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Selling Process Re-Organized to Latest Trends & Requirements for
Automobile Segment
IDENTIFICATIONFeet on street activity / Telemarketing activity / Dealer Seminars / Dealer Association’s meetings / Mechanic shop tie-upsExisting dealer references / Print advertisements
PRE-QUALIFICATIONPrequalify dealers thru FOS & Telemarketing, based on the interest and availability of the KYC documents.Collect KYC documents from the prequalified dealers & verify their authenticity for Clearance.
REGISTRATIONRegistration is free of cost for dealersVerified dealers are registered in our website www.ediig.inDuring registration a user id and password would be created for Future Usage
TRAININGAn extensive training is given in local language or dealer understandable language on the complete auction process of eDiig.During the training, dealers are made to understand the process on checking the auction calendar for vehicle listings & date of auctionDealers are also trained to login into the site themselves, enter their username & password, and go to the auction bidding page and bid by themselves.Training is also provided on using the auto bid feature & printing the bidding activity sheet.
ACTIVATIONDealers are handhold to participate in their first live auction, giving them all possible help to make him do the first bid.A dealer is taken as activated, if he has put the first bid.
CONTINUITY – Follow up is done with new dealers to do repeat bidding.
TMF 10 – TMF will Release the Transaction Fee to eDiig EDIIG
SOURCE PROCESS STEP DESTINATION
TMF 1 – TMF Provides List to eDiig EDIIG
EDIIG 2 – eDiig Circulates the list to Dealers DEALER
TMF 3 – Dealer Inspects the Vehicles at Godown DEALER
EDIIG 4 – eDiig Conducts Online Auction / Offline Bulk Quotes DEALER
DEALER 5 – Dealers Bid in eDiig Online Auction / Submit Quotes EDIIG
EDIIG 6 – eDiig Sends the Auction Completion Report to TMF TMF
DEALER 7 – Dealers make the payment to the TMF on confirmation TMF
TMF 8 – TMF Releases Vehicles to the Dealers post Payment DEALER
EDIIG 9 – eDiig will Raise an Invoice for the Sold Vehicles TMF
TMF Gives List to eDiig
eDiig will Intimate the Dealers about
the Auction by SMS / E-Mail / Etc
Dealers to Collect the inspection
letters from TMF
Dealers will inspect the vehicles in
Godown
eDiig will collect feedback about the
vehicles and the market trend
Feedback is sent to TMF Pre Auction to
recommend any changes
Based on Feedback provided by eDiig
TMF can re-consider any Prices
Final Confirmation of Prices is taken
from TMFAuction to be LIVE
Auction LIVE –Dealers Get a Final
Reminder
eDiig Will Monitor the Start of Bids in
the Auction
Dealers are given required assistance , but they have to BID on their own
eDiig will check for any Wrong Bids
eDiig will also cross check with the
Dealers on their activity
eDiig will EDIT any Wrong BIDS, but will confirm with TMF before that
On Completion of the auction, eDiig does a final check
on the Winners
Auction Report Sent to TMF
Dealers are also intimated on the
vehicles they WON
eDiig Intimates the Buyers to start the
payments
Buyers will make the payments to
TMF based on auction report
eDiig will follow-up regularly with the
Dealers for payments
If any Dealer is not paying for an Asset eDiig de-activates
their ID’s
eDiig will then check with 2nd or 3rd Bidder after confirming with
TMF
TMF will release the vehicles after the Dealer makes
the payments
TMF needs to inform the Dealers about the status of
NOC, RC’s, documents, etc
eDiig will then provide the
necessary MIS & post auction
review
eDiig will Cross check with the
Client on the final outcome after 48
hours post auction
Payment follow up and ensuring fulfillment is a very important part in auction process. In eDiig, we have an effective and efficient post auction payment follow up system to ensure dealers payments
Detailed auction completion report is
sent to TMF
Winner Gets Intimation thru SMS / Tele on No
of Vehicles Won + Amount & Branch
Contact Person
Dealers have a Timeframe of 48 hours to make the payments
Dealers can also get the list of vehicles won
from their My Bidding Page
Dealers get a reminder SMS & Call next day for making the payments
eDiig takes the payment details made
from the Dealers to Track MIS
After 48 hours ID’s of Dealers who have not
made the payment will be temporarily de-
activated
Day-3 – SMS is sent to Dealers who have not made the payments
about de-activation of their id’s
For genuine reasons in delay in payment,
dealers are given time till the end of 3rd Day
Final status is reviewed on the 4th day and a
call is given to dealers to get update on their
payment status
On 5th day, defaulting dealers are deactivated & 2nd or 3rd bidders are asked to complete the
transaction
Day – 6 - Final status report on fulfillment is
sent to the client for confirmation
In total, a minimum of 2 days and a maximum of 6 days is required to complete a transaction and also dealers are called upto 5 times and SMS is sent upto 3 times to get payment updates on their transactions
There are around 300 vehicle models which are available in used market from 35 different manufacturers Out of the 300 models only around 60 models are fast moving, the remaining 240 are slow moving/non moving.Most of the clients are stuck up with these slow moving stocks as used vehicle inventory.We would do a model wise analysis on the following points for every model
1) Resale Value2) Markets where the models are strong/more demand3) Find out Locations of New vehicle franchises, authorized sales point, authorized service point,
authorized used vehicle dealers & company trained mechanics.4) Prices at which the vehicles, were sold & the present price.
