CARFAX – What Are You Thinking?

Who has seen CARFAX’s NEW Price Calculator?

CarFax has apparently decided to take it upon themselves to determine how their own CarFax history report “should” effect the price of your dealers inventory.

Why even go there?

Stick to your core product CarFax – History Reports NOT Pricing!!

I can see me yanking CarFax off my website real soon.

Is it time to consider AutoCheck??

Carfax vs. AutoCheck

What do you guys & ladies think of this??

We also have a discussion over on the forum about this. Feel free to share your thoughts here and in the forums.

CarFax Car Values and their NEW Price Calculator

Jeff Kershner

I’m the founder of DealerRefresh. I got my start in the dealer business when I was 18. From there I've worked throughout several departments within fixed to variable ops. Whether it’s managing the desk, perfecting sales process or studying online marketing and media trends, I absolutely love this business and the challenges it brings. On top of keeping up with DealerRefresh, I consult with dealerships and key industry businesses. My passion has been and continues to be helping dealers leverage new media to sell and improve customer service.

Please note: I reserve the right to delete comments that are offensive or off-topic.

86 comments
Imriven
Imriven

As a consumer I think it's useful to see what has happened to a car in its history because 90% of the time a sales person isn't going to say this car has been in an accident. Plus carfax only has reported incidents on it. The car could have been through more than anybody knows about. Plus there are tons of appraisal tools out there for figuring out prices for used cars, I don't think this is really a big deal. Edmunds has an app that I think is pretty amazing but I'm curious what the sales people think about it.

Jim
Jim

and if its any consolation, after that 09 Mercedes was sold 2 years later, it now has a +500 price adjustment lol

Jim
Jim

and if its any consolation, after that 09 Mercedes was sold 2 years later, it now has a +500 price adjustment lol

Jim
Jim

I have a carfax report on all of my vehicles, and never once has a customer even brought this up. Its not a big deal. Is it stupid? Very. But their price evaluations mean absolutely nothing. Ive had 1 owner vehicles with 15 service records that had the same 'price adjustment' as wrecked vehicles. So yes, its a dumpsterfire for Carfax to be doing, but it hasn't affected anything with my sales.

Jim
Jim

I have a carfax report on all of my vehicles, and never once has a customer even brought this up. Its not a big deal. Is it stupid? Very. But their price evaluations mean absolutely nothing. Ive had 1 owner vehicles with 15 service records that had the same 'price adjustment' as wrecked vehicles. So yes, its a dumpsterfire for Carfax to be doing, but it hasn't affected anything with my sales.

Auto Appraiser
Auto Appraiser

I'm an Auto Appraiser, I specialize in Diminished Value, I'm in the process of negotiating a settlement with another appraiser using the carfax price adjustment as fact. This is simply outrageous! The value on Crafax for a 10K wreck is minus $450.... this makes no sense whatsoever! http://www.diminishedvalue.co

Auto Appraiser
Auto Appraiser

I'm an Auto Appraiser, I specialize in Diminished Value, I'm in the process of negotiating a settlement with another appraiser using the carfax price adjustment as fact. This is simply outrageous! The value on Crafax for a 10K wreck is minus $450.... this makes no sense whatsoever! http://www.diminishedvalue.co

Linda Bolin
Linda Bolin

WHAT IS IS THE VALUE OF MY2008 DODGE GRANDE SE VIN 1D8HN44H688137246 SPORTS VAN 3.3L V6 SFIOV FRONT WHEEL DRIVE

Linda Bolin
Linda Bolin

WHAT IS IS THE VALUE OF MY2008 DODGE GRANDE SE VIN 1D8HN44H688137246 SPORTS VAN 3.3L V6 SFIOV FRONT WHEEL DRIVE

JOEL MIKRES
JOEL MIKRES

It seems we car dealers are once again circling the wagons. i'm fed up with it. I will not be dictated to by these arrogant bastards. I canceled my car-fax account. Imagine if every dealer in America did the same thing.

