Buy Here Pay Here Secrets REVEALED
发布时间 2024-01-09 10:00:05 来源
It's considered one of the most controversial parts of the use car business. It's called a buy your pay your dealership and if you're not familiar with the term, you're in for a wild episode. My guest today is Tiger Oakley, the president of Oaks Motors, a five location buy your pay your dealer group based out of Indiana. We discussed what is a buy here pay your dealership, how he manages to a 40% loan default ratio, financing customers that traditional banks avoid, crazy customer horror stories and much more.
这被认为是二手车业务中最具争议的部分之一。它被称为“买车付款”的经销商，如果您对这个术语不熟悉，您将会有一个惊心动魄的剧集体验。我的今天的嘉宾是Tiger Oakley，奥克斯汽车公司的总裁，这是一个总部位于印第安纳州的五家“买车付款”经销商集团。我们讨论了什么是“买车付款”的经销商，他是如何应对40%的贷款违约比率，贷款给传统银行避免的客户，令人发疯的客户恐怖故事等等。
Don't forget to click subscribe so you never miss an episode. What's up everyone, this is car dealership guy. You're listening to the car dealership guy podcast, which is my effort to give you access to the most unbiased and transparent insights into the car market. But before we get into the show, this episode is brought to you by Auto-Fi. Auto-Fi helps progressive dealers like you sell smarter, not harder on your dealership website and now in your showroom too. Auto-Fi solves the everyday problems dealers actually face like bottlenecks at the sales desk, customer distrust and decision overload. And their all new showroom solution includes deal estimation, desking, lender routing and an F&I menu. All of this in one powerful platform that bridges the gap between CRM and the DMS.
别忘了点击订阅，这样你就不会错过任何一个节目。大家好，我是汽车经销商先生。你正在收听《汽车经销商先生播客》，这是我为你提供对汽车市场最客观和透明见解的努力。但在我们开始节目之前，本集节目由Auto-Fi赞助。Auto-Fi帮助像你这样的进步型经销商，在你的经销商网站和展厅中更加智能、更少努力地进行销售。Auto-Fi解决了经销商们实际面临的诸如销售台瓶颈、顾客不信任和决策过载等问题。他们全新的展厅解决方案包括交易估计、销售台识别、借贷路由和F&I菜单。所有这些功能都集于一个强大的平台，弥合了CRM和DMS之间的差距。
Dealerships with Auto-Fi can manage the floor more efficiently, fast track the yes and make better lender decisions, enabling them to sell cars faster with higher satisfaction and more profit. In fact, deals with Auto-Fi take an average of 28 minutes from customer check into loan approval and dealers are making $411 more back-end PVR per deal. Go to Auto-Fi.com slash CDG to learn more. That's Auto-Fi.com slash CDG and start selling smarter today.
拥有Auto-Fi的经销商可以更高效地管理展厅，加快审批过程，做出更好的贷款决策，从而更快地以更高的满意度和更多的利润销售汽车。事实上，与Auto-Fi的交易平均只需28分钟，从客户检查到贷款批准，经销商每笔交易的后端利润率增加了411美元。请访问Auto-Fi.com/CDG了解更多信息。这就是Auto-Fi.com/CDG，开始更智能地销售汽车吧。
This episode is also brought to you by CDK Global. CDK Global has been empowering nearly 15,000 dealers with the tools and technology they need to build deeper relationships with customers. Their team is keenly aware of the state of dealership technology. And while many vendors promise seamless experiences between your CRM, DMS, digital retail and fixed ops, most of these bolt-on solutions tend to break workflows and cause more harm than good. That is why CDK has launched a new dealership experience platform.
本集节目也由CDK Global赞助。CDK Global通过为近15000家经销商提供工具和技术来增强他们与客户的关系。他们的团队对销售点技术的现状非常清楚。虽然很多供应商承诺能够实现客户关系管理系统（CRM）、经销管理系统（DMS）、数字零售和固定运营之间的无缝体验，但大多数这类外挂解决方案往往会破坏工作流程，带来更多的损害而不是好处。这就是为什么CDK推出了一个新的销售点体验平台的原因。
This new integrated software consists of everything you need to operate a dealership officially while delivering an unparalleled experience to your customers. Basically, everything working together, not separate, one system to run your dealership as opposed to 10. CDK developed it with an outside-end approach listening to dealers every step of the way. You can learn more about CDK's dealership experience platform by visiting CDK Global.com slash DXP or clicking the link in the show notes below.
这款全新的综合软件包含了您在正式运营经销商所需的一切，同时为您的客户提供无与伦比的体验。基本上，所有功能都可以同时运行，而不是分别独立运行，您只需要一个系统来经营您的经销商，而不是十个。CDK以一种以外部视角的方式开发了这款软件，一直在倾听经销商的每一步需求。您可以通过访问CDK Global.com/ DXP或在下面的节目笔记中点击链接，了解更多关于CDK的经销商体验平台的信息。
What the heck is the buy here pay here dealership? I think just give us that simple context. You know, I think in its most simple presentation, it's access to, you know, transportation and financing. At grassroots level, that is not really served by any, what I would say, regional or national lender or really dealership group. Right? I mean, at the end of the day, somebody needs transportation, doesn't really know the ins and outs of how to make that work or maybe their life doesn't allow them to have a traditional credit profile, but they still need transportation. They still need to get to work. They still need to take their kids' places. They still need to take mom and dad to the hospital, those types of things, you know.
买家支付这里的经销商到底是什么鬼？我认为就给我们一个简单的背景就可以了。你知道，我认为最简单的表达方式就是提供交通和融资机会。在基层层面上，没有任何一个地区或国家的贷款人或经销商集团真正为此提供服务。对吧？我的意思是，归根结底，有些人需要交通工具，但并不了解如何使其运作，或者他们的生活方式不允许他们有传统信用记录，但他们仍然需要交通工具。他们仍然需要去上班。他们仍然需要接送孩子。他们仍然需要送父母去医院，那些事情，你知道的。
Alright. How did you get into this industry? I think even like starting earlier than that, like you wake up one day, like what brings you into buy here, pay here, use car industry. Go ahead. You know, it's the craziest story from a, you know, sometimes you go dumb luck, right? And you never know how things are going to turn out and life gives you an opportunity. And there it is. Well, my dad, my mom started the company and it's my brother and I now. And so, you know, my dad worked for a major fortune 100 company and was very successful. Was one of four vice presidents for them and ended up taking on a project that was not going to be successful, but he did the company thing and was terminated. And so he decided he wanted to search for something on his own and he had a neighbor that had started a business like this. And he researched it and he decided to commit to it.
好的。你是怎样进入这个行业的？我指的是早在那之前，就好像有一天你醒来，是什么让你进入这个二手车买卖行业的？请继续。你知道，这可能是一个很疯狂的故事，有时候纯属运气，你永远都不知道事情会怎样发展，生活给了你一个机会。我的爸爸和妈妈创办了这家公司，现在轮到我和我哥哥。所以，你知道，我爸爸之前在一个大型的财富100强公司工作，非常成功。他是其中四位副总裁之一，后来他承接了一个注定不会成功的项目，但他照公司的做法坚持做下去，结果被解雇了。于是他决定想要自己寻找一些事情做，他的邻居开了一家类似的生意。他调查了一番，最终决定投入其中。
And, you know, my brother and I went to college and we would come back and we got exposed to it through the summers, right? We were helping out with the business, the family business as we were kids, kids being young adults and had no intention of going into this industry. Lo and behold, you graduate from college, you know, really an accounting and a finance degree. And that's the year that Wall Street laid off 40,000 guys and doing the job that I wanted to do. And so there were really no jobs to be had. And I had this experience and knew I could sell cars and that's where it started.
