Vehicle Personalization Program

Post on 26-Jan-2017

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Transcript of Vehicle Personalization Program

Presented To:

Vehicle Personalization

Program

Tale Of Two Trucks

Tale Of Two Trucks

9 out of 10 buy

accessories

Is there an opportunity?

6 out of 10 spend $1,500

Only 5% buy at dealership

80% want to buy from

dealer* Reynolds and Reynolds

Is there any money in it?

*Specialty Equipment Market Association (SEMA)

$40 Billion Market

Is this complementary to Manheim's existing business?

Reconditioning

Body, Electrical, Suspension Work

Repair Parts Beginning Of The Sales Cycle

Restyling Body, Electrical, Suspension

Work Accessories End Of The Sales Cycle

Restyling utilizes the same technology, skill sets and facility requirements as reconditioning.

*Source – Manheim Website *Source – SEMA

Does vehicle personalization increase touch points with dealers?

New and Used Vehicles Dealer.com

AutoTrader Vinsolutions vAutoDealertrack

Nextgear Capital

Kelley Blue Book

Used Vehicles Manhei

m

Can Manheim consolidate the market?

How can we succeed together?

Our Team100+ years experience working in the

automotive industry

Former Managing Director Omega Research

31 years Industry Experience

Bill Duffy

Former Managing Director Nimbo GPS Connected Car

Former Sales Manager Directed Electronics Dealer Program

28 years Industry Experience

Bill Boyles

Former Senior Vice President of the largest restylers in the U.S.

20 years Industry Experience

Greg Vogel

Former Vice President of Sales Insignia Group

24 years Industry Experience

Mike Pierce

What is MiKar’s function?

Subject Matter Experts (SME)

Product SelectionPotential

Acquisitions Installation Training

Sales TrainingDealer Group

PresentationsProduct Strategies

How will this disrupt the industry?

Existing Restyler Sales Cycle

Manufacturer

Domestic Distribut

orLocal

Restyler Dealer Customer

How will we disrupt the industry?

MiKar Sales Cycle

Present Dealer Group

How will we disrupt the industry?

MiKar Sales Cycle

Approach and present dealer on new process, including contract with 30 day exit clause.

Present Dealer Group

MiKar Sales Cycle

Present Dealer Group Online

Sales Tool

How will we disrupt the industry?

MiKar Sales Cycle

Build online sales tool with both OE and aftermarket accessories. The sales tool will be free to the dealer as long as they maintain a certain sales volume with our program. The sales tool will also be a platform for online training.

Online Sales Tool

How will we disrupt the industry?

MiKar Sales Cycle

Present Dealer Group Online

Sales Tool

Sales/Admin

Training

How will we disrupt the industry?

MiKar Sales Cycle

MiKar provides in person sales training (optional), as well as online training which is included.

Training

How will we disrupt the industry?

MiKar Sales Cycle

Present Dealer Group Online

Sales Tool

Sales/Admin

Training

Buying From

Manheim

How will we disrupt the industry?

MiKar Sales Cycle

Dealer begins buying from Manheim at prices comparable to existing restyler.

Buying From Manheim

How will we disrupt the industry?

MiKar Sales Cycle

Present Dealer Group Online

Sales Tool

Sales/Admin

Training

Buying From

ManheimTransport

How will we disrupt the industry?

MiKar Sales Cycle

Vehicles are picked up by transport instead of driven additional miles across town.

Transport

How will we disrupt the industry?

MiKar Sales Cycle

Present Dealer Group Online

Sales Tool

Sales/Admin

Training

Buying From

ManheimTransport

Coop

How will we disrupt the industry?

MiKar Sales Cycle

For every dollar spent with Manheim, a percentage of sales will be put in a coop program.

Cooperative Program

How will we disrupt the industry?

MiKar Sales Cycle

Present Dealer Group Online

Sales Tool

Sales/Admin

Training

Buying From

ManheimTransport

Coop

Use Coop $

How will we disrupt the industry?

MiKar Sales Cycle

At the end of every quarter the balance can be applied to any existing Cox brand used by dealer or can be used towards a new Cox brand. (i.e. Dealer can accumulate $20,000 then use it to buy an auction car from Manheim)

Use of Coop $

How will we disrupt the industry?

Financial Effects For Manheim

Average Restyler

$1,829,994.00

$220,603.97

12.05%

RevenueNet Profit

Profit Margin

Without Truck Accessories/Wheels & Tires

Financial Effects For Manheim

Average Restyler

$3,845,944.00

$627,283.45

16.31%

RevenueNet Profit

Profit Margin

With Truck Accessories/Wheels & Tires

Financial Effects For Manheim

Manheim Restyler’s Buying Power

$3,845,944.00

$828,723.05

21.55%

RevenueNet Profit

Profit Margin

$273,062,024.00$58,839,336.55

Annually Per Restyler 71 Manheim Locations

Financial Effects For Manheim

Manheim Restyler’s With MiKar Process

$4,807,430.00 $1,036,001.17

RevenueNet Profit

Profit Margin

$341,327,530.00$73,556,083.07

Annually Per Restyler 71 Manheim Locations

21.55%

The Competitive Advantage

Manheim

DealerTrack

Adesa

Reynolds & Reynolds

Retail services, touch points, no new car offerings

$3k/mo solution vs. free, unlimited revenue opportunity

Dealer.com

Xtime

vAuto

AutoTrader

Ready Logistics

All Other

All

All

All

All

All

All

No other website company has a personalization option

End to end service retention cannot be achieved without actual mileage stats 

Will have data on not only year, make and model, but how the vehicle is/can be outfitted

"connecting new and used car buyers and sellers to a perfect match"  through personalization

Only logistics company that can guarantee 100% utilization

Provide mechanism to pay all or part of their monthly invoice

Cox Brand Competitor Advantage

Thank You