JOEL MIKRES
JOEL MIKRES

It seems we car dealers are once again circling the wagons. i'm fed up with it. I will not be dictated to by these arrogant bastards. I canceled my car-fax account. Imagine if every dealer in America did the same thing.

Bruce Hartz
Bruce Hartz

Dale, Thanks for the clarification on the fact that you now have the ability to adjust for low ball listings. My assumption was based on a conversation I had in a vAuto training class over a year ago where I kind of stumped the trainer with that low ball scenario. I will also pass this info to our Used Car Managers and please accept my apology for assuming this issue was not addressed in a timely manor or at all.

Bruce Hartz
Bruce Hartz

Dale, Thanks for the clarification on the fact that you now have the ability to adjust for low ball listings. My assumption was based on a conversation I had in a vAuto training class over a year ago where I kind of stumped the trainer with that low ball scenario. I will also pass this info to our Used Car Managers and please accept my apology for assuming this issue was not addressed in a timely manor or at all.

Gerald
Gerald

Rob-

Amen- It isn't about the pricing objections. But what I can't stand is how these vendors are constantly trying to win influence of consumers (Autotrader's trade-in value and the new Carfax fiasco) illustrate to me their marketing departments may not be hitting on all cylinders. The dealers are the ones who pay their bills, and they need to be finding ways to strengthen those relationships, not trying to win over customers (I realize Carfax's success is largely predicated on being branded as the de facto vehicle history check).

I have been with dealers who have used either system, and for me, the Autocheck scoring system is probably the strongest argument for a premium price for your vehicle when it scores higher than the average vehicles.

As one earlier comment pointed out, customers may ask for the Carfax, but when showed Autocheck, and the differences explained, I have never had a customer decline the Autocheck.

Gerald
Gerald

Rob- Amen- It isn't about the pricing objections. But what I can't stand is how these vendors are constantly trying to win influence of consumers (Autotrader's trade-in value and the new Carfax fiasco) illustrate to me their marketing departments may not be hitting on all cylinders. The dealers are the ones who pay their bills, and they need to be finding ways to strengthen those relationships, not trying to win over customers (I realize Carfax's success is largely predicated on being branded as the de facto vehicle history check). I have been with dealers who have used either system, and for me, the Autocheck scoring system is probably the strongest argument for a premium price for your vehicle when it scores higher than the average vehicles. As one earlier comment pointed out, customers may ask for the Carfax, but when showed Autocheck, and the differences explained, I have never had a customer decline the Autocheck.

David Robertson
David Robertson

The price of a used car is impossible to be determined by some nation wide service. However, due to the massive amounts of people who try to provide this service the validity of what they are saying, even in the customer's eyes, is being extremely diluted. Market conditions including availability and demand consistently effect the price of used vehicles far more than many of the things that these companies use to determine the price. I had thought of carfax as a company trying to protect the consumer but I don't believe that this new product falls upon those lines. CarFax should stick to what they are almost good at.

David Robertson
David Robertson

The price of a used car is impossible to be determined by some nation wide service. However, due to the massive amounts of people who try to provide this service the validity of what they are saying, even in the customer's eyes, is being extremely diluted. Market conditions including availability and demand consistently effect the price of used vehicles far more than many of the things that these companies use to determine the price. I had thought of carfax as a company trying to protect the consumer but I don't believe that this new product falls upon those lines. CarFax should stick to what they are almost good at.

Alex Snyder
Alex Snyder

Had a great call with CarFax yesterday. I have a better understanding of how this value system works, and on some levels I think it makes sense.

HOWEVER

I still take issue with CarFax getting into this game at all. I say that because we have not had the negotiation issues over CarFax results in the past. Now we have a lot of them. Basically, CarFax has created a whole new negotiation point that was barely there before.

Are our sales people better versed at handling it today: Yes.

