GreenGiant

Ranty Friday 13 May - for 1 week only

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This AutoTrader Part Exchange Valuation Tool discrimination thingy…

 

A bit of background for those who are unaware of what it’s all about:

 

Notwithstanding the fact that they have no real experience in retail sales (except, perhaps, the odd vial of snake oil or two), but, as they are keen to lecture us, are fully switched on to the digital age, AT have taken it upon themselves to try and become the Masters of the Universe that we call the motor trade and not just be the advertising portal that we thought they were (and pay them to be).

They have seemingly invented their own ‘Cosmic Key’ and are using it to take control by promoting products that directly compete with our offerings such as Finance (Zuto) and Insurance (Comparethemarket). Obviously generating revenue for themselves via intro commissions (or else why do it?) and slowly evolving into a ‘one-stop-shop’ for car buyers (OUR customers).

Probably as a result of pressures from the City to generate even more revenue, they are also constantly trying to find ways to squeeze THEIR paying customers (us) harder and harder by monetising every single piece of data and every interaction. Think Ryanair. Only greedier.

This two-pronged assault on our businesses is obviously having an effect. We are all seeing a decline in enquiries and the only truly profitable dealers are having to be very cute by buying and selling cars that are a bit different from the norm. The regular, standard-spec family car is not a big earner for anyone any more. Fact.

But that’s not enough. Now it seems they’re trying to get involved with the actual nitty-gritty buying and selling of cars. There are rumours of links with Auction Houses, Car-Buying services and Car Supermarkets. Links that, if true, will chip away more of what we do best and will undoubtedly put ordinary dealers out of business and result in an unrecognisable Motor Trade where, eventually, there will only be PLC-owned superstores and street corner banger traders. Is this a good thing?

The chipping-away has already started. The Part Exchange Valuation Tool is being rolled out at enormous expense (Media ads, front page banners etc) and we are told that it is a wonderful thing that will drive more enquiries and, by default, generate more sales. And they are giving anyone who wants to know the trade value of any car you want to mention. Just from a reg no and mileage. A superhero feat any He-Man (or She-Ra) would be proud of, if it were that simple (I’m not going to go into how rubbish the valuations are, or how flawed the data is they use). Anyway, this we can be associated with for FREE! (for now…)

We do, however, have the right to opt out if we feel that, actually, we don’t need their help in valuing a car and many have obviously done so. What they have shockingly failed to inform us, however, is that this opt out will result in NONE of our cars being returned in searches by people looking for cars on AT that select the ‘Part Exchange’ route through their site.

This is a scandal and an outrage. What they have basically said is “use our valuations or we won’t publish your ads” Except they haven’t actually said it to anyone, but have just implemented it anyway. And still they charge the earth.

Fair and transparent? I think not.

Dodgy, legally? I think so. If not, it should be.

Tip of the iceberg? I hope not, but there are always wheels within wheels and ulterior motives and this tells me that AutoTrader Group PLC are not ones to be trusted in the short, medium or long term. So I’m very, very suspicious of everything they do.

I get that they are a PLC now and have to maximise their revenue. I also get that a lot of dealers don't really care and this issue doesn't affect everyone in the Trade at the moment - but I believe it will, eventually, as it is, as someone posted, the thin end of the wedge. A wedge that is  slowly being   driven into the heart of our industry


 

I was going to write an open letter to AutoTrader is by way of a Public Complaint. But I’m not going to bother. No, they haven’t bought me off, but they’re too important to listen to critcism or pay any attention to those pointing out their obvious mistakes either. So it’ll just be a waste of time and effort.

Instead, I’ve copied the following excerpts from various comments posted by various dealers on various forums this week on the subject (with great respect to and acknowledgement of the respective contributors and forum administrators) so you can gauge the depth of feeling for yourselves.

They could do the honourable thing and admit they’d made a mistake, stop discriminating against those that disagree with them and their methods and arrange immediate and suitable compensation for those affected.

Yeah, right. And Julie and Kevin will beat Skeletor in an arm wrestle too.

 

Shocking, that's why I didn't opt out. The best is they will start to charge for it before long. I wonder if it breeches any contracts or laws?

It is bang out of order but I suppose only to be expected by the increases in advertising revenue that they have been applying these last few years including removing the D/D discount.

It will be interesting to see just how they respond to this shock that 168,563 vehicles disappear once the PX button has been chosen in search for those who have already said No to the tool during its so called Free Trial? They have not been open or transparent with this but now their cover has been blown wide open for all to know.

