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Understanding Inventory Pricing Review

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As the used vehicle market fluctuates, using the Inventory Management product's Inventory Pricing Review tool allows you to analyze and update used inventory selling prices using book values, accounting cost, days in stock, and current market position. Use the tool regularly to perform batch book value and pricing updates, saving you time and sharpening your competitive edge. Update your full inventory, or select a set of vehicles to update using the Disposition, Days in Stock, Water, and Price to Market % filters. To search for a specific vehicle, use the omni-search bar under the filters.  

You can access the Inventory Pricing Review screen by clicking the Pricing Review button in the upper-right corner of the Vehicle Search, Appraisal Search, and Inventory Dashboard screens or by selecting Pricing Review from the Vehicle options menu that opens when you hover over the Vehicle application button in the main navigation bar. 

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The Inventory Pricing Review screen will list all your dealership's in-stock used vehicles. Here, you can quickly make pricing and disposition adjustments based on negative equity (water), inventory age, and current market conditions. The changes made to vehicle pricing on this screen populate the respective fields in the Pricing card of each used vehicle record's Overview page when you click Save and Update Inventory Records

The Inventory Pricing Review screen's vehicles can be sorted by clicking column headings. Click a column heading once to arrange the list in ascending order by that column's information or twice to arrange in descending order (initially, the list will be arranged in ascending order by Stock No.). You can also use the filters at the top of the screen to see only vehicles that match certain specifications: Disposition, Days in Stock, Water, and Price to Market %. Use the Disposition filter to view only those vehicles marked for wholesale or retail sale. Use the Days in Stock filter to select one or more age ranges for used inventory vehicles. See only the vehicles that have been in stock for the range of days you select (All Days in Stock, 0-15, 16-30, 31-45, 46-60, 61-90, 91-119, and 120+). Use the Water filter to filter the list to only those vehicles above or below water by a certain dollar amount (All Water Ranges, -$3,001 and below, -$2,001 to -$3,000, -$1,001 to -$2,000, -$1 to -$1,000, $0 to $1,000, $1,001 to $2,000, $2,001 to $3,000, and $3,001 and above). Water is calculated by subtracting the Accounting Cost from the Wholesale Value. In the lower-left corner of the screen, the number of vehicles listed per the filter setting/s (or lack thereof) will be displayed.

The screen is divided into three segments: Vehicle Details, Investment, and Pricing.

Vehicle Details
This section of the Inventory Pricing Review screen lists each used vehicle's Stock No. (Number), Year, Make, Model (and) Trim, and Days in Stock. If a vehicle has open repairs, a red alert icon will appear to the right of the model and trim in the Model Trim column. Hovering over the icon will reveal the dollar amount of the open repair.

Investment
This section of the screen provides data regarding your dealership's investment in each vehicle. View each vehicle's Acct (Accounting) Cost, Wholesale book value, and Water.

Acct Cost column pulls the accounting cost directly from the Pricing card of the vehicle record's Overview page. 

The Wholesale column displays the last recorded wholesale book value pulled for the vehicle. This column's content is determined by the Selected Wholesale default established in the Inventory Pricing Review Bookout Defaults card of the Bookout Defaults page in Setup. If you've set a default, the book provider and condition will be listed as the column header. An asterisk to the right of a wholesale value indicates that an alternative book value has been selected for the vehicle. You may want a default book provider value and condition for your retail vehicles, and indivially select a different book provider value and condition for wholesale vehicles, for example.

The Water column calculates the difference between the wholesale value and the accounting cost. If the Water value is a positive amount, it is displayed in black font. Negative, or underwater, values are displayed in red font and are preceded by a negative symbol. At a glance, you can determine if you own a vehicle for more or less than the selected wholesale valuation amount.

At the bottom of the Investment section of the screen, the Used Inventory Totals includes Acct Cost, Wholesale, and Water totals reached by adding all the vehicle values in the respective columns. The Wholesale and Water totals will only be accurate if you have completed a bookout for each used inventory unit. 

Pricing
The Pricing section of the Inventory Pricing Review screen provides each vehicle's Price, Retail book value (or Autosoft Market Analysis market average price), the Dollar or Percentage difference between the Price and Retail book columns' values, Profit, and New Price

If you've set a default price field (Internet Price, List Price, or MSRP) using the Autosoft Market Analysis card's Pricing field in the Bookout Defaults' page of Setup, the Price column will display the default price (Internet,List, or MSRP) for each vehicle. The options menu below the Price column heading displays the pricing field being referenced in the column. You can click the options caret to select a different pricing field to update.