Do we feel CarFax needed to take us here: No.

Alex Snyder
Alex Snyder

Had a great call with CarFax yesterday. I have a better understanding of how this value system works, and on some levels I think it makes sense. HOWEVER I still take issue with CarFax getting into this game at all. I say that because we have not had the negotiation issues over CarFax results in the past. Now we have a lot of them. Basically, CarFax has created a whole new negotiation point that was barely there before. Are our sales people better versed at handling it today: Yes. Do we feel CarFax needed to take us here: No.

Troy Shields
Troy Shields

@Rob Thanks and I agree that it was/is ill conceived on CarFax's part. Unfortunately we dealers are dealing with the CarFax's, Autotrader's, Cars.com's, AutoChecks, etc of the world that have revenue streams from both the end consumer and the dealers.

That, in itself, is a conflict of interest. On one hand CarFax charges the dealer a very big fee for each report that is pulled. Then Carfax advertises to the buyers to go into every dealer and "Ask for the CarFax" which the buyer gets for no addition cost to them( and do not realize that some dealers pay as much as $40 for it).

As I mentioned in my second post on this thread, CarFax is becoming more Apple/Steven Jobs-like by the day. They set up these strategic alliances with the CPO programs and sites like Autotrader.com and once they feel that they are in the driver's seat enough they do what they please.

Unfortunately this product adds no value to the CarFax report for the customer or the dealer. It's just something someone at CarFax thought was neat, but it is more something that just muddies the already murky used car waters even more.

Troy Shields
Troy Shields

@Rob Thanks and I agree that it was/is ill conceived on CarFax's part. Unfortunately we dealers are dealing with the CarFax's, Autotrader's, Cars.com's, AutoChecks, etc of the world that have revenue streams from both the end consumer and the dealers. That, in itself, is a conflict of interest. On one hand CarFax charges the dealer a very big fee for each report that is pulled. Then Carfax advertises to the buyers to go into every dealer and "Ask for the CarFax" which the buyer gets for no addition cost to them( and do not realize that some dealers pay as much as $40 for it). As I mentioned in my second post on this thread, CarFax is becoming more Apple/Steven Jobs-like by the day. They set up these strategic alliances with the CPO programs and sites like Autotrader.com and once they feel that they are in the driver's seat enough they do what they please. Unfortunately this product adds no value to the CarFax report for the customer or the dealer. It's just something someone at CarFax thought was neat, but it is more something that just muddies the already murky used car waters even more.

Rob Fontano
Rob Fontano

@Troy with all due respect, This discussion has never really been about what the feature does or how it works. Based on what you are saying it is further evidence that we (dealers) are left to figure it out for ourselves and try and create our own spin on the product. It's never been about handling a $300 objection. I can't imagine anyone on this forum lacking the sales skills to overcome price objections.

The bottom line is that Carfax added a feature to OUR Websites that gives the customer pricing information that is contrary to what we have posted. Their spin is that we can say "Yes Mr. Customer we priced this car based on the - $300 History Impact" Does anyone really believe that is what the consumer is seeing when they see the History Impact figure? They are seeing a discount, a discount provided by a trusted third party right there on the dealers website that contradicts what the dealer has posted as their selling price.

The bottom line for me is that this was an ill conceived product launch with little or no consultation with the people that are paying for it, the dealers.

This discussion has been going on nine days now without any interaction form Carfax other than the company line. I have not heard from my rep and she is aware of these discussions as I am sure all of their reps are. Carfax is playing a waiting game. Pretty soon we'll all grow tired of this. Some will switch to Autocheck, but most with CPO obligations will not. In any event Carfax should be held to a higher standard. They have left the vendor / partner relationship behind and have become the dictator of our business practices. That is a relationship that I am not comfortable with.