你知道吗，我和我哥哥上大学时，每年夏天回来假期的时候都会接触到这个行业，对吧？我们小时候就开始帮忙家里的生意，虽然我们还只是年轻人，并没有打算从事这个行业。然而，当你从大学毕业之后，你知道的，我主修会计和金融专业。恰巧那年华尔街裁员了40,000人，其中包括我想从事的工作岗位。所以，真的找不到工作机会。我有这方面的经验，知道自己能够卖车，这就是开始的地方。
When you said you knew you could sell cars, like how did you know that? By the way, I obviously, I write a way to think about my experience. Like I remember the first time, you know, I sold a car. I didn't think I could do it. I was actually pretty scared. I think I ended up being pretty good at it. But go ahead. What's your story?
当你说你知道你能卖车的时候，你是如何知道的呢？顺便说一下，我显而易见，我会写出一种思考我的经验的方式。就像我记得第一次卖车的时候，我并不认为我能做到。我其实挺害怕的。但最后我发现自己还挺擅长的。但是请继续，你的故事是什么？
My dad needed some help and home from school, right, for summer. And he's like, hey, you need to come to the dealership, do whatever we need you to do. And you know how it goes, right? One day, everything's great. The next day, hey, we don't have any salespeople here. There's customers on the lot. Go talk to them. And I'm like, well, what do I say? Right? We'll figure it out. Right? And really, it just becomes, you get to know the customer, what they're looking for, what's going on. You build some rapport and you try to solve the needs that fit the budget. And, you know, it became a pretty easy thing. And fortunately for me, I got to get exposed to a couple of guys that, you know, led the way and said, hey, this is how you can interact with a customer in a very directed way that makes it easy for them and easy for you to find a fit. And, you know, the next day, you know, I had two or three summers of very successful earnings selling cars, you know, making some extra money during school.
我的爸爸需要一些帮助和回家，在暑假的时候是吗？然后他对我说，你需要来汽车经销商，做我们需要你做的事情。你知道的，就是这么回事，一天一切都很好，第二天，嘿，我们这里没有销售人员了，停车场上有顾客。去和他们交谈一下。我就问，我该说什么呢？对吧？我们会想办法解决的。实际上，你只需要了解顾客，知道他们在找什么，有什么需求。与他们建立一些友好关系，然后尽力为他们寻找符合预算的解决方案。这其实是一件很容易的事情。对我来说，幸运的是，我有机会接触到几个带领我的人，他们告诉我，这是你如何以一种有针对性的方式与顾客互动，使得对他们和你自己都很容易找到合适的东西。然后，第二天，我度过了两三个暑假，通过卖车赚取了很成功的收入，同时在上学期间也赚了一些额外的钱。
How much you make? Oh, gosh. So this is back in, I'm going to say this is early 80s, right? Well, I was three, three months and I made 15 grand. I was like, man, this is more money than I've ever seen in my life, you know. Yeah.
你赚了多少钱？哦，天啊。我记得那是在80年代初，我大概三个月大的时候，我赚了1.5万美元。当时我真的觉得这比我一生中见过的钱都多，你知道吗？是的。
All right. So like let's get the technical definition of buy here, pay here out of the way for anyone that doesn't understand, but simply means that as a dealer, we work with third party lenders to put, you know, to get loans for our customers. In your case, as a buy here, pay your dealership, you are actually doing the loans that you're selling, you are lending the money to the customer yourself. And you do that for various reasons which we'll get into shortly. But one of the core reasons is that these customers cannot typically come to you because they cannot get financed elsewhere. That's correct. That is correct.
好的。接下来，我们先来解释一下“在这里购买、在这里付款”的技术定义，以便于理解。简单来说，这意味着作为一家经销商，我们与第三方贷款机构合作，为我们的客户提供贷款。在你的情况下，作为一家“在这里购买、在这里付款”的经销商，你实际上是自己提供贷款给客户。你这样做出于各种原因，我们很快会详细讨论。但其中一个核心原因是，这些客户通常无法来找你，因为他们无法得到其他地方的融资。没错，就是这样。
All right. So for anyone that doesn't understand that is the fundamental basis for what is known as buy here, pay here in the car business. Why is buy here pay here so controversial in our industry? Anytime you're dealing with a segment of the market that is perceived to be disadvantaged, I think that you have a lot of scrutiny both by the market and by legislation, right, rightly or wrongly. And then I think at the end of the day, you also have, you know, because because there is a group that you're serving that may be disadvantaged because they don't have access to what everybody else is calling traditional, that there is some real opportunity for bad actors to take advantage of folks, you know, so I think that just by being disadvantaged but still needing access and then because they're disadvantaged and there is oversight, part of that oversight is because, you know, there are some bad actors and they do some things that they shouldn't do.
好的。对于那些不理解的人来说，这就是所谓的汽车业“在这里购买，在这里付款”的基本原理。为什么“在这里购买，在这里付款”在我们的行业中如此具有争议呢？每当你与一个被认为处于劣势的市场领域打交道时，我认为市场和立法方面都会对此进行严格审查，不论是对还是错。而且我认为，到头来，你会发现因为这个服务的对象可能会受到劣势待遇，因为他们没有像其他人一样的传统方式获得贷款，所以真的存在一些机会让一些不良分子利用他们。我认为，仅仅因为他们处于劣势地位但仍然需要贷款，并且由于劣势地位而受到监管，监管的一部分也是因为有一些不良分子会做一些不应该做的事情。
Let's get that out of the way for a second. What does that mean? When you say bad actors that do things they shouldn't do? What does that actually mean? Well, I think that there are a number of, I would say, there are there's always challenges in legislation, right? But I think ultimately legislation is meant to and the oversight that it's meant to give is more from these are the rules which we should play because everybody thinks that that makes sense, hopefully, right? It's not always that way but that's really kind of what legislation is meant to do. Work within the frames of what makes sense and what is really deemed good business, right? And like anything, if you look at industry as a whole, not just our industry, there is always somebody that is trying to decide what rules they can skirt and trade opportunity for cost, right? And get a competitive advantage and I think it's the same kind of thing in our industry, right? I mean, a classic one would be a car is worth a lot more with lower mileage on. It, right? So if I go to the auction and I'm a bad actor and I buy a car with 200,000 miles and I roll it back to 50,000 miles because it looks good, well, what have I just done? You know, whoever's going to be buying that is going to be cheated and I'm going to get the benefit because I just did something that's illegal. I mean, that's a very deliberate type of fraud. Do you see that? Do you know of that still happening? I mean, I remember earlier or, you know, in the earlier days in the business, that was more rampant nowadays. I feel like maybe there's some less of that, but do you still see that kind of deliberate fraud in the market?
