Joe Neiman, founder of ACV Auctions, announced the debut of his latest creation, DealerClub, a reputation-based auto auction platform for buying and selling wholesale vehicles. A marketplace for professionals, DealerClub is built on the concept that each member puts his or her reputation on the line and is accountable for vehicles sold based on a rating system. It's designed to create a transparent process through which members can trust that the vehicles they purchase at auction are accurately represented and backed by the seller's reputation in the marketplace.

“The dealers behind the cars are the foundation of a great auction experience,” Neiman says. “DealerClub believes in those dealers. It's about finding better inventory. Buyers and sellers alike are looking for a no-surprises experience. With the seller's reputation on the line, buyers can be confident the vehicle they bid on is the vehicle they get. Meanwhile, trustworthy sellers who have earned high ratings enjoy more sales at higher rates, as well as the unique ability to actually be paid to sell on DealerClub’s platform, instead of paying a sell fee like they are accustomed to with other auction providers.”

Key Features and Benefits of DealerClub

Reputation-Based

At a glance, buyers can see how sellers rate across multiple categories, including sell-through rate, vehicle inspection accuracy, and consistency in providing titles. Sellers, meanwhile, can get increased bidder confidence in vehicles as their ratings increase, bringing in additional deals at higher values, creating more selling success, and unlocking greater economic incentives.

Better Inventory Experiences

DealerClub says vehicles are described more honestly and accurately with the seller’s reputation on the line and backed by its proprietary rating system. It says the result is a more transparent process where buyers get what they are expecting, and sellers can accurately describe the condition of the vehicle, resulting in a “no-surprises” transaction.

Real-Time Auctions

DealerClub offers flexibility for both buyers and sellers. Sellers can list the car when and how they want and describe the vehicles as they see fit. Buyers get a real-time auction sent straight to them, including pictures, video, personalized vehicle descriptions, seller history and ratings, customizable user profile pages, interactive chat, and title, payment, floorplan, and transportation solutions—all wrapped up with transparent communication and vehicle descriptions.

Maximum Bidder Engagement

All auction prices on DealerClub start at $0, maximizing bidding engagement. DealerClub’s bidding format attracts a high number of unique bidders per auction, delivering an engaging experience. Its robust platform is completely new, from the ground-up, with flexible and comprehensive search and filter capabilities, as well as notifications and alerts. All versions of the experience share feature parity, so there are no limitations with regard to features or functionality, whether using DealerClub on desktop or mobile devices.

“Perhaps the biggest obstacle today in the wholesale marketplace is the fragmentation of where to go to buy and sell your inventory,” Neiman says. “Then there's the challenge of counterintuitive condition reporting. Too much subjectivity is placed on the process and in the majority of cases, a vehicle's description fits a script but isn’t reflective of its actual cash value. This is the core reason DealerClub was created.

“Successfully selling in the wholesale ecosystem requires that buyers have confidence and no fear. In order to achieve that, the seller’s reputation must be part of the equation. Used cars are not commodities. Their value is the collective result of the seller, their intent to sell, how they represent the vehicle, and the vehicle’s condition. You simply cannot achieve the true value of a used car unless you are able to tell the whole story of that car. Therefore, the essence of wholesale is truly an art, and not just data and science. DealerClub is the blank canvas that dealers have been waiting for.”

For more information on DealerClub and its wholesale vehicle rating platform or to sign up to be a member, visit its website.