Market Conditions Commentary (Archive 2011-October)
With nearly 40 years in the wholesale automobile business, our founder Robert Hollenshead offers his insights on the market and where it is going -- info to help your business succeed!
by Robert Hollenshead
10/22/2011 3:30:24 PM

Simulcast was smoking.  I want to thank all the dealers that were in our simulcast sale whether you participated or not.   There were a total of 720 dealers logged into our lane Friday at the 17545, lane 22.  This represents a new one day record if I am not mistaken.  The simulcast action was stellar and I feel good about the results.   We didn’t make any money, but I feel certain we made friends.   In many cases I sold cars that I would buy again today for more than I sold them for.  A buyer that gives me the respect of logging on my lanes and bidding on cars will find that if we are within spitting distance of what I need to sell, he’s going to buy a car. 

Sounds stupid, right?  Probably is, but I am all about not wasting a guy’s time.  It’s Pavlovian.  Positive reinforcement that causes behavior modification.  Come back and do it again.  If that costs me money by selling units below

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by Robert Hollenshead
10/20/2011 7:06:30 PM

The market is like  mush all over the country, in particular on average cars with average miles.  This is what I call mud.  You can sell water and you can sell dirt, but there ain’t no price for mud. 

We’re going into Friday with 500 tit up units.  I just walked the lane and if I don’t say so myself, it looks like a car show.  If you are in the mid-west set the alarm a smidge early because we have to start a bit early and rip.  I’ll be selling until four in the afternoon so there will be no half stepping.  Cadence will be called at the double time and the only thing that may slow us down is an act of God (earth quake, terrorist attack, nuclear meltdown or a similar occurrence) but I doubt it.   I have anything anybody is looking for and every one of these foster cars will be assigned to a new family when the dust settles tomorrow afternoon.

It’s 7PM and I have the adrenalin pumping

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by Robert Hollenshead
10/15/2011 12:35:21 PM

The market was like hooking a giant marlin and losing it because the gaff broke getting it on the boat.

It was like making the Majors and breaking an ankle on the first day.

It was like planning a trip to Machu Picchu and having it cancelled due to SENDERO LUMINOSO blowing up the train.

I can’t remember a streak like this in my life. I have always said that I live a blessed existence because wholesale is not related to retail.  You simply buy everything that has more than two wheels and sell every one of them before the motor cools down, every week.   That leaves you slap on the market, liquid, and ready to bang.

This is the first time that for eight  weeks we are in a market that reflects the general news on CNN and it seems to have a direct effect on the block.  Nobody has balls or knows what, why, how or who.   It’s like our elected officials

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by Robert Hollenshead
10/13/2011 4:03:14 PM

If you need cars you better pay attention. Friday in the 17545 (Manheim Pa) I am on a mission to sell every car that hits the block. I see this market continuing to deteriorate before it comes back so if you are bidding I am selling regardless of price. Make no mistake Jake, I will be taking the doe and letting them go. If you don’t want cars you still should tune in as it will be entertaining watching me sell everything for whatever they bring. I think in refined circles this is defined as an absolute auction. If you get insulted with salty phonological communication, turn down the volume just before 9AM. 


I can feel it coming, I’m letting loose. Let me apologize in advance if it sounds like an HBO special, but this market is so frustrating I have two options; let it out, or have a stroke. I’m letting it out. I still have tuition to pay for eight employees, three God children and a few grand kids. Tune in. This ain’t going to be

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by Robert Hollenshead
10/9/2011 10:28:19 PM

For the second week in a row I sold at less than 100% of MMR average.  In my world this doesn’t happen.  I sold just under 400 units on the block and 575 total for the week.  My share of those sold on the block amount to 14% of the total auction.  The fattest of the fat units really did rocket money, but that is a very small percentage of the total units that hit the block.  Perfect, no strike sports cars even brought brain death money, but anything that has a half of a strike, not one strike, a half a strike is like pulling wisdom teeth out of a giraffe to get anyone close to winking at mile adjusted MMR.  

It’s getting to the point with Lexus product, which I buy and sell  more of than Lexus dealer in the world, is becoming a pain on my fat head. They have fallen of the value scale.  Short of sporadic simulcast action, nobody cares.  I sold about 150 of them this week with another 200 for this week.  In my wildest

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