让我们暂时抛开这个话题。你说的“那些做不应该做的事情的坏人”是指什么？实际上指的是什么？我认为在立法中总会存在一些挑战，但我认为立法的目的和监管是为了制定一些规则，大家觉得有道理的规则，希望是这样的，对吧？虽然并非总是如此，但这确实是立法的目的。我们要在合理的范围内工作，确保做好业务。就像任何行业一样，不仅仅是我们的行业，总会有人试图规避规则，以换取成本的机会，获取竞争优势。我认为我们的行业也是如此。一个经典的例子是一辆车里程数越低价值越高。所以如果我是个不法分子，去拍卖会上买一辆行驶了20万公里的车，然后把里程表改回5万公里，以便显得车子更好些，那我刚做了什么？购买这辆车的人将会受到欺骗，而我将从中获利，因为我刚刚做了违法的事情。这是一种非常有意图的欺诈行为。你有看到这种情况吗？你知道这种情况现在还在发生吗？我记得在行业的早期，这种情况更加猖獗，但现在感觉好像少了一些，但你还能看到这种有意的欺诈行为存在于市场中吗？
I don't think it's rampant, but I think this industry is fraught with, you know, it's easy. It's not necessarily easy to enter the buyer pay here space because it takes so much capital. But the auto industry, yeah, but the auto industry itself, I mean, you can get in and out at any level, right? I mean, you could sell one car if you want that you're in the auto industry, maybe not fully immersed. But if you sold a car, you're in the auto industry, right? That transaction nets some number and you can decide to curb cars. So, you know, there is this wide range of opportunity for a lot of different experiences and a lot of different presentations and a lot of different executions. Now, whether it's on a global scale that becomes relevant to anybody is a different story, but I would agree with you that, you know, the industry overall has become much better from that at a real high level, but it doesn't absolve people from that kind of stuff happening all the time.
我认为这种情况并不普遍，但我认为这个行业存在许多问题，你知道，有些方面确实很容易。要进入汽车买卖领域并不容易，因为需要很多资金。但是汽车行业本身，嗯，你可以以任何层次进入和退出，对吧？我是说，你如果想要卖一辆车，那你就是汽车行业的一部分，也许不完全沉浸其中。但如果你卖了一辆车，那么这笔交易就能获得一定的利润，你可以决定继续做车生意。所以，你知道，这个行业提供了广泛的机会，可以有很多不同的经历、不同的展示和不同的执行方式。现在，是否对任何人来说都在全球范围内具有相关性，这就是另外一回事了，但我同意你的观点，整个行业在高层面上确实有所改善，但这并不能免除这种事情经常发生的可能性。
Tell us more about your group, right? Like how many stores, what do you sell annually vehicles? Give us some overview.
告诉我们更多关于你们的团队，好吗？比如有多少家店，你们每年销售多少辆车？给我们一些概览信息。
So, we are five selling locations, three full service facilities that do reconditioning and customer service, four of our five locations are X new car dealerships that we have taken over. So, we have capacity to be able to sell the volume that we want and be able to recondition and service the customer base that we have. We have a corporate office that's separate and that corporate office also houses our separate finance company. So, it is 100% a separate entity, but they work just hand in hand, brother, sister relationship together because that's, you know, you need to be able to understand the dynamic of the customer holistically to be able to really move the needle in this industry in our belief. Some don't, but that's the way we believe it works.
所以，我们有五个销售地点，其中三个是全服务设施，进行整修和客户服务，我们接手了其中四个的新车经销商。因此，我们有能力销售我们想要的数量，并且能够整修和为我们的客户提供服务。我们有一个独立的公司办公室，这个办公室还容纳了我们独立的金融公司。所以，它是一个100%独立的实体，但它们紧密合作，就像兄弟姐妹一样，因为在我们的理解中，你需要能够全面地了解客户的动态，才能真正在这个行业中起到积极作用。有些人可能不这样认为，但这是我们的信念。
We roughly sell, I say, 3,600 a year, have roughly 10,000 accounts that we serve as a regular basis and that becomes a flat cycle. 3,600 units. What's your average selling price? I would say anywhere 18, 19, 20 grand is our average sell price now. Post pandemic, before that it was a lot less, but prices are just crazy. Those numbers were like, my gut reaction when you just said that was like, wow, like I remember the buy here, pay here cars being like 5 to 7 grand and it's so funny. It's so funny how just like things have shifted so much. And so you mentioned 10,000 accounts you're serving, right? So that people that have financed through you that are paying to you. Got it.
我们大致每年销售3,600单位，大约有10,000个我们定期服务的客户账户，成为一个平稳的循环。每年销售3,600单位。你们的平均销售价格是多少？我会说大约是18、19、20万美元，这是我们现在的平均销售价格。疫情之前，价格低得多，但现在价格疯涨。当你刚才说到那些数字时，我的第一反应是，哇，我记得“在这里买，这里付”的车价只有5到7千美元，真有趣。事情变化得真是太有趣了。所以你提到你们正在为10,000个客户提供服务，对吧？就是通过你们融资并向你们付款的人。了解了。
And give us an over who are your customers? Like what's the profile of your customer credit financially? Like just tell us a little bit about them.
请告诉我们一下你们的客户是谁，比如客户的财务信用概况是怎样的？简单介绍一下他们的情况。
Well, I think from a profile standpoint, it's a really dynamic and fluid thing. And I would say that the biggest thing is what is the credit profile? How big is the credit profile? And I would tell you that we butt up and I think one of the things that we do is we provide a different value proposition other than just access to credit. That is attractive.
嗯，从个人资料的角度来看，它是一个非常具有活力和灵活性的事情。我认为最重要的是什么是信用档案？信用档案有多大？我要告诉你的是，我们与其他人不同，我们提供的不仅仅是获得信用的途径，还有其他吸引人的价值主张。
So we have what we call our certified program which gives them access to our ultimate protection plus program. And so instead of just being able to buy a car and just get financing, we look at globally. What are the things that cause our customer to maybe more often than not become, you know, unsuccessful? And not just so much from a standpoint of, you know, hey, you know, I had a life change, right? Like I got a divorce or let's say I lost a job or, you know, now I can't work because I'm disabled for some reason or something happens, right? We can't mitigate those things to a degree. We can help if there's opportunity there, but, you know, we can't we can't do anything about whether, you know, it's a it's a bitter divorce and something bad happens, right? Or if you lose your employment and are not going to be able to get similar gainful employment.
所以我们有一个我们称之为合格计划的项目，可以让他们获得我们的最高级别的保护计划。与其说我们只是可以购买汽车和获得融资，我们更注重全球视角。什么因素使我们的客户更有可能不成功？不仅仅是像我生活发生了变化，比如离婚，失业，或者因为某些原因致残而无法工作等等。我们可以在一定程度上减轻这些问题的影响，如果有机会的话我们可以提供帮助，但是如果出现了尖锐的离婚或者遭遇了某种不幸，我们也无能为力。或者如果你丢了工作，并且找不到类似的有利可图的工作。
But at the end of the day, so all of our vehicles we sell with warranties, we give them access to rental fleet for warranty repairs. We try to help them on the service side with a buy one, get one oil change for the life of that warranty. We're going to give them roadside assistance during that period of time for the warranty as well. We're going to give them access to preferred customer pricing on repairs. So, you know, off the street, we're not going to do business with somebody. We're not trying to make our service department cover our fixed overhead. Really what we're trying to do is it's, you know, we subsidize our service department to help get our customers affordable repairs so they can keep their car running.
