MGT-06
Sourcing Channel Scorecard
Rank the five sourcing channels by units and by average gross across a trailing twelve months, then name the one to grow and the one to fix.
One line each, in this order: trade on the floor, service lane, private party, wholesale and dealer buy, auction. Rank by units and by average gross — either one alone lies to you.
Trailing twelve months, five channels, ranked both ways
| Channel | Units | % of total units | Average front gross per unit | Total front gross | Rank by units | Rank by average gross | − Pack, per unit | Average after pack | Cost to acquire — fees, transport, spiff |
|---|---|---|---|---|---|---|---|---|---|
What moving one unit between channels is worth
| 1 | Average front gross, your best-gross channel | $ |
| − | Average front gross, your high-volume channel | $ |
| = | What one unit moved between them is worth | $ |
| x | Units you can realistically move next quarter | |
| = | Front gross the shift is worth | $ |
| − | Pack, which rides on every one of them $300 per unit new and used, off the top | $ |
| = | What actually lands on the statement | $ |
The leading indicator on every channel
| Measure | Actual | Standard | On / Off |
|---|---|---|---|
| Service lane: qualifying repair orders | out of warranty AND est. >= $800, or any est. >= $1,200 | ||
| Service lane: qualifying ROs with a written offer logged | 60% of qualifying ROs get a written offer | ||
| Service lane: written offer to acquisition | 10-15% | ||
| Service lane: advisor spiff | $100 per acquired unit | ||
| Trade: website trade form response time | 15 min target / 60 min max | ||
| Trade: form to physical appraisal | 25% | ||
| Private party: first response from the alert | 5 minutes private-party first response | ||
| Private party: contact to appraisal | 20% contact to appraisal | ||
| Private party: appraisal to buy | 40% appraisal to buy | ||
| Private party: units per store per month | 4-6 units / store / month | ||
| Wholesale: calls placed to your target list (APR-06) | — | ||
| Auction: bids placed against bids won, ceiling held | target retail x 0.80 | ||
| Auction: buyer fee carried into every ceiling | $300-450 per unit | ||
| Auction: transport carried into every ceiling | $150-400 regional | ||
| All channels: appraisal close rate | 30-60% appraisal close rate | ||
| All channels: front gross as a percent of selling price | 20% of selling price |
Read the leading indicator before you touch the offer amount. Units is the lagging number; when units drop, the answer is one step upstream and the work was not done.
The diagnosis, one row per channel
| Channel | Leading indicator, actual | Against standard | Grow, hold, or fix | The broken upstream number, the move, a date, one name |
|---|---|---|---|---|
The decision — one sentence each
What the channels are ranked against
- 20% of selling price
- $2,900
- $300 per unit
- new and used, off the top
- target retail x 0.80
- 30-60%
- appraisal close rate
- 5x per year
Run it once a quarter on a full trailing twelve months and file it with the appraisal log (APR-01), where every one of these numbers is built. Send it to your sales manager.