CARFAX - What Are You Thinking?
- Automotive News, Press Releases, and Events
- 45 Replies
I just want to point a few things out for CarFax. Dealers certainly could tell a customer "we factored the CarFax price adjustment into the price of the car", but for dealers using vAuto, FirstLook, or AAX this might not be true.
1. CarFax - did you factor-in how dealers price used vehicles today?
A dealer that uses a pricing tool, like one of the 3 I mentioned above, probably does not have access to this "CarFax pricing adjustment" yet. I have to assume CarFax is working with these companies to integrate this pricing feature. If not, then dealers who use pricing tools should seriously consider whether they retain a partnership with CarFax.
2. CarFax - did you consider the arguments dealers are going to have?
There are going to be arguments for and against CarFax's latest move, but at the end of the day dealers will have to gauge whether CarFax is just a well-branded synonym for "Used Car History Report" in each market. If the dealer's sales staff is strong they have the ability to work with or around CarFax. If a dealer has confidence in his sales staff then they're going to have to internally discuss switching to a cheaper alternative than CarFax. Before this move, this internal discussion was not as rampant.
3. CarFax - who are your customers?
If you make more money off the monthly bills dealers send you, then why didn't you give dealers more of a heads-up before launching this product?
4. CarFax - where are these values coming from?
How can a dealer be against or for your new pricing feature without knowing how to explain it? Are dealers supposed to take the stance of "because CarFax says so"? Consumers and dealers deserve to know where these values are derived.
5. CarFax - Why?
I guess this one doesn't matter as much as the other questions. But why did you get into this game? Many of us are scratching our heads right now. The question doesn't really matter because you've done it and now we all have to figure out whether we're going to stand by your decision.
My advice
Speak up quick. Speak up now. Don't let another website tarnish your "great new feature". Publicly respond ASAP!
1. CarFax - did you factor-in how dealers price used vehicles today?
A dealer that uses a pricing tool, like one of the 3 I mentioned above, probably does not have access to this "CarFax pricing adjustment" yet. I have to assume CarFax is working with these companies to integrate this pricing feature. If not, then dealers who use pricing tools should seriously consider whether they retain a partnership with CarFax.
2. CarFax - did you consider the arguments dealers are going to have?
There are going to be arguments for and against CarFax's latest move, but at the end of the day dealers will have to gauge whether CarFax is just a well-branded synonym for "Used Car History Report" in each market. If the dealer's sales staff is strong they have the ability to work with or around CarFax. If a dealer has confidence in his sales staff then they're going to have to internally discuss switching to a cheaper alternative than CarFax. Before this move, this internal discussion was not as rampant.
3. CarFax - who are your customers?
If you make more money off the monthly bills dealers send you, then why didn't you give dealers more of a heads-up before launching this product?
4. CarFax - where are these values coming from?
How can a dealer be against or for your new pricing feature without knowing how to explain it? Are dealers supposed to take the stance of "because CarFax says so"? Consumers and dealers deserve to know where these values are derived.
5. CarFax - Why?
I guess this one doesn't matter as much as the other questions. But why did you get into this game? Many of us are scratching our heads right now. The question doesn't really matter because you've done it and now we all have to figure out whether we're going to stand by your decision.
My advice
Speak up quick. Speak up now. Don't let another website tarnish your "great new feature". Publicly respond ASAP!