但归根结底，我们销售的所有车辆都配备保修，我们还为他们提供租车服务以进行保修。在服务方面，我们尽量帮助他们，让他们在整个保修期内享受一次购买即可获得两次更换机油的优惠。在保修期间，我们还会为他们提供道路救援服务。我们还会为他们提供优惠的维修价格。因此，你知道，我们不会与任何人进行业务往来。我们并不试图让我们的服务部门承担我们的固定开销。我们真正想做的是补贴我们的服务部门，帮助我们的客户获得经济实惠的维修服务，以确保他们的汽车保持运行。
If they have a catastrophic repair, we give them access to repair loans. You know, we're going to give them the option to be able to not have collateral protection through the traditional full coverage insurance options and carry just our internal collateral protection at a much more affordable rate so that if they have an accident, their collateral is not lost. And then at the end of the day, we also offer all within the price of what they pay for a car, a balanced waiver. So if they have a full coverage or a collateral protection loss that takes out the balance, if there's a deficiency that's left, maybe two, three, four thousand dollars, which happens all the time, that kicks in and the customers clean and they can start fresh and don't have a balance that they have to deal with. So they have access to all of that in our program.
如果他们需要进行灾难性维修，我们会为他们提供维修贷款的选择。你知道，我们会向他们提供不需要传统全保险保护的选择，而只需支付我们内部提供的抵押保护费用，费率更加实惠，这样一旦发生事故，他们的抵押品就不会丢失。而且在一天结束时，我们还提供全车价格内的平衡豁免。所以，如果他们发生全保险或抵押品保护损失导致贷款余额清零，若还有剩余不足，可能是两、三、四千美元，这种情况经常发生，我们会提供补充服务，客户将会重新开始并不需要应对余额问题。所以在我们的计划中，他们可以享受到所有这些服务。
Let me answer this question. Like, I'm sure people are listening right now and they're wondering, if you, if your customer or, you know, some of your core customer cannot get approved by other lenders, how are you able to approve these customers and still offer all this stuff to them? Right? Everything you just mentioned to me, it almost sounds like a premium service. How are you able to do that then?
让我回答这个问题。就像现在我确定大家都在听着，并且他们可能会想知道，如果你们的客户或者你们的核心客户不能被其他贷款机构批准，你们如何能够批准这些客户并向他们提供所有这些东西呢？对吧？你刚刚向我提到的一切几乎听起来像是高级服务。那你们是如何做到的呢？
You know, so if you look at fundamentally how the market services, what I would say are industry, it really becomes a, you know, it's a commodity, right? I'm looking for the best cleanest low mileage vehicle and at the end of the day, I think post pandemic, it has changed a little bit and why prices are so high, but because supply is so short, but at the end of the day, it becomes a commodity because there is somebody else that has the same car or a similar car, right? And so what, what differentiates it? Really not much.
你知道，如果你从根本上看市场服务的原理，我会说行业很多时候是一种商品化的表现。我在寻找最干净、里程数最低的车辆，最终，我觉得在疫情后，情况有些变化，导致价格变得很高，但这是因为供应量很短缺，然而最终它仍然是一种商品，因为总有其他人有同样的车型或者类似的车型，不是吗？那么，它的区别在哪里呢？实际上并没有太多区别。
But how are you, how are you able to do all this profitably? That's the question. That's, that's the million dollar question, right? And at the end of the day, it's all around what you buy, how you sell it, what value you offer and how you underwrite the loan. And I think it's the industry struggles because they go, how do you underwrite somebody that doesn't have a credit profile that says they're going to do what they need to do? And so, so there are lots of tools in the industry. We have a tool that we like, but at the end of the day, no software is going to tell you whether a customer is going to pay or not, right? So, so you've got an underwriting platform that gives you kind of a baseline. And then, and then you have to look at the customer, their situation currently, and you really have to kind of get a take on this customer's character. And are they willing to do the things at least upfront that you're asking them to do? And if they're not, they need to buy somewhere else. But if they're trying to make things work, if they're trying to make their life better, then we've got an opportunity because here's where we can make a difference with this customer.
但是你好吗，你是如何能够盈利的呢？这就是问题所在。这是百万美元的问题，对吧？在一天结束之后，一切都取决于你购买什么、如何销售、提供什么价值以及如何承担贷款。我认为，行业之所以困难重重，是因为他们疑惑，如何评估那些没有信用记录表明他们会按时履行义务的人？因此，行业中有很多工具。我们有一个我们喜欢的工具，但归根结底，没有任何软件能告诉你一个客户是否会付款，对吧？所以，你有一个评估平台，它给出了一个基准。然后，你必须观察客户的当前情况，并真正了解这个客户的品格。他们是否愿意至少在最初做你要求的事情？如果他们不愿意，他们就得去别处购买。但如果他们试图改善他们的生活，我们就有机会，因为这时我们可以与这个客户一起做出改变。
But how do you actually price that risk, right? I think that to me is like the million dollar question because I'm simply you have a customer, right? How are you able to price that risk? What do you go off of? What do you like work off of? And how do you do that?
但是你如何真正地定价这个风险呢？我认为这对于我来说就像一个百万美元的问题，因为当你只是拥有一个客户时，你如何能够对其进行定价？你依据什么来做这个？你是如何做到的？
Well, so for us, we have traditionally been and really are still in that same vein. We don't have a tiered pricing risk, right? So what we do is we say, all right, we know we have to have so much growth on a car, right? Because at the end of the day, you're taking a heavy discount for future losses. At least that's the way we do it. Some don't do that. And you have to be able to pay your overhead, right? To be able to go, okay, this makes sense from a standpoint. And then you have to be able to say, well, what your interest rate is going to be driving this much interest that you're going to collect. And that has to cover basically everything on a cash flow basis that you're laying out every month.
嗯，对我们来说，我们一直是这样的，现在仍然如此。我们没有分层定价的风险，对吧？所以我们所做的就是说，好吧，我们知道我们必须对这辆车有这样多的增长，对吧？因为说到底，你要为未来的损失提供很大的折扣。至少我们是这样做的，有些人不这样做。而且你必须能够支付你的日常开销，对吧？为了能够说，好吧，从某个角度来看这是有意义的。然后你必须能够说，你的利率会带来这么多利息收入。基本上，这个利息收入必须基于每月你支出的所有现金流。
So if you, regardless of what size that you are, you can do that with any level of car, with any level of gross, with any level of interest based upon what your cost structure is. We have chosen as an organization and we've been in business for almost 40 years. And, you know, at the end of the day, it's a very dynamic and fluid thing. But we've always tended to, I would say, land on the, we're going to do more than less side of things. So, you know, we basically need to be able to collect and offer as much as we possibly can to make it financially work.
所以，不管你的规模有多大，你都可以通过任何级别的汽车、任何级别的总收入、任何程度的兴趣来实现这一点，根据你的成本结构而定。作为一家组织，我们已经经营了将近40年。而且，说到底，这是一个非常动态和流动的事情。但我们总是倾向于做更多而不是更少的事情。因此，基本上我们需要尽可能多地收集和提供来实现财务上的可行性。
I don't know if I'm answering your question to a, you know, there is really, we're not a one size fits all, but our approach is more one size fits all from a standpoint of, you know, the car payment is roughly the car payment. You're going to get this service. This is what we're going to do. Here's how it's going to work and hopefully. Can you give us some of that nitty gritty? Like what is what is the car payment? If I come in right now, what is the car payment? You know, obviously I'm getting a lot that you just mentioned, which I think is unique in itself and we'll dig into that. But what is the car payment? Like what is the interest?
