The Future of Wholesale

Vehicle Remarketing: The

Omni-Channel Experience
Consumer Behavior
Today’s Consumer

Simply put …

Technology
Adoption Recognize me and Surface content I want
where I am on (or may want) intuitively,
my journey based on intelligent
understanding

Today’s Consumer
Shopping Comprehensive
Convenience Information
Make it easy for
me to buy – how and
where I want

Empower me to
Maintain a consistent
share and interact
Channel – Compelling service experience
on any platform
Agnostic Customer beyond point of
Thinking Experience purchase
Path to Purchase
PRE- PURCHASE
WHERE TO START?

RETAILER SITE,
STORE, or CATALOG
40% SMART
PHONES
AND TABLETS

21%
AMAZON
Of smartphone users Of shoppers prefers
SEARCH
ENGINE
use their device to Researching and

𝟏Τ 11%
FIND or REDEEM 𝟑 of all shoppers & 𝟏Τ𝟐 of millennials Prefer purchasing

43% 28% 19% COUPONS say their purchases are influenced by

SOCIAL MEDIA
On these devices

2 3 Out of
Consumers use smartphones in store
to expand shopping capabilities.

PURCHASE
Of shoppers are
93% Of online shoppers take action to
qualify for free shipping
85% are willing to
wait 5 days or
more for delivery, but the majority
ONLY 83% Willing to wait an
additional 50% have
expect express shipping options
53% ABANDONED a cart due
58% Have added to cart to qualify
2 days or to LENGTHY DELIVERY
are satisfied with more to TIME
56% JUNE access to customer
service information
get free Or no delivery date
35% Have chosen “ship to store”
to qualify
Prefer to see the ACTUAL DATE OF
ARRIVAL rather than the number of
days (5 business days)
3
TUESDAY
during checkout shipping provided

POST-PURCHASE
Online 36% HALF of consumers
Are satisfied 47%
shoppers
prefer are likely to post on
have purchased
additional items from ONLY with Ease of YOU’RE
1 in 4
Packages delivered to
locations other than their
social media when
satisfied with an
21%
$ a retailer based on
COUPONS or SAMPLES
included in the 58%
making online
returns/
SUBSCRIBED! would consider
enrolling in the
online retailer-
home
delivery exchanges future
When dissatisfied

FUTURE STATE:
Less than 44% of 68%
shoppers are satisfied
with flexibility post- FREE RETURN
Say Despite recent security
issues, 52% Want to see a
return label 22% participate in
More GAINED trust “curation services” with
shipment in choosing SHIPPING IS KEY (18%) than LOST trust right in the
delivery date and to a positive return (13%) in online shopping personalized box
rerouting packages experience last year
box shipments
The Internet Minute in 2017

900,000 16 Million
Logins Text
Messages 4.1 Million
3.5 Million Videos
Search viewed
Queries

70,017
Hours 342,0000
Watched Apps Downloaded

$751,522 46,200

60
Spent Online Posts Uploaded

1.8 Million
Snaps SECONDS 452,000
created Tweets Sent

15,000
990,000
GIFS sent via
Swipes
Messenger

120 156 Million

New Accounts Emails Sent
created 50
Voice-First 40,000
Devices Hours
Shipped Listened
Simplicity Pays
These disrupters :

of people are more likely

64% 61% to recommend a brand

because it provides
simpler experiences
and communications

of consumers
are willing to pay
62% vs.
20%
of employees are of employees are
considered brand considered brand
more for simpler champions in
companies perceived
champions in
companies perceived
experiences to be simple to be complex

$86 Billion
the amount of money brands are leaving on the
table when they don’t simplify

Global Brand Simplicity Index 2017

 From Selling Products to Delivering Solutions
and Services
What does it take to deliver These disrupters :
truly simple experiences ?
Empower people
emerging brands that are
changing the stakes share
what it takes to deliver
1 Sidestep traditional industry protocols and shift
power to consumers
simple, meaningful customer
experiences Reimagine experiences
2 Turn underwhelming experiences into moments
of delight

Global 3 Remove friction

Identify pain points in everyday processes, and
remove them

disrupters Save time

4 Value people’s time by providing service where
and when they need it most

Provide utility
5 They demonstrate usefulness beyond their core
offerings or services
Global Brand Simplicity Index 2017
Current State
Industry History
1938 J.M. Martin Rawls held the first Auto Auction
TIMELINE 1948 C.B. Drake assembles auto auctioneers and founds National Auto Auction Protection Association
1954 Name is changed from NAAPA to simply National Auto Auction Association (NAAA )
1959 Manheim, PA becomes world’s largest auto auction
1963 Chrysler's first ever "buy-back" sale of rental and company cars via auto auction is help
1986 NAAA helps " Truth in Mileage Act" to become a law
1994 First ever live satellite auction
1996 NAAA.com is launched, featuring auction-to-auction emailing
1997 Manheim Online launches, named one of Top 10 e-commerce sites by PC Week
1998 Manheim Market Report now downloadable to dealers' PCs
2001 Manheim introduces the Used Vehicle Value Index
2002 First Simulcast Sale
2006 NAAA Vehicle Condition Grading Scale and Arbitration Policy developed
2009 Electronic Condition Report and National Arbitration Policy: In-Lane and Online approved
2010 MMR now available on mobile devices
Auto Remarketing Overview Today’s Process
Out-Processed for Appropriate “Next Step” Initial Sale Consumer and
Remarketed to Appropriate Marketplace End of Lifecycle Dealer Interaction

