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Classifieds vs Auctions - Where to Buy if You Are a Car Dealer
Learn what classifieds are, how they work, and how they compare to auctions and other ways of finding the right cars for your dealership.
Stocking your dealership with cars is one of the most important aspects of your business. In your search for the best deals, you might have come across the term classifieds.
We’ll guide you through what classifieds are and how they compare to car auctions, helping you decide which option suits your business needs best.
What are classifieds?
The word classifieds stems back from newspaper advertising, and it currently refers to online or offline platforms where sellers list vehicles for sale. These platforms connect private sellers and dealers, allowing buyers to browse listings—or classifieds—and negotiate directly with the seller.
Image source: Marktplaats
As you can see in the screenshot from the Dutch platform Marktplaats, classifieds offer a wide selection of cars, but the consistency of listings can vary.
So, classifieds are unparalleled in the number of individual vehicles they offer—you won’t find so many options elsewhere. But, would you actually want to?
Keep in mind that classifieds often lack information and don’t have accurate descriptions or service history reports. Because of that, you’d have to:
- Spend hours sifting through listings to find suitable vehicles.
- Contact sellers to gather more details about the cars.
- Inspect vehicles to ensure their condition matches the listing.
- Negotiate the price to make sure you’re getting a fair deal.
While classifieds can be a good way to find individual vehicles, you might be better off with more streamlined ways of stocking your dealership.
What are your sourcing options as a dealer?
Classifieds and auctions are not the only options you have; there are several other ways you can get used cars for your dealerships. Let’s see what these are.
Ex-lease vehicles
Ex-lease vehicles are an excellent option for stocking dealerships because they are typically well-maintained and most come with a full service history. These vehicles have been owned by businesses and used by their employees under leasing agreements, meaning that they are usually serviced regularly.
A selection of ex-lease vehicles on eCarsTrade
On the flip side, ex-lease vehicles often have higher mileage as they are used daily, so that’s a factor to consider depending on your dealership’s priorities.
Short-term rental cars
These vehicles come from rental companies that cycle out their fleets regularly. They are usually only a few years old, so you can get newer, popular models by going for used short-term rentals.
However, these often have signs of wear and tear from frequent use by different drivers. In other words, you should be prepared for some refurbishment to fix cosmetic issues or minor mechanical wear.
Buying from private sellers
Private sellers offer vehicles directly to buyers without businesses or auctions involved. That’s very close to classifieds because you’re dealing with individual owners rather than companies.
The main advantage is the potential for lower prices, especially if you have good negotiation skills.
Still, you should keep in mind that buying from private sellers can be time-consuming and risky. If you go this route, be prepared to spend extra time evaluating each car.
Classifieds vs eCarsTrade for dealers and traders
Now that you’ve learned about classifieds, it’s time to see how they fare against auctions of ex-lease vehicles that you can find on eCarsTrade.
CLASSIFIEDS
How they work: Sellers post details, photos, and asking prices for their vehicles. You, as a buyer, can contact them directly to negotiate and arrange the sale.
✅ Pros:
- Variety: Classifieds offer a wide selection of cars from private sellers and businesses. You don’t have to be a registered dealer to buy and sell.
- No middleman fees: Since you’re dealing directly with the seller, there are usually no additional costs.
- Negotiation opportunities: You can often negotiate the price directly with the seller.
❌ Cons:
- Time-consuming: Searching through listings, contacting sellers, and inspecting vehicles can take a lot of time.
- Quality concerns: There’s no guarantee of a car’s condition, and you’ll need to do your own inspections.
- Limited stock: While classifieds offer variety, they lack the bulk options that dealers need to stock multiple vehicles at once.
CAR AUCTIONS
How they work: Vehicles are listed with descriptions and starting prices. Dealers bid on the vehicles they want, and the highest bid wins the car.
✅ Pros:
- Bulk purchasing: Auctions are perfect for dealers looking to buy multiple vehicles in one go.
- Competitive prices: You can often find great deals, especially if there’s little competition for a specific car.
- Variety of sources: Auctions include cars from leasing companies, fleet owners, banks, and more.
❌ Cons:
- Time-sensitive: You need to act quickly during bidding.
- Uncertainty: You don’t know if you’ve won the car until the auction is over.
eCarsTrade vs Classifieds
With pros and cons to both options, you might still not be sure if eCarTrade auctions or classifieds are a better fit for your dealership.
If that’s the case, go through this side-by-side comparison and see which option works better with your business needs and priorities.
|
CLASSIFIEDS |
eCT AUCTIONS |
|
|
Car availability |
Millions of cars at once ✔ |
Thousands of cars at a time |
|
Prices |
High Private owners often aim to sell their cars at higher prices. Dealers add profit margins and listing fees, driving up the price. Good deals may pop up, but you need to act quickly to beat the competition. |
Low ✔ Suppliers prefer a faster turnover of their fleet as opposed to higher profit margins but slower payment terms. |
|
Costs |
No extra fees ✔ but negotiating can be time-consuming. |
Some fees apply, but deals often outweigh the costs. |
|
Time per deal |
2+ hours You need about two hours per car as you research and contact each seller for each vehicle. |
2+ minutes – buy in a couple of clicks ✔ All relevant info is displayed in the listing, and you can buy cars instantly. |
|
Access |
Everybody All interested private and corporate buyers can purchase vehicles from classifieds |
Professional car dealers only ✔ Auctions are open to registered car dealers and automotive companies |
|
Car quality |
Quality varies widely, so you’ll need thorough checks. |
Cars often come from trusted sources ✔ like fleets and leasing companies. |
|
Transparency |
Limited service history and seller honesty may be questionable. |
Most vehicles have service histories, appraisal reports, detailed descriptions, and photo galleries. ✔ |
|
Logistics |
Every car is in a different location. |
You can pick up several cars at once or get them delivered to you. ✔ |
|
Bulk options |
Designed for individual purchases, not buying in bulk. |
Perfect for stocking up on multiple vehicles at once. ✔ |
|
Total result |
✔✔ |
✔✔✔✔✔✔✔ |
To sum it up: if you’re looking for a single car and don’t mind inspecting and haggling, you might find an affordable option via classifieds.
However, if you’re looking for a way to regularly and reliably stock your dealership, auctions will always be the better choice.
How does eCarsTrade help dealers find the right car?
If you’ve decided that auctions are the way to go, you can start your search on eCarsTrade.
Register your dealership to gain access to thousands of currently available ex-lease vehicles that you can sort by fuel, mileage, condition, and more criteria. That way, you can find reliable EVs, efficient hybrids, or luxury cars for premium buyers—there’s a variety of options to suit every dealership’s needs.
eCarsTrade also lets you buy vehicles in bulk, so that’s a perfect opportunity to stock up quickly and efficiently. See you at the auctions!
eCarsTrade bietet Online-Autoauktionen von Ex-Leasingfahrzeugen aus Europa!