Rob Fontano
Rob Fontano

@Troy with all due respect, This discussion has never really been about what the feature does or how it works. Based on what you are saying it is further evidence that we (dealers) are left to figure it out for ourselves and try and create our own spin on the product. It's never been about handling a $300 objection. I can't imagine anyone on this forum lacking the sales skills to overcome price objections. The bottom line is that Carfax added a feature to OUR Websites that gives the customer pricing information that is contrary to what we have posted. Their spin is that we can say "Yes Mr. Customer we priced this car based on the - $300 History Impact" Does anyone really believe that is what the consumer is seeing when they see the History Impact figure? They are seeing a discount, a discount provided by a trusted third party right there on the dealers website that contradicts what the dealer has posted as their selling price. The bottom line for me is that this was an ill conceived product launch with little or no consultation with the people that are paying for it, the dealers. This discussion has been going on nine days now without any interaction form Carfax other than the company line. I have not heard from my rep and she is aware of these discussions as I am sure all of their reps are. Carfax is playing a waiting game. Pretty soon we'll all grow tired of this. Some will switch to Autocheck, but most with CPO obligations will not. In any event Carfax should be held to a higher standard. They have left the vendor / partner relationship behind and have become the dictator of our business practices. That is a relationship that I am not comfortable with.

Troy Shields
Troy Shields

Question for the board:

For years some dealers have used the "CarFax One-Owner Car" sticker/designation as a way to justify listing one particular unit higher than another. The conventional wisdom being that if I have a 5-year old car that is a one-owner and dealer "X" down the street has the same make/model with similar miles that has had three owners mine is worth "a little" more because of it's "one-owner" status. We have all done it. But HOW much more is it worth? $100/$500/$1000?

Who knows? It's arbitrary.

It seems to me that all CarFax is doing is putting a dollar figure on the data that they are providing; not a value on the car as a whole. If you look at the example the "Book Value" block is blank and CarFax instructs you to go to the vehicle valuation tool of your choice to enter that amount.

So is this tool really valuating your cars or valuating the information that they are already providing?

If they are only monetizing the already available information on the vehicle then I really don't see what the fuss is about.

Troy Shields
Troy Shields

Question for the board: For years some dealers have used the "CarFax One-Owner Car" sticker/designation as a way to justify listing one particular unit higher than another. The conventional wisdom being that if I have a 5-year old car that is a one-owner and dealer "X" down the street has the same make/model with similar miles that has had three owners mine is worth "a little" more because of it's "one-owner" status. We have all done it. But HOW much more is it worth? $100/$500/$1000? Who knows? It's arbitrary. It seems to me that all CarFax is doing is putting a dollar figure on the data that they are providing; not a value on the car as a whole. If you look at the example the "Book Value" block is blank and CarFax instructs you to go to the vehicle valuation tool of your choice to enter that amount. So is this tool really valuating your cars or valuating the information that they are already providing? If they are only monetizing the already available information on the vehicle then I really don't see what the fuss is about.

Mark
Mark

@Troy I sent you that pdf although what @Mitchell posted was exactly what was in the file.

Mark
Mark

@Troy I sent you that pdf although what @Mitchell posted was exactly what was in the file.

Mitchell D Brenner
Mitchell D Brenner

That's why I don't believe testimonials. How about putting all the negative blogging going on in their testimonials and give a true picture of what dealer's actually think? I don't expect this to cost us any sales and I certainly know our inventory well enough to know we'll never be hurt by the info shown. That's not the point. It's that CarFax took it upon themselves to "add" this value and if we, as dealers, don't want it, too bad! I also believe the information has no validity in the real world of the auto business. I'm sure the stuffed suits in corporate loved the idea (as long as they never have to be in a dealership dealing with the negative ramifications this WILL eventually bring) Remember, the more information we give the customer the more they think they know. We all, in the actual car business, know that a little knowledge is dangerous and if we don't know where these arbitrary numbers are derived from, how can our customers know? It's top secret CarFax information (I see the guy in the lab coat now with his evil laugh just making up numbers as the reports are run)

If CarFax wants to present the truth then they need to put up the negative and not just the positive from the 2 that do out of 10,000 dealers that don't like this.

