Benefits of Grading

Sellers

 

  • A defined condition will promote the best possible price.  The grade represents a defined condition which encourages buyers to bid with confidence.  In the past, if there has been any aspect of a car’s condition that has aroused doubt in the mind of an intending buyer, then the bids were likely to reflect this
  • Cars of specific grades will be attractive to certain buyers thereby helping to ensure that sellers attract the best audience for their cars
  • The setting of reserve prices can be assessed more critically because more is known about the condition of individual cars.  This will reduce the incidence of cars, either exceeding, or falling short of reserves, without apparent reason
  • The adoption of condition values by the Guides will permit a more accurate comparison with either reserves being set, or the prices being achieved
  • Provide a consistent, transparent grading of vehicles across different auction centres.

 

Buyers

 

  • The consistent and transparent grading of vehicles across different auction centres allows buyers to target those cars that are of particular interest, saving valuable time in the process
  • For individual sales buyers can easily and quickly identify those cars that are of interest
  • Buyers will have more confidence to buy on-line in the knowledge that they are purchasing a car of a known condition
  • The grading that is supported with a detailed vehicle inspection carried out by a trained inspector in appropriate weather conditions

 

Auction Houses

 

  • With more certainty around condition, transactions between buyers and sellers can be conducted more efficiently.  This is because the grade reduces condition ambiguities and possible disagreements
  • Provides a role definition of competency framework for the recruitment and development of vehicle inspectors
  • Provides a training resource for the training of vehicle inspectors

 

The aim of a standardised grading scheme is to provide structure, systems and training that remove some of the subjectivity that currently exists.  A number of grading systems already exist but there is no standardised scheme and this makes it difficult for customers to compare. 

The grading scheme is completely voluntary but has a wide take up within the auction sector.