我不知道我是否对你的问题给出了一个，你知道的，真的，我们并不是一个合适所有人的解决方案，但我们的方法是从一个合适所有人的角度来看的，你知道的，购车分期付款大致是购车分期付款。你将会得到这项服务。这是我们将要做的。这将如何运作，希望...你能给我们一些具体细节吗？比如，购车分期付款是多少？如果我现在过来买车，购车分期付款是多少？你知道，显然我得到了你刚刚提到的很多东西，我认为这本身就是独特的，我们会深入讨论这个问题。但购车分期付款是多少？利率是多少？
Our average car payment is going to and we don't do it monthly, but we do it based upon paydays, but our average is going to be 500 a month. And you know, you have to be able to have the ability, right? It's I think one of the knocks of our industry is also, you know, sometimes they feel like you're selling to customers that shouldn't be buying cars. Like they don't have any income. Well, we're not going to sell a car to a customer that doesn't have income, right? So if you don't have liquidity to be able to reasonably afford that 500 a month and be able to take care of the car, the things that need to be taken care of, which is like maintenance and insurance and the things that just go along with everyday car ownership, then it's probably not going to work. So that's our number. There's there's some less than that and there are some obviously more expensive than that, but that's really the sweet spot for.
我们的平均汽车月供支付额会是500美元，但我们不是按月支付，而是根据发薪日进行支付。你知道，你必须有这个能力，不是吗？我觉得我们行业的一个批评也是，有时候他们觉得你在向那些不该买车的顾客推销。比如那些没有收入的人。嗯，我们不会向没有收入的顾客售车，对吧？所以如果你没有足够的流动资金来合理支付每月500美元的车费，并且能够照顾好车，包括维护、保险以及其他与日常汽车所有权相关的事情，那可能行不通。这是我们的标准。当然还有低于这个标准的，也有显然更昂贵的，但这真的是一个非常适宜的价格区间。
I feel with some questions before this and I think that one common question I get or I think there's two schools of thought about interest rate. And I want to hear your opinion on this, right? One side says that you're charging exorbitant interest rates, right? You're taking advantage of people, etc. Another side says these are people that otherwise would not be able to get any car anywhere. They need transportation to maybe take the family, you know, to school or whatever may be. And you're simply pricing the risk at your it's a free market and you're pricing the risk accordingly.
我之前有一些疑问，我觉得有一个常见的问题或许会有两种观点关于利率的问题。我想听听你的意见，对吗？一方认为你们收取了过高的利率，就是在利用人们等等。另一方认为，这些人如果不是通过你们这里，他们根本无法在其他地方得到车辆。他们需要交通工具，也许是为了送孩子上学或其他原因。你只是根据市场自由定价风险。
Where do you where do you fall on that spectrum? Like how do you how do you respond to both of these schools of thought?
你在这个谱系上的位置在哪里？比如你如何回应这两种观点？
So I understand that school of thought and I can appreciate the argument and for us, we've always felt better about being under what I would call the usual law. So so we're not we don't play in the the max rate. That's that's not where we want to be. What's the max rate in your state for the most expensive loan amount? It's 21 percent. What state are you in again? In Indiana and other states are higher than that. Other states are lower than that, but that's that's Indiana's top usury rate. Now the smaller the balance, the higher the rate can go, but we don't we don't do that. We just come in at this is our standard offer and our standard rate is nineteen nine. That's that's what we offer.
所以我了解这种思路，我可以理解这种论点，对于我们来说，我们总是对遵守我所称之为常规法律感到更好。所以我们不参与最高利率的游戏。那在贷款金额最高的情况下，你所在的州的最高利率是多少？是21%。你再说一次你在哪个州？印第安纳州，其他州的利率比这还要高，也有的比这低，但这是印第安纳州的高利率。不过，贷款金额越小，利率就可能越高，但我们不这样做。我们只是提供我们的标准方案，标准利率是19.9%。这就是我们提供的。
So and what's what's the max rate on a lower balance? Oh, it could be 36 37 38. I'm not sure exactly how high it goes because we just don't. That's not something that we entertain. So I wouldn't want to speak out of turn, but I know it's much more absorbent than that depending on and the smaller balance. The smaller that the interest charge is going to be, even though the rate is really high.
那么，对于较低余额，最高利率是多少呢？嗯，可能是36、37还是38。我不确定确切的上限，因为我们并不关注这个。这不是我们讨论的内容。所以我不想说错话，但我知道根据较小的余额，吸引息费会更高，即使利率本身就很高。
I'm I'm curious. Is that something that you market or you publicly advertise because the first thing that comes to mind with me is almost like, Hey, if you're anyway is going to buy from a buy here, pay your dealership, you are going to potentially pay 50 percent less interest with me because of the internal cap that we put. It just it just seems to me like something that. You know, somewhat unique in your industry because I'm sure you can attest to this that not every buy here, pay your dealership does what you're speaking about here, right? Not everyone puts these caps. Some people will charge 36 37 38 percent. Absolutely.
我很好奇。这是你们销售或公开宣传的东西吗？因为我一想到这个，就会联想到如果你从这样一家“买这里，付款给你的经销商”购买，你可能会因为我们设立的内部限额而支付低至50%的利息。在我看来，这似乎是你们行业中比较独特的东西。因为我相信你会证实，不是每个“买这里，付款给你的经销商”都会采取你在这里提到的做法，对吗？并不是每个人都设限额，有些人会收取36%，37%或38%的利息。当然。
We do and I think that Indiana is as most markets are Indiana is pretty competitive, but you know, we're not too far out of bounds in terms of it being a huge benefit, but it certainly. To your point, it is the benefit that we're not at 21. You know, we do disclose it, but in terms of how much bang do we get for that buck. It's it's not as significant as maybe what you would think.
我认为印第安纳州像大多数市场一样竞争激烈，但我们并没有过于突出的优势。毫无疑问，这也是我们没有达到21点的好处。虽然我们会公开披露这个事实，但是它能带来的效益并不像你想象的那么显著。
And so when you say 99, is that the rate for every single customer? It is. It is. Now we do have if we're with our value proposition and this is something that we it's it's not tried and tested like the rest of our business. We have to do a lot of work with our programs, but because of the way that the post pandemic is working and the cost of of vehicles and the lack of real service and you know what you can find out there. We have found that a lot more what I'm going to say credit profile moving north. So, you know, typically we don't see a lot of customers north of 625 north of 650. We start to see a lot more of them. And a lot of it is driven by the value proposition and what type of inventory we have and how affordable the payment is. And so we've we've started to look at some some discounting on what I'm going to say is better credit profile customers. But it's not something that is so germane to the core of what we do the most of it is 99.
所以当你说99，是每个客户的费率吗？是的，是的。现在，我们的价值主张是我们需要做大量工作的地方，这是我们的业务的一部分，但这是我们没有经过试验的部分。由于后疫情时代的运作方式、车辆成本以及真正服务的缺乏，以及您可以在外面找到的情况，我们发现信用评级向好的客户更多。所以，通常情况下，我们不经常看到信用评级超过625或者超过650的客户，但现在我们开始看到更多这样的客户。这主要是由于我们的价值主张、我们拥有的存货类型以及付款的可负担性所驱动的。因此，我们开始对信用评级较好的客户进行折扣。但这并不是我们最主要的业务核心，其中大部分仍然是99。
May I understand you're capturing some some additional customers. So, and it makes sense, especially given you know the you know the use car supply situation that you you'd likely attract some customers that wouldn't be your typical customer.