Again, do I think this will cost us sales? No! Does that matter to me? No! I just think it's another layer thrown over what are too many as it is! I am also worried to the fact that as all the vendors try to one up each other with the next great "enhancement" we will see someone posting what customers should pay for each vehicle in the country and we will be watching used car profits go the way of the dodo bird (and the new car department)

Mitchell D Brenner
Mitchell D Brenner

That's why I don't believe testimonials. How about putting all the negative blogging going on in their testimonials and give a true picture of what dealer's actually think? I don't expect this to cost us any sales and I certainly know our inventory well enough to know we'll never be hurt by the info shown. That's not the point. It's that CarFax took it upon themselves to "add" this value and if we, as dealers, don't want it, too bad! I also believe the information has no validity in the real world of the auto business. I'm sure the stuffed suits in corporate loved the idea (as long as they never have to be in a dealership dealing with the negative ramifications this WILL eventually bring) Remember, the more information we give the customer the more they think they know. We all, in the actual car business, know that a little knowledge is dangerous and if we don't know where these arbitrary numbers are derived from, how can our customers know? It's top secret CarFax information (I see the guy in the lab coat now with his evil laugh just making up numbers as the reports are run) If CarFax wants to present the truth then they need to put up the negative and not just the positive from the 2 that do out of 10,000 dealers that don't like this. Again, do I think this will cost us sales? No! Does that matter to me? No! I just think it's another layer thrown over what are too many as it is! I am also worried to the fact that as all the vendors try to one up each other with the next great "enhancement" we will see someone posting what customers should pay for each vehicle in the country and we will be watching used car profits go the way of the dodo bird (and the new car department)

Mitchell D Brenner
Mitchell D Brenner

Here's the CarFax spin. We dealers love it according to them:

What Dealers Are Saying About CARFAX® History Impact™
Version: 05/03/10
Dealer Testimonials:
John Donnelly, Findlay Automotive
Jeff Prince, Internet Manager, Lou Fusz Automotive Group
Tim Mort, GM, Chapman Automotive Group
“Before putting any car on our lot, it’s important for us to know what a customer might expect to pay for
that car. The CARFAX History Impact gives a clear understanding of how information reported to
CARFAX adjusts the retail book value that our customers already use in their research.We’re confident
that our vehicles are priced competitively in the market and we’re holding gross on each sale.”
Dealer Blogs:
Terryville Chevrolet:
This feature is a closing tool and really hurts nobody smart enough to use it that way...
Lets say it says a vehicle is worth $350.00 less than book value.
How does that hurt you at all?
Unless you own the vehicle for way too much $$$ it is not going to hurt to sell the vehicle for $350 under
a book value that does not even exist.
I think this was implemented as a closing tool to get people into a buying mindset and out of a shopping
mindset. It assures them it is a safe bet and a good deal to purchase that vehicle for $x.xx +/- "book
value".
Park Place Dealerships:
I could not agree more with these statements - This is an opportunity, not an obstacle.
In fact, the last time I checked, a good salesperson welcomes objections so he/she can overcome them
on the road to the sale. If you are the dealer then you have the CARFAX value information at your
fingertips and can plan the proper responses to any objections.
Aren't most of your cars priced competitively for the market? Can't you justify/back up the reason your
car is slightly more expensive?
Did you know that you can plug in whichever of the "book values' you select? How many instances will
there be where the CARFAX pricing adjustment is in your favor as a dealer? Don't you already use the
CARFAX as part of the sales process to enhance value?
Our CARFAX representative has been in constant communication with us about this change for almost
two months, so it is absolutely no surprise to us.
I am surprised by some of the names on this forum who are opposed to this additional bit of information
being supplied to the public - what happened to 'transparency' and 'openness'?!?
What Dealers Are Saying About CARFAX History Impact Page 2
May 3, 2010
@ Joe - Are you saying that people asking for a Kleenex is a knee jerk reaction to a need to wipe their
noses? I think you might be missing the bigger issue...what is wrong with associating your brand with
another nationally recognized and respected brand?
Unknown Dealership:
@Patrick… you have 71 vehicles that this “devalues” by a grand total of $240 dollars!?
What am I missing here? Either, on average, the cars on your lot are priced right where they should be
“on average” and your sales people do not understand the how to handle a third party
question/objection OR your dealership will not discount the 71 cars on your lot by an average of $3.08
to sell them.
It looks like CARFAX is helping you in this case.
CARFAX is just adding value to it’s services (kind of like we should in the car business). We just want to
continue to so the same crap over and over and expect to make more and more money. Then when we
see empty bank accounts and small commission vouchers we, like so many of our customers who buy
below invoice, point the finger at everyone but ourselves.
I guarantee you that the figure on the CARFAX report is way more than a customer would offer on their
own most of the time. Then again, I also bet that you will get an offer lower than the number on the
CARFAX report 9 out of 10 times.
So really, is the problem the figure on the CARFAX report or the value in the customer’s mind.

