Dealers Keep Improving Key Metrics Using Recon Software

Dealers Keep Improving Key Metrics Using Recon Software

Average days in recon speed is increasingly important as online selling stimulates more sales from cars still in recon.

Rapid Recon has released its latest update on dealers’ progress toward improving their key reconditioning performance metrics.  

From May 2020 through March 2021, users of this speed-to-sale software reduced their Average Days in Recon (ADR) performance by 25% and their Time to Line (T2L) execution by 11%, the company said. 

“Most revealing in this continued improvement is these dealers made these gains despite the pandemic slowdown and the current remarkable demand for used cars. The data show that these dealers continue to get cars sale-ready fast to meet this record demand,” said Anthony Martinez, Rapid Recon director of client services. 

These improvements translate into two days’ faster reconditioning, which at NCM Associates’ $40 per day per car holding cost average means an extra $80 per vehicle in gross margin. Across 100 vehicles, the gain is $8,000.  

ADR measures from when recon staff first start work reconditioning a vehicle until all steps are completed from mechanical to photography. T2L is a total count of days, from vehicle acquisition through ADR until the finished car is released as sale- and delivery-ready. The T2L best practice is five to seven days. 

ADR speed is increasingly important as online selling stimulates more sales from cars still in recon.  

Martinez identified three characteristics exhibited by dealers improving these critical performance metrics: 

  • A commitment to continuous improvement of processes by which they bring used cars to sale-ready status more quickly. 
  • A consistent focus on using the software to identify and remove approval delays and create real-time communications and information sharing among crucial fixed and variable operations personnel, from lot tech to dealer principal. 
  • Aggressive reach-out and interaction with Rapid Recon’s Client Services team, including virtual and onsite performance management recon experts for an in-depth consultation, process and performance reporting and analysis, and shared best practices. 

For more information, visit www.rapidrecon.com

You May Also Like

Vero, Privacy4Cars Partner on Identi-FI, Identity Theft Protection

Auto dealers within the Identi-FI program will be able to offer Vero’s suite of identity theft tools to customers as a revenue-generating service add-on during the sales process.

Vero announced an exclusive partnership with Privacy4Cars to offer Identi-FI, a full-circle solution that protects against personal data abuses by providing peace-of-mind vehicle data deletion and ID theft recovery.

The solution pairs Privacy4Cars' patented AutoCleared and Vehicle Privacy Report tools with Vero's 3-Generation Fully Managed Recovery (FMR), providing a comprehensive solution that is available now as a membership subscription to qualified auto dealers and distributors.

JM Family Enterprises Names President & COO

As president and COO, Chait will be responsible for all company operations within JM Family, working closely with the senior leadership team to execute on company strategies and drive key initiatives. 

Cars.com 2024 Dealer of the Year Awards

The awards recognize the best local car-shopping experiences across America.

Holmes Honda in Shreveport Receives 16th President’s Award

The President’s Award recognizes superior achievement in customer satisfaction, new-car-unit sales volume and business management.

Tim Lamb Group Brokers Sale of Foothills Lincoln Mazda

The Spokane, Washington, dealership has been rebranded but will be keep all existing Foothills team members at their current seniority.

Other Posts

Reducing Worries for Dealership GMs

No GM wants to be pulled away when something comes off the rails or slammed by unexpected events they thought were being managed by our products.

Reducing Worries for Dealership GMs
Service Satisfaction Improves but Appointment Wait Times Continue to Grow, J.D. Power Finds  

According to the study, dealers continue to grapple with parts and labor shortages that are fueling longer wait times for appointments.

700Credit Integrates with One View

This integration will allow dealerships to store sensitive consumer information including credit reports and required compliance documentation through a secure integration into the digital deal jacket.

WarrCloud Study: Cost of Processing Auto Warranty Claims Increases by 28%

The study examined current practices surrounding warranty claims, human resource allocations, and the mechanisms of tracking and streamlining service department costs.