GM aims to expand dealer CPO share with CarBravo
General Motors’ new CarBravo platform allows dealers to sell Certified Pre-Owned vehicles of any brand online, but it also replaces GM’s traditional Certified Pre-Owned program for stores that choose to use it. Other automakers are likely to follow the strategy, an expert says.
“It makes sense,” said Jonathan Banks, vice president of vehicle ratings at JD Power. “We’ve talked about how OEMs can partner with dealers to optimize the used vehicle experience? Is that a good way to do that without impinging on dealers’ ability to run their business the way they want to? wish.”
CPO sales are only a fraction of the used vehicle market of 40 million units. Dealerships sold about 2.75 million CPO vehicles last year, up about 5% from 2020 and down about 2% from 2019, according to JD Power. But 16% of all used vehicles sold through franchised dealerships were CPOs. With CarBravo, GM aims to expand its share of CPO for Chevrolet, Buick and GMC by allowing consumers to view dealership inventory beyond their region and expanding to non-GM brands and company-owned vehicles. business.
“This should increase sales of certified vehicles because CarBravo’s scale is much larger than what the dealership traditionally would have,” Banks said. “Certified vehicles do better than non-certified vehicles on both days at the turn [and] of gross profit. Getting all your vehicles certified and having this platform to distribute them should be a boon for certification as a whole.”