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as article june 2017Moneyball Strategy for Used Car Sales


The flood of used vehicles in the market has increased competition and threatens profitability. Now more than ever, dealers need a data-based strategy to capture their share of the market without giving up the gross. Using your data to create a market-based strategy is your best defense against costly acquisition mistakes and dwindling profits.

A “Moneyball” Mindset

In 2002, the Oakland A’s General Manager Billy Beane was entering a post-playoff season having lost his top talent to teams with higher payrolls, and was searching for a way to put together a winning team on a budget. The movie version of this true story plays up the conflict between old-school wisdom and new-school data, but at that time “sabermetrics,” or the use of data in scouting, was a new concept. Beane formed an alliance with the Paul DePodesta, the Cleveland Indians’ special assistant to the GM (referred to as “Peter Brand” in the movie) and hired him as his special assistant. Together, they merged the art of scouting with science (data) to build a winning team they could afford.

What Makes a Win

DePodesta won Beane over with his ability to demystify winning baseball games with data. He suggested the A’s add players to their roster who were good at getting on base. Why? DePodesta reasoned that getting on base was the first step to winning. Getting on base creates the opportunity for runs, and runs create wins. At first glance, his view of how to win might appear simplistic, leaving little room for old-school wisdom, but it was a measurable place for the A’s to begin. Some say the process developed by Beane and DePodesta changed the game of baseball. What we know for certain is in 2002, the Athletics became the first team in the 100-plus years of American League baseball to win 20 consecutive games.

Building Your Moneyball Dealership Team

There are multiple factors that lead to a sale, from marketing to merchandising to lead generation and more. There is, however, a simple, data-based approach to growing your used car sales that can be extremely effective, and dealers have had measurable success using the following strategy…


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