Market Conditions Commentary
 
Breaking news, great article, high five or suicide?
by Robert Hollenshead
Jun 6 2012 1:00PM
So I was just reading about a record breaking auction in Southern California where 178 units were sold of 244.  Great press.  Very interesting.  A 60% sale ratio, high five, or suicide?

I have 700 units that will be sold in the 17545 tomorrow and Friday.  We do everything we can to keep that fact a secret.  If I sold 178 cars at an auction I’d lay down in front of a loaded, 80,000lb, 10 car carrier going 80MPH.  Even with no marketing, no profiling, no contact with our buyers of any kind (unless it is to prevent a sale in the post-sale process where we the seller, the only player that should be included in the conversation to keep cars sold…on sale day…not a week later) are eliminated from the conversation (which is the wildest thing that has de-volved in the auction process), we will sell 95% or 670 units, on the block, make no mistake.

The idea that the market is picking up or stabilized is silliness.  The market is flooded with weeds and a very selective few are hot.  Prices, if you are actually going to sell, not play with yourself, are plummeting.  It is still possible to catch a unknowing numb skull to buy on last month’s MMR, but don’t bank on it or you will be walking around high fiving with other 30% sellers that co-validate unsustainable, pathetic, embarrassing results.  The fact that you found someone else to co-miserate with that is capable of  talking themselves into believing these conversion rates are acceptable to the health of their business or the auction process, doesn’t make it true.

If you look at our Pre-sale inventory it doesn’t seem possible.  In four days we have accumulated 700 trades that consist of zero rentals, zero re-shuffled auction slugs, zero auction rejects, and zero cars we are “repping".

I will leave you with this;  look at the pre-sale listing at Manheim Pa.  Sort by Hollenshead, Thursday lane 10, Friday lane 23 and lane 5.  What you will find is inventory that exists no place else in North America…and it is for sale, not for appraisal with a silly story.  It is represented to the best of my ability to be transparent, which includes Vehicle History comments (I don’t know of any other seller that does that, even when it is negative).  If you feel that we have done anything to mislead you in your buying, call me direct.  Never call the auction because that inevitably leads to misunderstanding, frustration, and loss of will to do business with us.  You might pay too little, you might pay too much, but you won’t get a dog when you thought you bought cat.

Rules are made to protect the middle of our transactions, not to help us do business.  I don’t care who you are, where you are from, what language you speak, who you are going to vote for, what your wife says about you, even if you don’t pull the weeds in your garden.  When you have an issue with something that I sold you, call me, the owner of the car.  Not somebody that is looking ion a rulebook to find a reason for us not to do business.  It’s for your own good.

Do your research, pay attention, scratch your head when I do something stupid (like sell a unit $6,000 under the money, something I am totally capable of), take advantage of me if you can.  I got $14,000,000 in metal that will be cash in the next two days, mak no mistake about it.  Every one is a surgically extracted trade in that will have a new home by Friday at 3PM.

And if my results are 178 sold of 244, expect a nice article in the Philadelphia Inquire (or maybe even CNN), that the world’s largest volume privately held wholesale car dealer has been run over by a car carrier headed to East Jabip and it looks to investigators that he jump smack out in front of the truck, it was no fault of the driver.  Mecka Noma Stecka Jecka, ain’t gonna happen.

Got to fly, still have 248 units to clean for tomorrow.

Sell Well!


5 Readers' Comments

1
Barry Wolf
CHERRY HILL
NJ 08003
7 years ago
Very positive words here....hope it registers in the minds of the readers that 95% of what runs in your lanes will be sold...

2
Robert Hollenshead
MANHEIM
PA 17545
7 years ago
Thanks Barry, How have you been?

3
Kevin Nachbar
Overland Park
KS 66211
7 years ago
I will be on-line contributing to your continued success. I have begun the the process of buying vehicles with higher miles and lower grades on the condition report. I have focused over the years buying 2 to 3 year old vehicles with grade 4 & 5 less than 30k miles. How times have change. I bought vehicles this week with 90k miles but the pedigree was right. Clean Car-fax, service history we will see how it works out. My biggest concern is my salespeople, they have been spoiled to the point that that haven't had sell anything. Bob I like your style you know where the rubber meets the road I don't need any practice I need the cars.
Kevin

4
Robert Hollenshead
MANHEIM
PA 17545
7 years ago
Kevin,
I am here to help any way possible. if you buy something you feel was unfairly represented. I will give it to Molle to take it to the sale there. I appreciate your business and please say hello to John and the crew. I miss those guys.

Over the past couple of years I have been very busy with Trade in Marketplace and a few other technology related products that you will be hearing about and hopfully using soon. Call me if you have anything I can help[ you with.

5
Kevin Nachbar
Overland Park
KS 66211
7 years ago
10-4