend and a mentor, and all of us at KAR wish him the very best in his well-earned retirement.”
Hallett is recognized for his active philanthropy and advocacy for the health, safety and wellbeing of auto auction employees and customers. He is the recipient of numerous industry, business and community awards including the 2014 National EY Entrepreneur of the Year, 2017 United Way of Central Indiana Exceptional Executive, 2018 NAAA/IARA Industry Icon Award, 2018 Indiana Chamber Dynamic Leader of the Year, and 2019 NAAA Hall of Fame Award. A lifelong hockey fan, Hallett shares his love of the sport with the central Indiana community as owner of the Indy Fuel.
McConkey Wins IARA Award
Jeffrey Bellant
April 01, 2023
The International Automotive Remarketers Alliance presented Bob McConkey, president of McConkey Auction Group, with its Circle of Excellence Award.
“Not only is he a successful independent auction owner,” IARA President Jeff Bescher said, “but he’s been an intelligent, straightforward voice for all independent auctions, especially during his stint as NAAA President.”
IARA Chairman Paul Seger gave a brief snapshot of McConkey’s career, starting at South Seattle Auto Auction.
“From there he served as general manager of the Southern California Auto Auction, and actually doubled its size in less than three years, making it the world’s largest auto auction,” Seger said. “That was back in 1992.”
McConkey was also co-founder of DAA Northwest, and also owns DAA Seattle and DAA Las Vegas.
He co-founded Auction Pipeline, now known as Auction Edge and served as National Auto Auction President in 2009.
Seger also praised McConkey for his charity work, raising nearly $300,000 for various groups.
McConkey confessed that when IARA was first formed, he didn’t pay it much respect initially, but that changed.
“I can tell you that over the years, the IARA has been one of the most influential organizations that our industry has,” McConkey said.
He congratulated IARA’s 23-year run and the training and education it provides.
McConkey also talked about the great relationships and “deep, strong friendships” he’s made of the years in the industry.
“That’s by far the most important part of this whole ride that I’ve been on these past 40 years,” he said. “As a business, we’re well into the next generation and we’ve continued to innovate as I ride off into the sunset.
“Our organization is committed to the future and the next generation.”
He closed by thanking IARA for the award.