The Retail column displays the last recorded retail book value or Autosoft Market Analysis market average value pulled for the vehicle. This column's content is determined by the Selected Retail default established in the Inventory Pricing Review Bookout Defaults card of the Bookout Defaults page in Setup. If you've set a default, the book provider and condition (or Autosoft Market Analysis) will be listed as the column header. An asterisk to the right of a retail value indicates that an alternative book provider value and condition has been selected for the vehicle. 

Use the $/% toggle to show the dollar or percentage difference between the vehicle's list, internet, or MSRP price and retail book value. The dollar figure is calculated by subtracting the selected price from the retail book value or market average price. The percentage figure is calculated by dividing the selected price by the retail book value or market average price and multiplying that figure by 100. 

The Profit column displays the profit you stand to make on each vehicle by subtracting the Accounting Cost from the Price. If your accounting costs exceed your list or internet price, this figure will be preceded by a negative symbol. 

The New Price column will display each vehicle's current price. The column header will reflect the default pricing established in Setup or the selection you made in the Price column header. You can manually enter a new price for each vehicle using this field, and the price you enter will be saved to the respective field in the Pricing card of the vehicle record's Overview page when you click Save and Update Inventory Records. You can also adjust the price by changing the % of retail value or the $ from retail value, or from inside an Inventory Pricing Review Bookout.

Vehicle Value Quick-Look Cards
Clicking on a vehicle in the list opens the vehicle's pricing quick-look card. The card will list all the information relevant to pricing. 

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At the upper-left corner of the car, the stock number, year, model, and trim are listed. Below that, the card is broken up into two sections. In the top section, you'll find that Appraised Value and Odometer reading. In the bottom section, the left side displays wholesale information, while the right side displays retail information. Each side lists the Selected Wholesale and Selected Retail valuation book provider and vehicle condition and the Wholesale Value and Retail Value, respectively. In the lower-left corner of the card, the date the values were last updated is listed.

In the upper-right corner of the card, you can click View Vehicle to open the vehicle record, leaving the Inventory Pricing Review screen, or the pop-out icon to open the vehicle record in a new browser tab, allowing you to keep the Inventory Pricing Review screen open in the current tab. Once the vehicle record opens, you can click the Autosoft Market Analysis button to evaluate the vehicle's price based on market data. You can also adjust the vehicle's price directly in the Pricing card of the vehicle record's Overview page. When you update and save the new price you've entered in the pricing field you've set as the default (Internet Price, List Price, or MSRP), the new price you entered in that field will be pulled to the vehicle's New Price field on the Inventory Pricing Review screen. 

To perform an inventory pricing review bookout on the vehicle, click Pricing Review Bookout. This will allow you to manually perform the vehicle pricing review on a vehicle-by-vehicle basis. In the modal that opens, you can select different wholesale and retail book providers (including the Autosoft Market Analysis market average price) and vehicle conditions based on the individual vehicle. Updating the price from this card will populate the New Price field when the Pricing Review Bookout is saved.

Updating Values
You can select as many or as few vehicles to update with a few clicks. By default, all vehicles will be selected, which is noted by the check in the checkbox to the left of the Stock No column heading and next to each vehicle's stock number. Clicking to clear the Stock No column heading's checkbox will clear all the vehicle checkboxes. You can then click to select only those vehicles you want to update.

You'll use the Update Selected button in the upper-left corner of the screen to update the selected vehicles' wholesale and retail book values (including the Autosoft Market Analysis market average price) to the most current values. A pop-up will open detailing the number of vehicles you've selected to update book provider values and warning you that the Inventory Pricing Review page will be locked while the update is being performed. You can also click a checkbox to Clear Book Provider Overrides to ignore the book providers used in previoud bookouts and instead use the set defaults. To update the currently selected book provider values, leave the box unchecked. You'll click Update Vehicles in the pop-up to continue.

After the update has been completed, the screen will unlock. You may notice some values have changed. Adjust the New List Price/New Internet Price/New MSRP fields as necessary to ensure each vehicle is competitively priced. When you're happy with the pricing, click Save and Update Inventory Records. This will update the List Price, Internet Price, or MSRP in the affected vehicle records' Pricing card (Overview page of vehicle record) and save a copy of the Pricing Review Bookout performed on each vehicle to the corresponding vehicle record. You can review a read-only version of the bookout information in the Appraisal/Bookout History list of the vehicle record's Appraisal/Bookout page. 

Water Report
A Used Inventory Water Report provides you with all the information you need to make informed decisions about vehicle pricing and disposition based on the difference between your total used inventory value and the market value based on your selected book providers. 

Use the Print Water Report button to start the report for wholesale, retail, or both vehicle disposition types. The report can be generated as a CSV, PDF, or Microsoft Excel spreadsheet and saved or printed for review. 

 

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