Market Conditions Commentary
 
Simulcast is King now and will be the world wide ruler of our future, so get used to it now.
by Robert Hollenshead
Feb 20 2012 2:42PM
It has become clear to me that simulcast is the winner in the race to find the answer to the question of how we will be buying and selling  in the future.  Simulcast or a version of it will be the heavyweight champion of the remarketing world. 

Static listings will go away for professional serious sellers.Statics are little league no matter how you dress them up.  They simply don’t work to sell in any volume at a professional conversion rate or to find ACV in any way shape or form  that simulcast can’t crush.  Static formats  require too much wasted time and wasted research.  They  convert near nothing, and certainly nothing that a live sale doesn’t dwarf.  The ability to reveal the condition, touch the potential market and create the emergency where fear and greed collide is where simulcast hits its stride and leaves the statics in the rear view dust.  It  maintains the unique beauty of an auction.  A live auctioneer counting down an piece of merch that will have a new owner in the next 30 seconds.  God, I love it.

It was near magic watching the screen from the auction block at our sales last week. For a second I felt like Vince from the info-mercial slapping away on his chopping device except I was chopping up cars as opposed to potatoes.   Really serious action, not a hit here or there. It has taken years for this to become a reality, but we’re here now.  It has cost us millions in goodwill insanity to create the trust, but I can’t lie, it was worth it.   I make it an absolute habit to sell regardless of price when the last bid is a simulcast bidder.  I refuse to frustrate a willing buyer showing me the confidence of bidding on my merch without seeing it.  But now we are seeing the fruits of the sacrifice.  God, I love that even more.

My pig headed stubbornness  of knowing this is how we are going to do business so put your head down and take your beating like a man, albeit a dumb one, is paying off.  Thanks to all of you guys and girls that have got this model to the point that it works for all of us.  I am sure you have gotten banged up a bit as well.  If any of you have problems with the units you buy from me, need help at the auction in general, or think you were treated unfairly, I want you to contact us directly.  You all have my cell number, and you have the number of Sheikh Basim, 732 666 8888.  You also have the number at the shop in Manheim, 717 664 2700. 

If someone answers the phone and you don’t feel as if you got the correct answer, call me direct. 

Thanks to all of you guys and gals, you know I love you all  (even if you don’t love me back).  I really am here to make your experience dealing with us and with Manheim the best it can be. 

Sell Well, and smile, it doesn’t cost anything. 

Robert Hollenshead
Founder and President
R. Hollenshead Auto Sales Inc.
1373 Lancaster Road - Manheim, PA 17545
E-mail: bob@buybooktech.com


9 Readers' Comments

1
Yakov Bandura
Syracuse
NY 13206
10 years ago
Hi Bob,

I agree 110% with you. SIMULCAST IS THE FUTURE!!! I BARELY GO TO ANY AUCTIONS NOW ADAYS. TOO BAD NOT EVERY DEALER ACKNOWLEDGES IT. I THINK YOU ARE THE KING OF SELLING ON SIMULCAST TOO. NO LANE IN THE WORLD HAS OVER 700 DEALERS LOGGED IN AND BUYING EVERY WEEK. THAT'S A FACT. MOST OF THE CARS HAVE CRS. PLUS WE ALL HAVE YOUR WORD THAT THE CAR IS GOOD. IT GIVES CONFIDENCE AND SECURITY TO ALL OF US OUT THERE BUYING IN LANE 22. LANE 22 IS DEFINITELY UP AHEAD ON SIMULCAST.

2
Yakov Bandura
Syracuse
NY 13206
10 years ago
I THINK IF NO SIMULCAST FOR YOU THEN YOU ARE DOWN BIG TIME. I REMEMBER WHEN SIMULCAST SHUTDOWN IN THE FALL FOR 2 HOURS. THAT WAS A NIGHT MARE. HOPE IT NEVER HAPPENS AGAIN. GET SOME GOOD STUFF FOR THIS FRIDAY. WE ARE READY TO ROLL. SELL WELL!

3
Waael Mohamed
Franklinvill
NJ 08322
10 years ago
Thanks Bobby; always appreciate your insight as it has been helpful in our business. We look forward to your posts every week. Regarding Simulcast, we only trust its use in your lane because of the guarantees you put behind each car. This is what separates you from the rest.

