“AI is how remarketers will add value”
In a session of the Remarketing Expert Track held earlier this week, various industry experts shed their light on automated vehicle inspections. Also have a look at our feature investigating whether remarketing is becoming a science.
Silvio Grandelis, Managing Partner at mproov, laid down the groundwork: “There are three types of automated vehicle inspection: scanner-based, app-based, picture-based. Of the seven areas supported by automated inspection, three are relevant for remarketing: inspection when selling and buying, inspection at the end of a lease or rental period, and pre-inspection. The latter is the easiest implementation, and it has the potential to greatly speed up the final vehicle inspection and claims management.”
Lea Chevry, Co-Founder of Tchek, held forth on how AI-driven vehicle inspections can empower the business strategy of remarketers. On balance, she said, AI “can help you empower existing processes in 80% of the case, and create new processes in 20% of the case.”
AI in vehicle inspection creates three major, and unmissable, opportunities for remarketing, she said: “it cuts cost, it reduces lead times and it standardises quality. In fact, AI will be part of the business process of all remarketers. It will be how we add value for our customers.”
If that is so, will humans become expendable in the remarketing value chain? That’s the question the event’s second panel discussion tried to answer.
For Kai Maywald, Technical Service Manager at Dekra, the answer was a resounding no. “Take for example banking. We do most of our banking online. But there are still banks. Fewer, and delivering more expert services. And so it will go with vehicle inspections too.”
Some areas in which human inspectors still have the upper hand: “I haven’t seen an AI yet that can smell the interior of a car, or that can leaf through a service booklet, or that can sense the discrepancy between low mileage and the wear and tear of a vehicle.”
Max Wessel, Head of Operations at CarNext.com, explained why his company is doing pilots with automated inspections: “We use one system without AI, which could be a solution for labour-intensive inspection processes, and another one with AI, which could prove the right one for high-volume inspections.”
Inspections are crucial, said Peter Obbing, International Business Development Manager at Hüsges Group: “Dealers often ‘forget’ to earn a lot of money on used cars because they don’t inspect them thoroughly for defects. If they did, they could earn up to €500 more per car, in our experience.”
The future of vehicle inspection will probably be hybrid: part AI and automated, part human and manual – customised to fit a variety of needs. That future may not get here tomorrow, but get here it will. Paraphrasing Bill Gates, Lea Chevy said: “People overestimate the change that will happen in the next two years, but they underestimate the change that will happen in the next ten years.”
“Automated inspection is definitely the next frontier in the world of remarketing,” concluded event moderator Johan Verbois.
The virtual event was the first of four major remarketing-focused highlights on Fleet Europe’s 2021 calendar. On 22 June, a second Expert Track will delve into Buying used cars online, today and tomorrow. In October, Fleet Europe will publish an e-book on Vehicle electrification: the remarketing challenge & opportunity. And on 17 November, the annual Remarketing Forum will return.
See also (1/2): Is remarketing becoming a science?