Mitchell D Brenner
Mitchell D Brenner

Here's the CarFax spin. We dealers love it according to them: What Dealers Are Saying About CARFAX® History Impact™ Version: 05/03/10 Dealer Testimonials: John Donnelly, Findlay Automotive Jeff Prince, Internet Manager, Lou Fusz Automotive Group Tim Mort, GM, Chapman Automotive Group “Before putting any car on our lot, it’s important for us to know what a customer might expect to pay for that car. The CARFAX History Impact gives a clear understanding of how information reported to CARFAX adjusts the retail book value that our customers already use in their research.We’re confident that our vehicles are priced competitively in the market and we’re holding gross on each sale.” Dealer Blogs: Terryville Chevrolet: This feature is a closing tool and really hurts nobody smart enough to use it that way... Lets say it says a vehicle is worth $350.00 less than book value. How does that hurt you at all? Unless you own the vehicle for way too much $$$ it is not going to hurt to sell the vehicle for $350 under a book value that does not even exist. I think this was implemented as a closing tool to get people into a buying mindset and out of a shopping mindset. It assures them it is a safe bet and a good deal to purchase that vehicle for $x.xx +/- "book value". Park Place Dealerships: I could not agree more with these statements - This is an opportunity, not an obstacle. In fact, the last time I checked, a good salesperson welcomes objections so he/she can overcome them on the road to the sale. If you are the dealer then you have the CARFAX value information at your fingertips and can plan the proper responses to any objections. Aren't most of your cars priced competitively for the market? Can't you justify/back up the reason your car is slightly more expensive? Did you know that you can plug in whichever of the "book values' you select? How many instances will there be where the CARFAX pricing adjustment is in your favor as a dealer? Don't you already use the CARFAX as part of the sales process to enhance value? Our CARFAX representative has been in constant communication with us about this change for almost two months, so it is absolutely no surprise to us. I am surprised by some of the names on this forum who are opposed to this additional bit of information being supplied to the public - what happened to 'transparency' and 'openness'?!? What Dealers Are Saying About CARFAX History Impact Page 2 May 3, 2010 @ Joe - Are you saying that people asking for a Kleenex is a knee jerk reaction to a need to wipe their noses? I think you might be missing the bigger issue...what is wrong with associating your brand with another nationally recognized and respected brand? Unknown Dealership: @Patrick… you have 71 vehicles that this “devalues” by a grand total of $240 dollars!? What am I missing here? Either, on average, the cars on your lot are priced right where they should be “on average” and your sales people do not understand the how to handle a third party question/objection OR your dealership will not discount the 71 cars on your lot by an average of $3.08 to sell them. It looks like CARFAX is helping you in this case. CARFAX is just adding value to it’s services (kind of like we should in the car business). We just want to continue to so the same crap over and over and expect to make more and more money. Then when we see empty bank accounts and small commission vouchers we, like so many of our customers who buy below invoice, point the finger at everyone but ourselves. I guarantee you that the figure on the CARFAX report is way more than a customer would offer on their own most of the time. Then again, I also bet that you will get an offer lower than the number on the CARFAX report 9 out of 10 times. So really, is the problem the figure on the CARFAX report or the value in the customer’s mind.

