In today’s economic climate, changes in industry are inevitable and frequently synonymous with development and advancement. Occasionally, we see a successful vision presented that changes the dynamic of an entirely symbiotic relationship between the supply and demand side of industries. Bidcall is seeking to bring this relationship to fruition for the auto recycling and insurance industries, as they are driven to change the frontier of auto recycling procurement from the insurance claim’s supply of the process.
With a demand-driven approach rather than trying to forecast a valuation of a product solely on the demand. BidCall seeks to value all vehicles as they enter the Auto recycling ecosystem based on a vast database of demand-driven data. As information is collected to manifest bids, a treasure trove of clean data from auto recycling customers is analyzed, and most is typically discarded. Bidcall has used integration to assemble this data into a mechanism that can be utilized for insurance companies to increase knowledge of their own products based on what the industry is valuing at any given moment in any targeted demographic.
In the auto recycling community, a collaboration is coming together to forge a “demand-driven mechanism” that stands to change the face of auto recycling procurement and selling industry-wide. BidCall has already laid the foundation through a full integration with Auto Bid Live and Claims Genius. However, the game-changer stands to be the current leveraging of a collaborative alliance with the United Recyclers Group (URG), to build a groundbreaking digital data alliance.
A spokesperson for Bidcall recently stated:
“We are very excited to continue the conversation with the industry, as this is the accumulation of what Bidcall has been designed and built for. This demand-driven mechanism will change the way value is brought to the supply side of the industry as BidCall continues to change the way we look at salvage.”
Currently, in the auto recycling industry, we are very well versed with the term ACV, or “Actual Cash Value”. This is the amount insurance companies’ reference to replace a vehicle minus the calculated depreciation.
Bidcall Day to sell algorithm is designed to transition ACV to C$V, or “Current $alvage Value”, and the meaning behind it is going to be a game-changer from a data point perspective. Insurance companies will be able to value their supplied vehicles based on a vast amount of clean, industry-rich data from recyclers across the entire globe. This data provides a central reference point for valuations and consistent profit yield based on the demand of the recycling industry.
C$V is the sum of parts on a vehicle, based on demand-driven data that has been collected on a widespread scale. Auto recyclers across the country use bidding programs to assess their collective inventory turn and the demand in their area demographically to place a specific value on individual body parts after the drivetrain has been put in place as the core foundation for the bid. The sum of these monetary data points becomes their overall bid on a vehicle and determines what they are willing to compensate financially for the entire vehicle.
Bidcall has been helping to utilize this data and can now present an accurate C$V, or Current $alvage Value, to the supply side of the industry, to meticulously project the value of a vehicle from a demand-driven perspective. This shifts the focus from receiving the lowest bid to providing the highest value for designated customers. This is crucial to a data-rich industry like auto recycling because it serves to eliminate waste while also increasing efficiency and mutually benefits the entire community.
Utilizing an enhanced supply-driven mechanism like Bidcall supports both supply and demand in a previously unprecedented form. Suppliers receive the most optimal bids for their vehicles, producing higher profit yields, and salvage buyers gain faster turning inventory and further returns on invested capital. Bidcall continues to change the way you look at salvage and has yet again presented an innovation to the industry and refined a way to attain the highest value, based on the greatest need, with the cleanest data possible.