我可以理解你正在吸引一些额外的顾客。尤其是考虑到二手车供应状况，你很可能会吸引到一些非典型客户。
I think on that on on that topic of use car supply, where do you get your inventory? That's the magic question here. Where do you get your inventory? You know, everybody has that question and and I think it's there is no answer other than I mean we source from the entire country. Now you have to be able to have it make sense from a what do you pay for transportation and what the costs are and making that all work. But but finding inventory that fits the model and not not only from a quality standpoint, but from a pricing standpoint. There is no easy answer. But are we talking auctions? Are we talking? Yeah, it's on Craigslist. Yeah, absolutely.
我认为在二手车供应这个话题上，你从哪里获取库存？这是个神奇的问题。你从哪里获取库存？你知道，每个人都有这个问题，我觉得除了我们从全国各地采购，没有其他答案。现在你必须要考虑到从交通费用和成本方面，使整个运作变得合理。但是，不仅从质量的角度来看，还要从价格的角度来看，找到符合模型的库存是没有简单的答案的。但是，我们是在说拍卖吗？还是在说？是的，还有在Craigslist上。
No, it's I mean we are appetite and I think this is a lot of the competition that we have as well. Same thing in the market. I mean our appetite is we need we need 400 cars a month. So we can't go buy them one at a time. I mean you do you do buy one at a time right? But when you go, you have to look at 100 200 to be able to get your 20 or 30. You know, so if we don't go where there's a big pool like an auction, you know, whether it's physical or online, you have to be able to play in those pools and those spaces to be able to get the volume that you need.
不，我是说我们有需求量，我认为这也是我们所面临的激烈竞争。市场上也是一样。我是说我们需要的是每个月400辆车。所以我们不能一次性购买。我的意思是，你也是一个一个地买对吧？但是当你去买车的时候，你必须看上100到200辆车才能拿到你需要的20到30辆。你懂吧，所以如果我们不去那些有大量车源的地方，无论是实体拍卖还是线上拍卖，你必须能够参与其中，才能得到你所需的数量。
So what's the specific sources would you say where you're making the most acquisitions? Like where would you say you're getting the most vehicles from? When you say sources auctions auctions online, you know, Craigslist ads Facebook marketplace. You know, we don't I would say the two platforms that we are primary on are online or in person auction auction. You know, what? Yeah, I mean, we tried to do some of that. You know, we'll buy your car. I think everybody tried that. It's just it's very difficult. It's very challenging. And we found that it just didn't work for us from a cost benefit standpoint.
所以你能说一下你们最多的收购来自哪些具体来源吗？比如你会说你们从哪里得到最多的车辆呢？当你说到来源时，是指在线的拍卖会，还是指Craigslist广告、Facebook市场上呢？你知道的，我们主要依靠在线或线下的拍卖会来获取车辆。你是说什么？嗯，我们也尝试过一些"我们收购你的车"之类的方式。但是很难，也很具有挑战性。从成本效益的角度来看，我们发现这种方式对我们来说并不奏效。
So I want to dig in more into the customer side, right? When someone stops paying, what are you doing that situation? Well, the biggest thing that you try to do is you try to get contact, right? You know, which isn't always an easy thing in this business. It's not always easy. But at the end of the day, that's where it's at.
所以，我想深入了解客户的角度，对吧？当有人停止付款时，你在那种情况下会做些什么呢？嗯，你试图做的最重要的事情就是与客户取得联系，对吗？在这个行业中，这并不总是一件容易的事情。但归根结底，这就是关键所在。
And I think that, you know, much like much like on the sales side, you have a differentiator. That's why we have, you know, a finance company that has a lot of customer service representatives that, you know, that's their job is to reach out, hopefully have a relationship with the customer where the customer can, you know, share and feel comfortable sharing. What's going on with them. And it's a challenging relationship from a standpoint of, you know, it's certainly not like a parent child relationship, but it's you love the one that you're with.
我认为，就像销售方面一样，你有一个独特之处。这就是为什么我们有一个财务公司，有很多客户服务代表，他们的工作就是与客户建立联系，希望能与客户建立关系，让客户能够分享并感到舒适。了解自己的情况。从某种程度上来说，这是一种具有挑战性的关系，当然不像亲子关系，但你会喜欢与你在一起的那个人。
But at the end of the day, you can't give them everything. You know, our customers have demands on their dollars and we understand that. And we're one of those demands. But transportation is so important and there are no real what I'm going to say social platforms to be able to help customers make their car payments. They can get food. They can get electricity. They can get housing. They can get lots of different things, but really nothing on the transportation side. So we have to try to help them understand what their situation is, what they can do, what they can't do, what other forms of opportunities do they have to help them through this rough spot so that we can maintain a good relationship because at the end of the day, not paying your car payment is just not going to work for us.
然而，无论如何，你不能满足他们的所有需求。你知道，我们的顾客对自己的金钱有要求，我们也理解这一点。而且我们就是其中一个需求。但是交通对他们来说非常重要，可实际上却没有真正能帮助顾客偿还车贷的社交平台。他们可以得到食物，可以得到电力，可以得到住房，可以得到很多不同的东西，但交通方面几乎没有什么助力。所以我们必须设法帮助他们了解他们的处境，可以做什么，不能做什么，还有其他形式的机会能帮助他们度过这个困难时刻，以便我们能保持良好的关系，因为到最后，不支付汽车贷款对我们来说是行不通的。
You know, but communication is the key and we try to do everything that we possibly can to foster that communication. All of the programs that we talked about earlier, if they can help with whatever is going on, we try to make that a reality. And at the end of the day, if the customer either won't or can't communicate with you or they won't or can't pay, then you have no choice but to collect that car on a, on a repossession, which is part of the business.
你知道的，但是沟通是关键，我们尽力做我们所能以促进沟通。之前所讨论的所有计划，如果它们能够帮助处理问题，我们会尽力让它们成为现实。然而，到了一天的尽头，如果客户要么不愿意或者不能与你沟通，或者不愿意或者不能支付款项，那你别无选择，只能通过收回车辆来解决这个问题，这是业务的一部分。
Two questions there. Do you have an in-house repo team? Do you outsource that? We do outsource that and we have a company that we have a relationship with. It's one of the areas that we see as another one of those compliance problem areas, litigation or bad actors, whether they have insurance or not, that's important. But how you interact with that customer in that moment is really, really important. And so we have a long standing, very close relationship with a company that does it the way we would like to do it, understands that, you know, we need to be above board. It needs to be safe. It needs to be compliant. It just needs to be the right way so that we don't cause ourselves or them or anybody else.
有两个问题。你们有内部的仓库团队吗？还是外包了？我们是外包了，并且我们与一个公司建立了关系。我们把这看作是另一个合规问题的领域，诉讼或不良操作者，无论他们是否有保险，这都很重要。但是在那一刻与这位客户的互动真的非常重要。因此，我们与一家长期合作、非常密切的公司有着一段非常长久的合作关系，他们的方式正是我们希望的方式，他们理解我们需要做到公正、安全、合规，必须要走正道，这样我们才不会给自己、对方或其他人带来麻烦。
Yeah, I can't say I'm surprised. I mean, I feel like also from a brand perspective to have that not be directly linked to your brand, something positive as well. It's not a positive or a highlight of the car ownership experience for anyone that has to go through that. So it doesn't surprise me.
是的，我不能说我感到惊讶。我的意思是，从品牌的角度来看，这与你的品牌没有直接关联，也是一种积极的事情。对于必须经历这样一种经历的任何人来说，这不是汽车拥有体验中的积极因素或亮点。所以我并不感到惊讶。
What percent of customers would you say have their vehicle repossessed? And then if you could compare that to, let's say, pre-2020, would love to understand today what is that percentage, but how that's also evolving given stimulus checks, all the craziness we had. Now, consumer savings are depleting. So what are you seeing now?
