Off The Lot And Onto The Web: Wisconsin Dealer Finds Success Using eBay Motors

September 2006, Auto Dealer Today - WebXclusive

by Rob Chesney - Also by this author

There’s hope for the unsold used car at the back of the lot, scorned by countless potential buyers and with two months of tenure over the rest of its faster-selling companions. There’s also hope for the used-car manager, whose gross profit numbers fall as that car sits and sits and sits.

The hope is in an alternative to the traditional wholesale and retail methods of selling used cars.

In 2001, John Parello’s business wasn’t exactly booming. After Sept. 11, the economy took a turn and his sales began to lag, so he began looking for alternative solutions to jumpstart his business. That’s when he found eBay Motors.

“I am in a small town, and I couldn’t continue to compete with the big dealers,” Parello, owner of Parco Auto Sales in Trevor, Wis. said. “The used car market dried up as more people were choosing to buy new because of the financing options offered on new cars. I needed a way to save my business.”  

Parello listed his first car on eBay Motors in 2002. Today, Parello sells 100 percent of his vehicles on eBay Motors.

“Business was so bad for so long. If it wasn’t for eBay Motors, I would still be struggling or even out-of-business,” Parello said. “I don’t think I’ve shown or sold a used car to a customer off my lot in over a year.”

More and more dealers are turning to eBay Motors as an effective tool to increase both interactivity and efficiency. The site continues to see massive traffic, with approximately 9.9 million unique visitors per month. Research shows that a vehicle sells every 1.1 minutes on eBay Motors.

Parello is impressed with the convenience online selling offers and with the educated buyers eBay Motors brings. One of his favorite eBay Motors selling anecdotes is of how he was at a local auto auction for over six hours, and during that time he sold two cars on eBay Motors.

“Two cars sold, and I wasn’t even at my office,” Parello said. “When I put a car on eBay Motors I know the buyers are searching for a specific car. It’s not like people thumbing through the newspaper picking out maybes. eBay Motors’ buyers know what they want and narrow their search down accordingly.”

Parello is amazed at how many cars he is selling across the United States. He is pleased that his inventory is no longer limited to a small, local market and is amazed at eBay Motors is taking his business to a new level.

“I’m taking my product to the entire country instead of waiting for buyers to come to me,” Parello said. “I have sold cars from Pennsylvania to California. I sell so many cars out of state that shipping companies have trouble keeping up. My vehicles have a limitless, national audience, and you just can’t put a price on that.”

Parello attributes his success to adapting with the times and embracing the technologies that are at his fingertips.

“You are not going to make money in the used car business by waiting in your office anymore,” Parello said. “There are no customers driving down the street looking for used cars. In order to be successful, used car dealers need to take their cars to the customer via the Internet. Times are changing and you have to adapt if you want to survive.”

Parello sums up the eBay selling process as convenient, lucrative, and easy.

“Many dealers are still trying to find ways to reduce inventories and increase cash flow, Parello said. “I already found the most cost effective, safe and simple way. It’s eBay Motors.”

Vol 1, Issue 1

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