Price used-car stock with evidence, not a universal drop schedule

Separate cost, market position and asking price

Three numbers are often blurred together. Landed cost is what the dealership has committed to the vehicle, including purchase and attributable preparation. Market position is how this car compares with genuinely similar alternatives available to the buyer. Asking price is the commercial decision made after considering those inputs, desired margin, stock age and the dealership’s proposition. None automatically dictates another. A low purchase cost does not require the lowest advert price; a high preparation bill does not make the market willing to reimburse it. Keep the numbers separate in the vehicle record and write down the decision. That makes later review more useful than remembering only the screen price.

Build the landed-cost record first

Start at acquisition and add costs as evidence arrives. WheelsAI Stock Book provides separate fields for purchase, delivery, transport, MOT, service, repair, valet, photography, auction fees and other costs. Use the correct field and attach or retain source documents under the dealership’s accounting process. Do not hide predictable preparation inside a round-number buffer, because it becomes impossible to see where margin moved. Distinguish estimates from invoices and update them when work completes. Consider funding or capital costs in the dealership’s own management view where relevant, but do not present an accounting estimate as part of the customer price explanation. Your accountant should define tax treatment and financial reporting policy.

Choose comparables a buyer could reasonably substitute

A useful comparable matches the dimensions that materially affect buyer choice: model and derivative, age, mileage, transmission, fuel or powertrain, body style, condition, service evidence, equipment, seller type and practical geography. Start narrow, then widen one dimension at a time if the sample is too small. Record why an outlier was excluded rather than deleting every car that challenges the intended price. Advertised prices show current competition, not completed transactions, and may include vehicles that have already become stale. Use available sold evidence carefully and date the comparison. Rebuild the set when the market or vehicle changes; an old screenshot should not govern the whole stocking period.

Adjust for the actual vehicle

After establishing a comparable range, list positive and negative differences in pounds where the dealership can support them, or at least in ranked order where it cannot. Consider mileage, history, owners where verified, tyre and brake condition, bodywork, interior wear, remaining MOT, keys, warranty, unusual options and work still outstanding. Avoid pricing every optional extra at its original new-car cost. Some equipment broadens demand, some matters only to a narrow buyer and some is already expected for the derivative. Apply the same adjustment discipline to drawbacks; a missing key or incomplete service record cannot be erased with optimistic copy. Preserve the adjustment notes so a manager can understand why the price differs from the median.

Set a margin floor and a review trigger

Before publication, decide the lowest acceptable outcome under current assumptions and who can approve an exception. The floor may change after new mechanical work, a revised valuation, part-exchange structure or a strategic decision to release capital, but it should not drift accidentally during negotiation. Separately choose review triggers: a date, material change in comparables, preparation completion, a pattern of views without enquiries, enquiries without appointments, or an approaching MOT event. A trigger starts a review; it does not force a reduction. Specialist, seasonal and unusual stock may need different review logic from mainstream vehicles. Document the logic by stock category rather than applying a universal “drop on day 28” rule.

Read engagement before changing price

Price is only one reason a vehicle underperforms. No impressions may indicate distribution or indexing trouble. Impressions without detail views may point to the title, lead image or obvious price position. Detail views without saves or enquiries may reveal missing evidence, unattractive condition, weak specification or an unclear dealer proposition. Enquiries without appointments can expose response, availability or qualification problems. Appointments without sales may point to condition mismatch or the deal, not the advert price. WheelsAI’s per-vehicle engagement timeline and inventory lenses help organise these signals. Treat them as evidence for a human decision, not proof that a particular repricing action will work.

Choose among more than “hold” or “cut”

A review can produce several actions: correct wrong data, complete preparation, reshoot images, improve disclosure, add missing service evidence, widen distribution, reposition the vehicle, defend the price with clearer evidence, reduce price, or withdraw it from retail. WheelsAI’s repricing recommendations are rule-based and may suggest actions such as reduce, reposition, defend, promote, pre-empt an MOT or withdraw. The dealer reviews the rationale and may apply a recommended price change; the system is not an autonomous analyst. If price changes, update the single inventory record so supported outputs remain consistent and avoid marketing a nominal reduction from a price that was never genuinely used.

Worked example — illustrative margin review

Illustrative example only: a dealer buys a hatchback for £8,100. Delivery is £120, MOT and service £310, repairs £260, valet £70, photography £30 and auction fees £180. Recorded landed cost is therefore £9,070. A carefully matched current set sits between £10,250 and £10,850, with the closest cars near £10,500. This vehicle has two keys and recent service evidence but one photographed wheel mark, so the dealer lists at £10,495 and records an intended gross margin of £1,425 before any other dealership overhead or deal costs. Two weeks later, views are healthy but enquiries are weak. The review checks photos, condition disclosure and new comparables before choosing whether to hold, improve the advert or change price. The example demonstrates arithmetic and process; it is not a recommended margin or timetable.

Manage negotiation from the same record

When a buyer makes an offer, return to landed cost, approved floor, preparation still due and the complete deal. A screen-price discount may interact with part exchange, warranty, fees, delivery or finance-example structure, so record each component rather than focusing on one headline reduction. Do not inflate one line to make another look generous. The Deal Builder can keep base price, part exchange, example finance figures, warranties and fees together for customer review and acceptance. Finance figures remain illustrative unless handled through an appropriately regulated process; WheelsAI does not provide lender approval. Record the reason for a manager exception so future pricing reviews learn from the deal instead of seeing only the final sale price.

Review the outcome and improve the rule

At sale or withdrawal, compare original landed cost, later costs, initial price, each repricing decision, enquiry history, days in stock and final deal outcome. Group results by meaningful categories, but be careful with small samples and unusual vehicles. Ask whether the original comparable set was sound, whether preparation was known early enough, whether listing quality affected response and whether the review trigger prompted a useful action. Do not turn one quick sale into a universal claim that the car was underpriced, or one aged unit into a city-wide demand conclusion. Update the dealership’s pricing checklist when a repeatable error appears. Over time, the value is a clearer decision process and cleaner data, not a guaranteed stock-turn figure.

Reusable weekly pricing checklist

Use the checklist to focus the meeting on decisions and evidence rather than an automatic discount batch.

• Confirm status and preparation for each reviewed vehicle.
• Refresh close comparables and date the evidence.
• Reconcile estimated and invoiced vehicle costs.
• Review views, saves, enquiries, appointments and feedback.
• Check upcoming MOT, seasonal or model-specific events.
• Choose and record hold, improve, reposition, reduce, promote or withdraw.
• Name the approver and update the single inventory record.
• At disposal, capture the outcome for the next buying and pricing decision.