Based on the analysis, we can formulate the model wise strategy for selling Tactical Dealer development plan, register as dealers, all the authorized sales, service & mechanics of the
particular brand to participate in the auction. They would pay more for the vehicles than others Invite dealers to auctions from markets where the particular brand has demand/resale value Tie-up with vehicle manufacturers, where they would give service support for their models, to enhance market demand and higher resale value. Tie up with major insurance companies to provide duplicate invoices for the vehicles sold in auctions.
Strategy for selling, where vehicles are unregistered or do not have RC1) Formulate a four way tie –up between eDiig, new vehicle manufacturer, Vehicle financier & new
vehicle manufacturer franchises.2) Through our Government affairs & engagement program, we can organize a tie-up with RTO’s to
issue duplicate RC’s / fresh RC at a speedy pace.3) Can formulate an arrangement with vehicle financiers, to get the original RC’s from original
customers.
Arrange for inventory / stock funding for slow / non moving brands, by organizing tie-ups with NBFC’s / Private Financiers, based on dealer’s track record/capability
Bundling fast moving models with slow moving models. The pull generated by the fast moving model, will automatically push in the slow moving models.
Run a buyer incentive scheme for buyers of slow moving / No RC / Unregistered vehicles Conduct Open auctions, by inviting everyone thru paper advertisement, thereby trying to sell the slow
moving stock thru B2C model. By combining the above points, we can formulate a robust selling strategy for slow moving vehicles
eDiig Business Adjacencies
eDiig has also stepped into by-products of Motors, which would spiral the growth of the motors business as a whole.
General Insurance – eDiig tied-up as a corporate agent with Royal Sundaram Insurance, for providing motor vehicle insurance to our dealers. Usually, when dealers sell their vehicles to individuals or end users they insure it and they sell it.Dealers get a margin of anywhere between 5% to 15% as insurance commission, from their existing setup. When they take insurance thru eDiig, they would get a minimum of 20% and a maximum of 25%. We would pass on 90% of our incentives to dealers, to help them earn more out of a vehicle business transaction and also make them repeat buyers in our site.
Inventory Funding/Business Loans - eDiig started the process of tying up with leading financial institutions for arranging inventory funding/business loans to dealers, based on the track and potential. This would ensure in prompt payments in auctions, good price appreciation & high sell thru.
Auto Classifieds – Developing our B2C auto classifieds called “eDiig Motors”. This classified site would allow dealers to create their virtual showroom to showcase and sell their vehicles to the end-users in different locations. The site would give the dealer a sense of owning a online showroom.
Valuations - Provide comprehensive valuation services to our dealer network. Thereby giving them the comfort of selling their vehicles at consumer prices with an authorized valuation back up. Valuations can be provided both onsite and offsite.
Motors
Insurance
Inventory Funding
Valuations
Auto Classifieds
Client 2W 3W 4W CV FE Equipments Total
ICICI Bank 400 400 60 250 5 100 1215
TVS Finance Ltd 5000 0 0 0 0 0 5000
Bajaj Auto Finance Ltd 5000 2500 0 0 0 0 7500
Mahindra Finance 0 850 750 500 1000 0 3100
Chola DBS 0 500 250 250 0 0 1000
Shriram Finance 0 500 125 125 0 0 750
Indusind Bank 200 800 25 100 0 200 1325
Private financiers 0 500 5 125 0 0 630
Total 10600 6050 1215 1350 1005 300 20520
Total no of vehicles listed for auctions - 20520 vehicles Total no of vehicles sold in auctions - 15390 vehicles Total conversion rate in auctions - 75% Total Price appreciation over base price in auctions – 11.5% Total gross merchandise Volume in auctions – 42.5 Crores Total net conversion in terms of value in auctions – 36.12 Crores i.e. 85% Total net conversion in terms of vehicles sold in auctions - 14004 i.e. 91%