你会说有多少顾客的车辆被收回了？然后，如果你能将其与2020年之前进行比较，我们很想了解今天的这个百分比是多少，但也想知道在刺激支票和种种疯狂之下，这个百分比是如何变化的。现在，消费者的储蓄正在减少。那么你现在看到了什么情况？
You know, I would say that my real short comment and then we can get into detail is, you know, what it was pre-COVID, it's kind of balancing back to post COVID, but then there was a blip through, you know, that COVID area that, you know, people were getting a lot of stimulus, as you said, right? And it makes things a little easier. And then when it stops, it makes things a little worse. And then it takes a little while to get back to equilibrium. So I think things are starting to get back to equilibrium, but at the end of the day, it's, you know, I think that that 40% loss on, you know, how many make it to the end, 40% don't. And, you know, at the end of the day, we try to mitigate that as much as we can, but that's really what the number is. So you sell 10 cars, six make it till the end, four don't.
你知道，我觉得我可以用一个简短的评论来概括，然后我们可以深入讨论。在COVID之前，情况缓慢恢复到COVID后的状态，但在COVID期间出现了一个小幅波动，你知道，人们获得了很多刺激措施，正如你所说的，这使得事情变得更容易。但当刺激措施停止时，情况变得更糟。然后需要一段时间才能恢复平衡。所以我认为情况开始恢复平衡了，但最后，你知道，这是关于40%的损失，也就是说只有40%能够坚持到最后，剩下的60%不能。虽然我们尽力减少这种情况的发生，但实际情况就是如此。所以，你卖出10辆车，有6辆坚持到最后，4辆没有。
Yeah. Yeah. Okay. And then with those four cars, you take them back, you can resell those cars. You're like, what is the rough? Maybe, of course, maybe. Let's preface that. I agreed. But what would you say is the rough utilization you could get out of one car, right? Like, can you resell, I think, five more times? Two more times on average, two more times, one time.
是的。是的。好的。那么，对于那四辆车，你把它们拿回去，你可以再销售这些车。你可能会问，大概可以利用其中一辆车多少次呢？比如说，你能再销售五次吗？平均来说，是两次，两次还是一次。
You know, I don't know that I have what I would call as a good average for you. We don't look at it that way. I think at the end of the day, we are exposed to a significant number of our losses. The car either disappears or the car is wrecked or the car is so abused that there's nothing left.
你知道，我不知道我是否有一个适合你所说的很好的平均值。我们不从这个角度来看。我认为到最后，我们经历了相当多的损失。汽车要么消失了，要么被撞毁了，要么被严重滥用以至于什么也剩下了。
Now, certainly the shorter the leash from a standpoint of, let's say, the customer had the car two months and it was normal. And they just decided that, you know, hey, I needed a car for two months and I wasn't going to pay. Then, you know, maybe that car is okay and it can go back through reconditioning and make sure that it meets the mark and be reselled. But a lot of times, you know, you get a car back in two weeks and you're like, man, what happened to this car? You know, it's just not going to make the trip again and it just has to go. You know, for whatever reason, whether it's been hit on all four sides or an X decided to put sugar in the tank or, you know, drain the oil on no. Sugar in the tank? Oh man, you can. Yeah, there's all kinds of, you know, I mean, people are people, right? You've got to give us one or two stories. Come on. You got to do it.
现在，从客户的角度来看，绳子越短越好。例如，如果客户拥有这辆车两个月，并且一切正常。他们只是决定，你知道，嘿，我需要一辆车两个月，我不想支付费用。那么，也许这辆车没问题，可以重新装修一下，确保它符合标准并进行二次销售。但很多时候，你在两个星期内收到一辆车，你会说，嗨，这辆车怎么了？你知道，它再也无法运行了，只能去退车。不管出于什么原因，无论是四面被撞击，放糖在油箱里，或者把油放干了。放糖在油箱里？哦，伙计，你可以这么做。是的，各种各样的事情，你知道，人嘛，对吧？给我们讲一个或两个故事，行了，拜托。
You know, so I would tell you that probably the craziest story and this is probably, and this is a little fuzzy, but I'm going to get the highlights for you. Yeah, it's probably this is probably two or three years prior to, you know, COVID. But so we had a guy that was going through a bitter divorce and she ended up getting the vehicle and somehow miraculously the brake lines ended up being cut. And yeah, the truck ended up, you know, fortunately nobody was hurt, but we got drug into the dynamic because obviously, you know, whoever did the cutting didn't want to go to jail for, you know, attempted murder or whatever the charge was going to be. And so obviously it's the dealership's problem because they told me a car that was bad and blah, blah, blah, but now it was, I'm telling you it was, yeah, that was, that was the crazy one.
你知道，我要告诉你可能是最疯狂的故事，不过有点模糊，但我会给你概括一下亮点。嗯，这大概是在COVID之前两三年的事了。所以我们有一个经历艰难离婚的男人，最后她拿到了车辆，但不知怎么地，车的刹车线居然被剪断了。是的，卡车最后发生了事故，幸运的是没有人受伤，但我们卷入了这个事件，因为显然那个剪断刹车线的人不想因为谋杀未遂或者其他指控坐牢。所以显然这是车厂的问题，因为他们卖给我一辆有问题的车，种种诸如此类，但是这真的太疯狂了，我告诉你。
So you get us, you get a call and they tell you that, what do they tell you to say, Hey, my car's not working or the car is just not breaking. What's the story? We have a pretty robust like service process, right? I mean, so if you have an issue, we're going to be responses, you know, because we understand that people need transportation and most of the time they just want to put the key in and make sure it goes, right? They don't have time to, you know, fix it or wait or sometimes not even time for oil changes, right? But so, so we get a call and, you know, immediately there's blame. Hey, you guys did something to my truck and blah, blah, blah. And we had it actually towed in and we're looking at this thing and taking pictures and, you know, we're like, no, this is, this is an inside job. Somebody literally tried to make this go bad for somebody. And essentially the truck got basically part of evidence. You know, the police were involved and they got it. I mean, it was just, it was crazy, right? But at the end of the day, you know, it was a service situation turned into something bigger because the customer had something that was going on outside of us. And just we got pulled into the loop just because the nature of we sold it and we brought it into, you know, figure out what's going on and then lo and behold, this is what we find.
所以你明白了，你接到一个电话，他们告诉你什么，他们要你说什么，“嘿，我的车出问题了”或者“车子刹车失灵了”。发生了什么事？我们有很完善的服务流程对吧？我的意思是，如果你有问题，我们会积极回应，因为我们知道人们需要交通工具，大部分时间他们只想把钥匙插进去，确保能够开走，对吧？他们没有时间去修理它，等待或者甚至连油也没有时间换，对吧？但是，我们接到一个电话后，立刻就有指责。“嘿，你们对我的卡车做了什么，嘟嘟嘟。”我们实际上让他们把卡车拖回来，然后我们检查了一下，拍了照片，你知道的，我们说，“不，这是内部操作，有人故意想让它出问题。”实际上，这辆卡车在某种程度上成为了证据的一部分。警方介入了，他们搞定了。这真的太疯狂了，对吧？但是说到底，你知道的，这只是一个服务问题，变成了更大的问题，因为客户在我们之外还有其他问题。只是因为我们卖了车，带它进来看看到底出了什么问题，之后竟然发现了这个。
I'd have to imagine that happens pretty often. Maybe not with brake lines, but with other other ways. With other things. It's, you know, I mean, hey, life is life, right? But you see so many things with life and, you know, nothing surprises me anymore. Let me just say that. I can, I can only imagine.