Wally & son

4
Frank Curcio
Gainesville
FL 32609-2372
10 years ago
POST Part 01 of 02:

Bob, love your writing, but this one you have slanted towards only SELLERS on Simulcast. Now I know I’m a little fish in a big pond, and I can play hardball with the big boyz, but Manheim’s Simulcast is not all it’s cracked up to be, or as Manheim would like you to think. Simulcast may have grown, and will continue to grow, but not nearly at the pace it has the capability to grow UNLESS Manheim addresses the fundamental problem. Which, by the way Manheim has an all time ostrich performance and rarely acknowledges the problem. I have discussed this matter personally with the Simulcast Programming Team Leader, and his challenge as I see it, is that he’s not a car dealer and has never actually purchased a car on Simulcast himself, with his own money that is. In Bob’s own words, “Dis Guy ain’t go no skin in the game.”

OK, ok, so, what’s the fundamental problem with Simulcast ? Answer: FRAUD. Yes, that’s right, Fraud (Oh, look out, the Manheim hammer is comin

5
Frank Curcio
Gainesville
FL 32609-2372
10 years ago
POST Part 02 of 02:

So, how is it different in the lane ? Simple, as a BUYER, it is your responsibility to become astute and sufficiently aware of what is happening around you, and if the Manheim Auctioneer bids you up against the wind blowing from the East, it’s your job to either call him on it, OUT LOUD, or shut up and buy the car cause you’re an idiot. Sounds pretty simple to me.

Now, on Simulcast, you don’t have that luxury, yeah, I got that part. But the problem is MANHEIM, as the Manheim Auctioneer is NOT your friend (oh, I forgot, not your friend IF you’re the Buyer).

So, as you describe the future of Simulcast, I submit your characterization of the Future of Simulcast is farther away than you might think, and really only serves the simulcast Seller. When this horse trading business acknowledges the Buyer is half of this transaction, AND the Manheim leader decides to adopt a slim element of ethics, then, yes, simulcast will be the heavyweight champion of the remarketing

6
Frank Curcio
Gainesville
FL 32609-2372
10 years ago
world.

We ain’t there yet, and have a long way to go.

7
Robert Hollenshead
MANHEIM
PA 17545
10 years ago
Thanks for the input Frank. It's a good perspective, but I think a live forum to discuss this could help both sides get more comforable.

8
Edward Hurst
Schuylkill Haven
PA 17972
10 years ago
Bob,

What does Simulcast and E-bay have in common? You wouldn't buy something from a seller on E-bay with bad feedback? So a buyer isn't going to buy a car with a sub-par condition report. If Manheim would grade a car based on the year, miles and condition for the year, it would help both the buyers and sellers.

How is fair to grade a 2010 car with 15,000 miles the same as a 2006 with 65,000 miles. The older car is always going to fall short. Cars were meant to be driven and are going to have normal wear and tear. Manhiem picks apart everything to the point were the buyer always has to error on the side of caution. The floor buyer has the chance to inspect the car before hand and has the advantage. So your right if the floor buyer is paying $3,000 over MMR on a 2.5 or 3.0 graded car he is right and Manhiem grade is wrong.

9
Robert Hollenshead
MANHEIM
PA 17545
10 years ago
Edward,

You are 100% correct and I have been screaming this since it began. That has gotten me a reputation with Atalanta that I am a lunatic. No good deed goes unpunished. I tried to make non-car dealers understand what we need and it is interpreted as “Manheim bashing” and I have become a pariah for it. I just want the truth, not a variation of their interpretation of what we need as buyers and sellers. They are in charge. We have no alternative. That makes them right. But it also makes it pig-headed dumb, and we are left to dance to music with no rhythm.

Ed,

With zero skin in the game, or any understanding of what we do, they have no hope of getting it. It’s just like an English teacher, teaching Chinese to a Argentinian that does know Chinese to begin with. What chance of a solution is there?

This is why I have spent a lot of time and money developing a CR that is by a seller, for a buyer, and gauarantee it. No need for any thing else.

Thanks for you co-validat