Following a successful launch on its iOS and Android apps, Auto Trader, the UK’s largest marketplace for used and new cars, has rolled out Price Indicators across all consumer platforms.
Whether searching for their next car on desktop, mobile or app, consumers will now be able to determine whether the total price of the car they are looking at is fairly priced – helping to build trust and confidence in the seller.
Indicators offer car buyers greater transparency on the price of a car than ever before – vital in an industry where just 7% of car buyers claim to trust dealers and 76% of consumers claim transparent pricing is an important factor in their car buying process. Adverts on Auto Trader will now be labelled as having a Great Price, Good Price or Priced Low in comparison to similar cars. The Priced Low label indicates that a vehicle is priced significantly lower than the market average.
The Indicators are determined by comparing car prices against Auto Trader market valuations. The calculations are based on make, model, derivative, age, mileage and adjusted for any optional extras on the car. Auto Trader combine and analyse data from c. 500,000 trade used car listings every day, as well as additional dealer forecourt and website data, ensuring indicators are an accurate reflection of the live retail market.
Retail Check and i-Control customers will receive adjusted guide prices specific to the car they are appraising, along with the market average guide prices, providing a clear view of the market and what the car could be worth. This enables them to make even more informed buying and pricing decisions for their forecourt, giving them a greater competitive advantage.
Karolina Edwards-Smajda, Auto Trader Retailer & Consumer Products Director, said: “In an increasingly competitive market where car buyers are savvier than ever before, price transparency is vital in building trust. It’s simply no longer an optional extra, but standard spec. That’s why we created Price Indicators, to not only help our customers’ advertisements stand out from the crowd, but to also build that all important trust, helping them to sell more cars, more quickly.
“We know that value is subjective and a buyer will make up their own mind whether the car they’ve seen represents good value for them or not. However, by labelling an advertisement based on the price of the car compared with the rest of the live market today, dealers are empowering them to make an informed decision – creating confidence in their brand in the process.”
Cars under £1,500, over £50,000, nearly new cars under six months with less than 300 miles, cars over 15 years old, Cat C/D cars, imports and private listings won’t feature the Price Indicator labels.