Now I also find that even though I am paying for the ultimate all singing all dancing top  paygo package my cars are not seen by most people as there is nowhere to say that we take px, no one told us this was happening it just happened, I wonder if I can have a refund because my cars are not seen by everyone and no one told me...Make no mistake this PX tool is laced with bad news and quiet honestly it seems they are shafting once again their trade customers. No other product from them has removed completely a companies entire used car stock from appearing in a search if they have declined the PX tool. And almost half the stock disappears from  return after ticking that box! 

The Part Exchange check box may be tucked away on the Desktop version, but it is very prominent on the front page on the mobile site though. I would think that there are many people that would tick it in this case.To arbitrarily remove ads because we don't want one of their 'features' is extremely shady business practice in my view.

wow i see what you mean…. this is typical of AT , im so quiet im thinking of doing other things, never been as quiet as before and i have cancelled my part ex trial as the prices were ridiculous, sadly what can we do though ?? they have us by the short and curlies, we all know they don’t listen and arent interested, thinking of just using eBay, so sad

I don’t understands AT obsession with the part exchange value thing. Its a given that dealers take part exchanges so to advertise they don’t is purposely misleading customers. I understand that they want to offer px prices as it keeps customers on the AT site and just stops then quickly searching a car on AT, then the same search on ebay, motors etc etc but to force us dealers to pay for something that we don’t want, need or have any interest in just so our cars display is bang out of order!!!

Surly the brains at AT can come up with something more useful to customers as well as dealers? If it has to be the px value let it be free and if dealers want to opt out they can do full in the knowledge that there cars won’t display in some results. The way they seem to be going about it just seems a bit shady.The jobs hard enough to make good money at the minute…….

SO: We either will be paying A/T for the privilege of supplying customers with information that is potentially wrong, and could stand in the way of a deal, OR: we don’t pay for that, and then get excluded from searches full stop?Extortion sounds extreme, but I suspect the dictionary definition of that word does match what is going on.

AT should be treating us with the upmost respect, not like dogs that need to be trained what to expect and do… Its outrageous !

I’m not surprised in the slightest, its what market leaders do and will continue to do

The valuation tool is flawed It’s also discrimination, if you opt out you are segregated and if like me a trader club dealer (pay up front) you have no choice at all!! totally wrong

Should it not be the other way around ‘DOES NOT ACCEPT PX’ and not charge us either.

I get the impression AT don’t care about us smaller dealers and are only interested in the big companies,what does it matter to them if the independent forecourt that holds 20 cars doesn’t advertise with them anymore? its only £2200 per month they will be losing. Small change

If its such a great product why have so few dealers bothered keeping it Autotrader?

The number of vehicles being returned within the search when you tick and untick the box shows the stats.

Totally agree. We cannot be held to ransom by AT. Sounds dramatic but that’s exactly what is happening.

 

 

 

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Shocking, I remember Ebay employing some similar big brother tactics when they allowed the buyer the right to leave negative feedback but not the seller that was the end of my partners on line business.

 

Guess the only way AT would ever take notice if there customers started voting with there feet and went elsewhere.

 

 

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How do the px figures stack up ? One that springs to mind for us was a golf r32 that it overvalued by just over £1000. 

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I hear there was an AutoTrader P/X valuation ad during half time of the Europa final. More potential customers (albeit from Liverpool and Seville) that won't be seeing our cars...

Edited by GreenGiant

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I've just called the digital relationship team on 03451110002 and explained that with the px button selected, within 1 mile of our postcode the available cars drop from 23 cars to 12 (these 12 being 1 dealers stock), the advisor sounded surprised, he went to get the office iPhone and couldn't find the button! We suggested that he updated the Iphone, he then recognised the issue, he went on to tell us that their stats suggest that less than 1% of customers use the button, I told him that recently as many as 2 out of 3 customers offer us their part exchange, why wouldn't they select that option if they had a p/x???. 

There's no option for me to sign up for this awful flawed px tool as due to bad health I can't pay a monthly contact, so pay per car. I'm going to write an email over the weekend, complaining that we have never been warned our stock could become invisible if someone ticks a box saying they'd like us to consider a p/x, we'd love the opportunity to! Indeed ironically we select "p/ex welcome" instead of ono, ovno etc in the drop down after the price!!!

I got the feeling the guy I spoke to had genuinely not come across this before, he assured me my concerns would be reported.

Maybe every one could call, whether on an A/T contract or pay as u go, at least if we all tied up their representatives for a while they may notice us??

We've checked the app on Iphone, Ipad, Android phone and Android tablet and the button is present with all of them, with the good old trusted pc it's hidden below the "more" button.

Paul

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They all know about it. They might pretend they don't but they certainly do. 

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