Under‑appraised trade‑ins and missed profit on used inventory

$20,000–$40,000 per month in missed front‑end gross for a 50‑unit store, driven by 8–15 trade‑ins per month sent to wholesale or priced too low at retail, each leaving roughly $2,700 of unrealized profit on the table. • $27,000–$54,000 per month in lost gross profit for a 50‑unit store, assuming 10–20 trade‑in units per month are under‑appraised or wholesaled instead of retailed at an additional ~$2,700 per unit. • For a 50‑unit store, 10–20 trades per month are under‑appraised or wholesaled instead of retailed, losing roughly $2,700 in front‑end gross per vehicle, or about $27,000–$54,000 per month in missed gross profit.

Ad hoc mix of book values, gut feel, and back-channel checks: pulling NADA/KBB on a browser, calling or texting known wholesalers for bids, scribbling notes on paper appraisals, and keying final numbers into the DMS without a unified decisioning tool. • The F&I Manager and used‑car manager rely on gut feel, auction run lists, phone calls and texts with known wholesalers, and ad‑hoc spreadsheet lookups of recent auction sales instead of a unified, data‑driven appraisal and pricing tool. • The Sales Consultant collects basic trade details on paper or a simple worksheet, then the desk and used‑car manager eyeball book values, check a few online listings, and ping wholesaler contacts by text or phone to guess at an acceptable number.