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Mercedes-Benz Financial Services Moves Two Live Auctions Online

November 01, 2011

FARMINGTON HILLS, Mich. — Mercedes-Benz Financial Services (MBFS) announced it is converting its Manheim Milwaukee and Manheim Dallas-Fort Worth live auction sites into online highline sale auctions.

“This is a great time to test a different business model in remarketing with internet sales,” said Joe Bedwell, national auction manager for MBFS. “Studies show that 65 percent of buyers in franchise and independent dealerships are ‘completely likely’ or ‘very likely’ to bid or buy via a mobile device. It is obvious that the methods for researching and purchasing vehicles are changing.”

The company will start with exclusive online highline auctions at the Manheim Milwaukee via simulcast at 1 p.m. Central on Nov. 4. Online auctions will take place every two weeks on Fridays with approximately 100 late model Mercedes-Benz vehicles available for bidding, according to MBFS. These MBFS sales are independent of any other sale and will take place exactly two days after the regularly-scheduled high line auction.

Online sales for the Manheim Dallas-Fort Worth will take place every four weeks on Wednesdays at 1 p.m. Central, starting Nov. 16, followed by Wednesday, Dec. 14. The volume at these sales is expected to be approximately 175 late model Mercedes-Benz vehicles, according to MBFS.

As dealership operations have become leaner in recent years, dealers realize that it is more efficient to have the pre-owned manager working in the dealership than on airplanes traveling to different auctions to stock pre-owned inventory, Bewell said.

He added that MBFS will institute a 100 percent satisfaction guarantee on all internet purchases, giving the dealer who purchases from one of these online auctions 14 days to notify the auction of any concerns.

“We have one MBFS employee at each location who validates 100 percent of the condition reports and disclosures,” Bedwell said. “As a result we are able to assure the dealers that the condition report is accurate and they will be happy with the purchase or we’ll take it back.”

MBFS will continue to make national inventory available to dealers to purchase in a special live online auction every Tuesday through Manheim Auto Auction’s OVE.com, which it has been participating in since March 2009, according to the company.

“Like many of our customers, Manheim’s future is digital as much as physical. We’re excited about partnering with Mercedes-Benz to meet their dealers changing needs for acquiring used vehicle inventory,” said Nick Peluso, senior vice president, customer management for Manheim.

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