Troy Shields
Troy Shields

@Mark, could you forward me that pdf? I really don't appreciate CarFax trying to make a case off my post. Although I can handle a pricing tool objection, I still feel that they are acting very Steve Job/Apple -like in not telling dealers and/or buyers where their information is coming from.

I guess if they told us they were using Blue Book, NADA, or other base-line pricing that they would have to pay up on some royalty money like htc did with microsoft last week.

email: carsignco@gmail.com

Troy Shields
Troy Shields

@Mark, could you forward me that pdf? I really don't appreciate CarFax trying to make a case off my post. Although I can handle a pricing tool objection, I still feel that they are acting very Steve Job/Apple -like in not telling dealers and/or buyers where their information is coming from. I guess if they told us they were using Blue Book, NADA, or other base-line pricing that they would have to pay up on some royalty money like htc did with microsoft last week. email: carsignco@gmail.com

Mark
Mark

BTW, CarFax is aware of this post - I got a .pdf from an unnamed sales person that included text about "what dealers are saying" about this new product -that was copied and pasted from Troy Shields comments as 'unknown dealer'.

Mark
Mark

BTW, CarFax is aware of this post - I got a .pdf from an unnamed sales person that included text about "what dealers are saying" about this new product -that was copied and pasted from Troy Shields comments as 'unknown dealer'.

Mark
Mark

We've been happy AutoCheck customers for some time. The "objection" of showing an AutoCheck report vs. CarFax is quickly and easily overcome, just like if you hand someone a generic tissue when they ask for a Kleenex. What they really wanted was a tissue, just like what they really want is a history report.

eBay switched their integrated reports to AutoCheck - and according to Nielsen net ratings - eBay Motors is the #1 trafficked automotive website - so look for AutoCheck to gain brand recognition ground on Carfax rapidly.

The only real drawback is the exclusive agreements CarFax holds with sites like AutoTrader.

Mark
Mark

We've been happy AutoCheck customers for some time. The "objection" of showing an AutoCheck report vs. CarFax is quickly and easily overcome, just like if you hand someone a generic tissue when they ask for a Kleenex. What they really wanted was a tissue, just like what they really want is a history report. eBay switched their integrated reports to AutoCheck - and according to Nielsen net ratings - eBay Motors is the #1 trafficked automotive website - so look for AutoCheck to gain brand recognition ground on Carfax rapidly. The only real drawback is the exclusive agreements CarFax holds with sites like AutoTrader.

Patrick
Patrick

@Troy... Sure, if I found a customer to buy all 71 vehicles at the same time for the magical "book value(?)" carfax pricing, then yes, I would surely thank them.

Otherwise, I like to keep brain damage to a minimum, personally.

Patrick
Patrick

@Troy... Sure, if I found a customer to buy all 71 vehicles at the same time for the magical "book value(?)" carfax pricing, then yes, I would surely thank them. Otherwise, I like to keep brain damage to a minimum, personally.

Troy Shields
Troy Shields

CarFax is just adding value to it services (kind of like we should in the car business). We just want to continue to so the same crap over and over and expect to make more and more money. Then when we see empty bank accounts and small commission vouchers we, like so many of our customers who buy below invoice, point the finger at everyone but ourselves.

I guarantee you that the figure on the CarFax report is way more than a customer would offer on their own most of the time. Then again, I also bet that you will get an offer lower than the number on the CF report 9 out of 10 times.

