Category: Automakers

Trade-in - Seriously And For A Long Time


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Trade-in - Seriously And For A Long Time
Trade-in - Seriously And For A Long Time

Until recently, the path to the realization of a dream was, in fact, one. Advertise for sale, find a buyer, remove the car from the register. And, as they say, further with all the stops. In the last two or three years, an alternative has appeared - you can use the service with a short and non-native name - “trade-in”. We have already written about this (ЗР, 2004, No. 2), but we will return to this topic.


The English term trade-in means offsets when buying a new or used car. In other words, buying a car in a company that works according to this scheme, the value of your old car will be set off against the cost of the new one.

How is this trade-in carried out? Imagine you drove into a modern car dealership and there you liked the new model. But there is no money for it yet. Please tell you get a loan. And where to put the old car? We will buy it from you right there! Do not forget to shift personal belongings from one trunk to another.

In a word, arriving home in the evening on a brand new car, you can proudly quote to the wife the hero’s words “Only old people go into battle”: “Take the machine, waved without looking!”

Alas, it is still hard to imagine such a family scene in Russia. The trade-in services market, in fact, even in Moscow is in its infancy. Nevertheless, experts of the Russian Association of dealers claim that he has great prospects. Just two years ago, only 3-4% of car buyers in the salons decided to take their old car. The difference between the price offered by dealers for a used car and that which could be obtained in the “free market” was very large. The salon tried to lay here not only its risk, but also profit. Thus, when passing the car, the client lost up to 30% of its market value! Even taking into account that the “salon service” freed the owner from a headache, starting from removing the car from the register and ending with bidding with potential buyers, the losses were disproportionate.

Today, using the trade-in service, according to experts, a client loses an average of 10% of the market value of a used car. In the services market, market relations have worked - competition has reduced the price. In addition, dealers today are trying to attract as many customers as possible, including by offering used cars. You see, while a person has no money for a new Mercedes, maybe he will buy a used car from an authorized dealer, but with a “distinct” biography!

Be that as it may, the trade-in service market has earned. Although a comparison with countries where 80% of car owners use it is out of the question.

Here's what Andrei Konstantinov, CEO of BMW dealer, thinks about this.

- In Russia, the market for services in this area is only emerging. The period of “initial chaos” is already over, but still far from civilization. It is worth noting immediately that under this scheme, most often they buy and will buy cars worth from 20 thousand dollars and more. Most compatriots who buy new cars in a less expensive price range are now not ready to lose even $ 300-500 on selling their old cars. In fact, it is unrealistic to get a significant profit from selling “trade-in” cars to a car dealership, even if they cost more than $ 20, 000. The salon has a different interest in the foreground - to attract new customers. But, judging by how events are developing in the automotive market, we can say with a great deal of certainty that within three years 60-60% of new cars of this value will be sold under the “trade-in” system.


Today, many trading companies have announced that their customers have the opportunity to take advantage of the “trade-in". In fact, in the classical sense, only five or six dealers in Moscow are currently implementing this service. A client comes to them, gives his old car and leaves in a new one. In other firms, from a formal point of view, he is first bought a car, then, having received money for him, he goes to the showroom of the salon and selects a new car. Naturally, the registration process here can take several days.

Anton Kozlov, the head of the Toyota sales department at the Losiny Ostrov Center, believes that trade-in services are more likely to work in the future. In any case, in relation to the lineup of the Japanese company.

- If a month we sell hundreds of new cars, then only dozens of customers use the trade-in services. Buyers prefer new Toyota cars to used ones. In the "trade-in" we take those that are purchased from official Toyota dealers. Of course, neither the old (over 7 years old) nor the “right-hand drive” cars are in question.

“Those who purchase a used car through our center can be sure that the car is fully consistent with its“legend,”Kozlov continues. - First, we inspect the car, and if it meets our standards, pre-evaluate. In cases where the estimated cost suits the client, the car is fully diagnosed before the sale. The previously named amount will be credited to him when buying a new car.

For firms that provide trade-in services, the terms of assessment and requirements for used cars may vary.

So, the company AutoGansa, the official dealer of Volkswagen, is not limited to dealership used cars. Here in the "trade-in" will take any model. But the difference in price from the market can increase up to 15%.

“It all depends not so much on the condition of the car, but on its, let's say, popularity in the secondary market,” they explained to us in the cabin.


What attracts the trade-in service? According to the dealers themselves, experienced car owners put safety first when selling an old car.

“We had a case when a client was dissatisfied with the amount at which we valued his car,” recalls Anton Kozlov, “and he preferred to enter the market himself. A few days later we found out how famously the "buyers" had deceived him. Trying to gain 10 thousand rubles, he lost all the money for the car.

Turning to our services, the client, of course, is in complete financial security. In addition, the seller in the free market experiences pressure from buyers - after all, not everyone has a trading vein. Yes, our trade-in services market still does not match Western analogues, but the civilized way has no alternative. For example, I did not forget the wild auto parts market, which wandered along the MKAD. But how many now remember him?

And another opinion in favor of trade-in: Vardan Dashtoyan, Managing Director of Rolf Retail:

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