Manufacturing
Rental Car Companies Fleet Lease Companies

Salvage

Parts
Franchised Dealer Lenders

Wholesale Automobile Auctions

Rebuilders, Parts Buyers
REPO + Crushers
Consumer JUNK/
CRUSHED

Franchised Dealer INDEPENDENT DEALER BUY HERE / PAY HERE DEALERS

Marketplace/Omni-
Channel Experience
Deliver an end-user experience from single to multiple
touchpoints in sync with needs and preferences
FROM SINGLE TO OMNI-CHANNEL

Single-channel Multi-channel Cross-channel Omni-channel

commerce commerce commerce commerce

Yesterday Today Tomorrow Future winners

Omni-Channel

Personal
Sales Loyalty

Seamless Relevant
STAND
No one benefit is derived
from any single pillar,
Perception DATA
ORGANIZATION
Competitive
just as omni-channel
OMNI cannot be delivered
CHANNEL
without the sum of its
Integrated Convenient
constituent parts.
TECH INSIGHT Omni = All (or nothing).
Advocacy Efficient

Intelligent Contextual
Margins
 Emotional Connection of Branding

Before Nike there were simply sneakers.

Underneath that was a need or desire.
Buying the emotional ties that align with
them – being winners like the athletes who
endorse them – whether walking or running
or playing or competing.

Branding is what turns commodities into name brands infused with

value. The kind of value consumers are willing to pay for.
http://www.risingabovethenoise.com/
Marketplace

In-store
➢ Customers see one
kiosks
brand and multiple
Smart-
phones
TV/adverts
touch-points operating
Seamless together
delivery across all
Pick-up
Web points channels ➢ Retailers coordinate
and operate in a
Events/
differentiated manner
Stores pop-ups
across channels
Social

A marketplace allows for more opportunities for buyers and sellers to connect
and transact how they want and when they want.
Marketplace Benefits

LOWER COST LOWER PRICES

STRUCTURE

GROWTH
 The Extraordinary Size of Amazon

Amazon is bigger than most brick and mortar retailers put together
Market Value as of December 30,2016

$355.9B $297.8B

Amazon

http://www.visualcapitalist.com
 Nick Peluso President Manheim Digital
Marketplaces + RMS Automotive
Nick Peluso is President for Manheim Digital Marketplaces and RMS Automotive. Peluso’s bold vision is
defining the digital vision and strategy for Manheim’s digital channels’ growth efforts, enabling the digital
portfolio of brands including OVE, Manheim.com, Simulcast, and RMS Automotive’s global business to
create faster responses to the market transition(s), increasing client relevance and redefining ROI.

A respected thought leader, Peluso is an industry veteran with over 30 years of experience, sought out
regularly to speak at key industry events such as NRC/NAAA, CAR, NADA, and IARA. As the driving force in
the growth of RMS Automotive, Peluso has served as the company’s president since 2014 where he leads
an executive team focused on the company’s vision to accelerate portfolio management through
intelligent remarketing solutions and advanced data analytics. Through his leadership, Peluso fosters a
strong collaborative culture, which he believes is fundamental to continued growth and international
expansion. RMS Automotive is now operating in 15 countries with further development planned globally.
Peluso joined Cox Automotive in 2000 as president of remarketing solutions for Manheim and soon
became senior vice president of customer management for Manheim before being named the president
of RMS Automotive in 2014. Before Cox Automotive, Peluso spent 12 years in leadership positions with
ADT Automotive, Inc., including vice president of sales and marketing.

Nick and his wife Jessie reside in Las Vegas, enjoying their new grandparents’ status. In his free time, he
enjoys cycling and a good game of golf.

Email: nick.peluso@coxautoinc.com Linkedin: https://www.linkedin.com/in/nick-peluso/

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About Cox Automotive

About Cox Automotive

Cox Automotive Inc. is transforming the way the world buys, sells and owns cars with
industry-leading digital marketing, financial, retail and wholesale solutions for consumers,
dealers, manufacturers and the overall automotive ecosystem worldwide. Committed to
open choice and dedicated to strong partnerships, the Cox Automotive family includes
Autotrader®, Dealer.com®, Dealertrack®, Kelley Blue Book®, Manheim®, NextGear
Capital®, vAuto®, Xtime® and a host of other brands. The global company has 32,000-plus
team members in more than 200 locations and is partner to more than 40,000 auto
dealers, as well as most major automobile manufacturers, while engaging U.S. consumer
car buyers with the most recognized media brands in the industry. Cox Automotive is a
subsidiary of Cox Enterprises Inc., an Atlanta-based company with revenues exceeding
$20 billion and approximately 60,000 employees. Cox Enterprises’ other major operating
subsidiaries include Cox Communications and Cox Media Group. For more information
about Cox Automotive, visit www.coxautoinc.com.
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