The unconventional strategy is paying dividends.
Toyota Walnut Creek’s average monthly used-vehicle acquisitions jumped to 61 vehicles in the second half of 2022, compared with 33 in the first half. The additional inventory drove the store’s used-vehicle sales volume 12 percent higher in that period.
Shortly after the At-Home unit launched last July, the store was acquiring 100 used cars a month. “We slowed it down a bit because we were buying a lot of cars, and we didn’t want to get too out of control and create a liability,” Barnett said.
The At-Home group targets highly desirable model variants, leading to a 17 percent faster turn rate and 11 percent higher margins. About 7 percent of purchase offers are accepted, and employees receive $400 for every vehicle acquired by the dealership.
“The purchasing team is like its own miniature dealership that requires no square footage, no heating and air conditioning, and no parking spaces,” Barnett said.
Toyota Walnut Creek, part of Price Simms Auto Group, reported sales of 2,311 new and 1,153 used vehicles last year.
