AUTOMOTIVE data intelligence platform AutoGrab is relaunching Dealer Direct, its trade-only wholesale marketplace, as a multi-seller platform with exclusive supply from huge used car marketplace, Carro, and from CarBuyers.com.au. 

Until now Dealer Direct has been run with a dozen or so wholesale listings from a single supplier, CarBuyers.com.au.

But, as a result of an arrangement with Carro starting this week, the 3500 dealerships and wholesale buyers on the AutoGrab network will get their first look at an additional 500 to 700 used vehicles a month.

Carro is one of the largest used-car marketplaces in Asia-Pacific. Founded in Singapore in 2015, it operates across eight markets.

Attracted by the 2.3 million used vehicles sold in this market each year, Carro entered Australia in June through the acquisition of CarPlace operated by Autoleague. Carro operates showrooms in Western Australia and Queensland and wholesale operations in Victoria.

Under the partnership, Carro’s wholesale vehicles in Australia are listed on Dealer Direct first.AutoGrab commits to notifying its full buyer network whenever a Carro vehicle appears, which gives Carro national distribution into an active dealer base from the day it lands, without building buyer relationships one by one or relying on auction houses.

CarBuyers.com.au, part of Tony White Group, purchases vehicles directly from the Australian public. Since 2009, it has built a trusted cash-for-cars service that delivers instant phone offers, on-site inspections, and same-day cleared funds.

AutoGrab told GoAutoNews Premium that under this new arrangement these wholesale vehicles are exclusive to Dealer Direct. They will not be offered through auction houses nor shopped to other channels first, said AutoGrab.

The company said that every AutoGrab user will have access to the cars through their AutoGrab subscription. No onboarding is necessary however AutoGrab’s customer service teams will be in touch with customers shortly to take them through the workings of the marketplace system.

AutoGrab says there are no additional fees for access to the platform or to bid for vehicles. Successful bidders will pay a flat fee of $200 per purchase.

Dealer Direct has been AutoGrab’s business-to-business vehicle wholesaling marketplace. It sits alongside AutoGrab’s vehicle valuation, sourcing and market data tools, which are already in daily use across the network. 

The product has existed for several years with one supply partner and desktop-only access. The relaunch rebuilds it as a live, mobile, multi-seller marketplace with mobile app access in addition to desktop access.

Every vehicle listed on Dealer Direct is inspected by VerifiInspect before it appears on the platform and carries a full digital condition report. VerifiInspect is an independent, nationwide vehicle inspection network.

“We are poised to reach buyers who are ready to transact, and AutoGrab gives us that from day one,” said Carro general manager of wholesale Hugh Schiavello in a statement.

“We gain immediate access to 3500 dealerships and wholesale buyers who are actively sourcing stock on the platform every day, with every relevant buyer notified the moment one of our vehicles is listed.

“This win-win partnership gives Carro an efficient, scalable channel to move wholesale inventory, while AutoGrab’s dealer network gains direct access to quality stock from one of the region’s leading automotive marketplaces.

“Together, we’re creating a more connected and efficient wholesale ecosystem for Australian buyers.”

The chief commercial officer at AutoGrab, Saxon Odgers, told GoAutoNews Premium, “We  have 1000s of dealerships logging into AutoGrab every day to price cars and to source cars”. 

“So, we saw an opportunity to grab that audience who traditionally buy cars via auction houses, through trading -in and privately, plus all various other acquisition pathways, and give them  access to hundreds of good quality wholesale vehicles in our system via our mobile app with  ease,” he added.

“At the same time they will be able to use our comprehensive dataset to understand the ‘retailability’ of the car, the competitive landscape in which that car will operate once it lands in  stock, and they’ll be able to bid in the comfort of their dealership, or interact with the listing at home.

“Then the car will be delivered to their door via our two launch partners in Carro and CarBuyers.

“We have invested heavily in our notification technology meaning we will be able to notify all users when cars become available. You’ll be able to turn notifications on, as you would with all apps on your phone, and be notified when fresh cars hit the system.

“AutoGrab already has a comprehensive notification filtering system where we’ll be able to bring the right cars to the right buyers.

“We know in this volatile market our customers need to make buying decisions backed by data and our customers will get in DealerDirect the same comprehensive dataset that AutoGrab provides for them to really understand what the car is worth, what they should buy it at, where  is it going to sit competitively, how long is it going to stay in their yard, and really bid based on  those contributing factors, which is a clear point of difference.

“There is nothing similar to it available.”

Referring to the VerifiInspect piece of the puzzle, Mr Odgers said AutoGrab customers would be  able to buy with confidence.

“Each vehicle, whether it be from Carro or CarBuyers, will come with a comprehensive VerifiInspect report, meaning the car has been mechanically inspected; the interior and exterior.

“The dealership will have a full analysis of the condition of the vehicle, the service history, the  exterior paint, and any potential recommended reconditioning costs.

Saxon Odgers

“So there’s full transparency before they bid and before they buy and that’s part of the value proposition to give the dealerships confidence in what they’re buying.

“Once a bid is successful, either Caro or CarBuyers will reach out to the winning dealer and arrange transportation of that vehicle to their dealership door.

Ben Gittins, at CarBuyers.com.au, said in a statement, “We’ve been buying cars from Australian households since 2009, so we know what a good retail vehicle looks like”.

“Dealer Direct puts those cars straight in front of the dealers who’ll sell them, without the layers of a traditional auction. It’s a better outcome for the seller, the dealer and for us,” he added.

How a vehicle moves through Dealer Direct:

• A vehicle from Carro or CarBuyers.com.au is inspected by VerifiInspect and listed on Dealer Direct with its condition report.
• AutoGrab notifies its full network of 3500 dealerships and wholesale buyers as the listing goes live. 
• Dealers assess the vehicle against AutoGrab’s data on the retail market and likely margin, and bid or buy in the app. 

The case AutoGrab makes to dealers 

• Exclusive access: the stock is on Dealer Direct and nowhere else, so dealers aren’t competing with every other dealer in the country for it at auction. 
• Quality: the brands and models customers actually want, held to a standard before they reach the dealer. 
• Reliability: independent inspection on every vehicle, so a dealer knows what they’re buying before they pay, without seeing it in person. 
• Control: With AutoGrab’s market data on every listing, Dealer Direct is built so the dealer decides what they buy, the margin they’re targeting and how long they want to hold it.