So really, is the problem the figure on the CF report or the value in the customer's mind.

Troy Shields
Troy Shields

CarFax is just adding value to it services (kind of like we should in the car business). We just want to continue to so the same crap over and over and expect to make more and more money. Then when we see empty bank accounts and small commission vouchers we, like so many of our customers who buy below invoice, point the finger at everyone but ourselves. I guarantee you that the figure on the CarFax report is way more than a customer would offer on their own most of the time. Then again, I also bet that you will get an offer lower than the number on the CF report 9 out of 10 times. So really, is the problem the figure on the CF report or the value in the customer's mind.

Troy Shields
Troy Shields

@Patrick... you have 71 vehicles that this "devalues" by a grand total of $240 dollars!?

What am I missing here? Either, on average, the cars on your lot are priced right were they should be "on average" and your sales people do not understand the how to handle a third party question/objection OR your dealership will not discount the 71 cars on your lot by an average of $3.08 to sell them.

It looks like CarFax is helping you in this case.

Troy Shields
Troy Shields

@Patrick... you have 71 vehicles that this "devalues" by a grand total of $240 dollars!? What am I missing here? Either, on average, the cars on your lot are priced right were they should be "on average" and your sales people do not understand the how to handle a third party question/objection OR your dealership will not discount the 71 cars on your lot by an average of $3.08 to sell them. It looks like CarFax is helping you in this case.

Rob Fontano
Rob Fontano

They seem to be focusing their efforts on defending the product and how it benefits everyone, instead of opening a dialog. It seemds that they have not learned what most large companies have known for several years, that you cannot ignore blog posts until they go away. Just ask Michael Dell what happens when you bury your companies head in the sand while your customers scream.

Rob Fontano
Rob Fontano

They seem to be focusing their efforts on defending the product and how it benefits everyone, instead of opening a dialog. It seemds that they have not learned what most large companies have known for several years, that you cannot ignore blog posts until they go away. Just ask Michael Dell what happens when you bury your companies head in the sand while your customers scream.

Brian Pasch
Brian Pasch

From a number of clients that have called me,, it looks like AutoCheck will be having the best sales month in the company's history in May 2010.

The fact that CarFax did not respond to Alex's questions, when they said that they would is telling.

By their actions, some might even say that this forum of passionate dealers is NOT worthy of interaction, comments or engagement.

Now, what else can you feel when they ignore a social media engagement?

Brian Pasch
Brian Pasch

From a number of clients that have called me,, it looks like AutoCheck will be having the best sales month in the company's history in May 2010. The fact that CarFax did not respond to Alex's questions, when they said that they would is telling. By their actions, some might even say that this forum of passionate dealers is NOT worthy of interaction, comments or engagement. Now, what else can you feel when they ignore a social media engagement?

Rob Fontano
Rob Fontano

This is one of the responses that I got from Carfax.

"The History Impact figure has been on dealer run CARFAX reports for about 3 months now with pretty good reviews. The consumer version launched this week and this is the first response I’ve had from any of my groups. It’s really no different than the CARFAX expert saying a car is worth $500.00 more because of low mileage, good service, etc. The expert has been on the report for over 2 years telling customers this.

The new version of the History Impact now takes into consideration accidents and other negative indicators so some numbers will/are negative. We’re not telling dealers/consumers what vehicles are worth we’re only letting them know that based on the history of the car it should be worth +/- more or less. If a car has a negative History Impact I would let a consumer know that we took that into consideration when we priced the unit."

In my opinion the explanation does not address the root of the problem.

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  1. [...] This post was mentioned on Twitter by Jeff Kershner, Pacific Dealer. Pacific Dealer said: CARFAX – What Are You Thinking?: Who has seen CARFAX’s NEW Price Calculator? CarFax has apparently decided to tak… http://bit.ly/9D0HGb [...]