我得想象这种事情经常发生。也许不是刹车管道，但还有其他方式。其他事情。你知道的，生活就是生活，对吧？但你会看到很多生活中的事情，你知道的，再也没有什么能让我惊讶了。就这样说吧。我只能想象。
Tell me about high level for a second on the business. Do you target a specific, you know, I are or, you know, do you have a certain profitability metric per car that you're targeting? And what is it?
告诉我一下公司的高层信息。你们有特定的目标市场吗？或者你们有为每辆汽车设定的特定盈利度指标吗？如果有的话是多少？
I think at the end of the day, it's that's that's a very dynamic situation to. And, and I think the reason why it's dynamic is all the metrics that you used to have changed. And, and the reason why they have changed is because you have the cost of funds escalating so quickly, right? So unless, unless a company is debt free, you know, then it becomes not an issue. But the other issue becomes, you know, the car that you used to typically buy and what that investment was and what that risk that you were putting on the street has has more than doubled. And honestly, you've gone backwards in terms of quality. So you're taking more risks, not only with more money on the street, but you're taking more risks because the collateral that you're putting on the street is not as good. And it's not, it's not because you don't want to put a as good a quality of vehicle on the road. It's just, it's, it's all that's available. And so people still need transportation and need something they can afford. And so we've got to figure out how to make that work.
在我看来，说到底，这是一个非常动态的情况。而且，我认为之所以动态是因为你过去所使用的所有指标都发生了变化。而且，它们之所以发生变化是因为你的资金成本上涨得如此快，对吧? 所以，除非一家公司没有债务，否则这将不是一个问题。但另一个问题是，你过去通常购买的汽车以及你投资的风险已经超过了两倍。而且老实说，质量方面你已经倒退了。所以你不仅在街上放更多的钱，而且因为你放置在街上的抵押品不如以前好，所以你承担了更多的风险。并不是因为你不想在路上放一辆同等品质的车。只是这是现在唯一可供选择的。因此，人们仍然需要交通工具，需要能够负担得起的东西。所以我们必须找出如何让这种情况可行。
So I think that the best answer that I can give you is just that metric is in a state of flux and I don't know where it's going to land. But, but certainly you have to certainly have to be profitable, right?
所以我认为我能给你的最好答案就是指标处于变化的状态，我不知道最终会达到何种程度。但是，但是你肯定必须要有盈利性，对吧？
The average used car dealer today is making about $3,500 from the back, right? So on the car plus F and I during the pandemic, I think that averages closer to $5,000. With more profit on the front on the actual car. So where are you in that ballpark range, right? The buyer, like that's used car, new car is sort of similar to that today. Right? Where's by here pay here on the spectrum? Are you making, you know, 4,500 a car? You making 2,500 a car?
如今，二手车销售商的平均利润大约是$3,500吧？因此，在疫情期间，加上汽车本身和金融保险的收入，我觉得平均利润更接近$5,000。而且从实际销售的汽车上还能有更多利润。那么您在这个范围内如何呢？就像二手车买家一样，新车的情况今天也差不多。对吧？那么托付购车付款的商家在这个范围里是怎样的呢？每辆车能挣$4,500还是$2,500？
So, so I would, I guess I would have to ask you a deeper question to really understand what, what is that question and the reason why, let me give you some information as to why I tell you that, right? Because your approach that you just, you just gave is, you know, I sold a car front and back. This is my number and I'm done. And you have the lending company as well?
那么，我想我需要问你一个更深入的问题来真正理解那个问题以及原因，让我给你一些信息来解释为什么我这样告诉你吧。因为你刚才提出的方法是，我把一辆车前后都卖掉了。这是我的联系方式，这样我就完成了。你也有借贷公司吗？
So, so, so here's, so here's the, here's the difference, right? I sold a car and, and I got paid a down payment, which probably didn't even cover sales tax. I have to pay for my car. I have to pay my person to sell it. I have to pay for my building that sold it. I have to pay my insurance. I have to pay my lights. I have to pay my taxes. I have to pay all these things. Then I sell it to a sister company that has no cash and they're trying to collect some money. And so I don't get paid until the customer pays us and not just pays us one payment. But I don't know until that transaction ends. How much did I get paid for that one transaction? And then I have to roll up all of the transactions together and go, this is what I made. And it might be three, four years later and I have to take in all of those three, four years worth of cost to go, did it make sense, right? And so it's hard for me to go. What exact question are you answering, right?
所以，所以，所以这里，所以这里的，这里的区别就是，对吧？我卖了一辆车，收到了一个定金，可能连销售税都没有支付。我必须支付车款。我必须支付卖车的人工。我必须支付销售的建筑物。我必须支付保险。我必须支付电费。我必须支付税款。我必须支付所有这些费用。然后我把它卖给一家没有现金的姐妹公司，他们正在尝试收回一些钱。所以，直到客户给我们付款，我才能得到报酬，而且不仅仅是一次付款。而且我不知道那笔交易结束后我得到了多少报酬。然后我必须把所有的交易汇总在一起，去看，我赚了多少。而且可能是三四年后了，我必须计算所有这三四年的成本，看看是否合理，对吧？所以对我来说，很难去回答确切的问题，对吧？
I totally totally agree. You're right. So, right, the context here is you are also the lender, right? You're not just a dealer that is maybe selling the Sloan right away to a third party lender. You're booking your profit. You're done. And so, like, how do you manage the business or like, what is that? What is the profitability metric that you track? Is it lifetime value of a customer over four, five years? Like, is it an IRR? Like, what do you guys track over the length of a consumer sale and loan?
我完全完全同意。你说得对。那么，在这个情况下，你也是放贷人，不是只是一个可能会立即将借贷权卖给第三方的经销商。你在获取利润，你做完了。那么，你是如何管理业务呢？你追踪的盈利指标是什么？是顾客在四五年内的终身价值吗？是IRR吗？你们追踪消费者销售和贷款的周期内的哪些指标？
Sure. Well, you know, I think that's the real challenging thing of this industry is you, I mean, you get different looks at it, right? I mean, so when you're driving down the road, you see that you're driving 35 miles an hour and then sometimes you're driving 70 miles an hour. And then sometimes you're five miles an hour, right? But you're still going to the same place, but you're going different speeds. You don't know how long it's going to take you to get there because you don't know how much traffic it's going to be or, you know, what's going to happen along the way. And that's kind of, that's kind of this, right?
当然。嗯，你知道，我认为这个行业真正具有挑战性的是，你会以不同的角度看待它，对吧？举个例子，当你开车在路上行驶时，有时你以每小时35英里的速度行驶，有时你以每小时70英里的速度行驶，有时你以每小时5英里的速度行驶，但你仍然要去同一个地方，只是速度不同。你不知道需要多长时间才能到达目的地，因为你不知道会有多少交通堵塞或者在途中会发生什么事情。这就是这种情况。
And so to get back to your point, there is real no, you know, this is where you're good. There's, there's, what I'm going to call is the white lines, right? And, and you look at, obviously, what kind of gross are you putting on for what kind of cost that you have? That's one metric.
所以回到你的观点，实际上并没有，你知道的，这就是你擅长的地方。这里有一种我称之为“白线”的东西。显然，你要看你为了什么成本承担了什么样的总成本。这是一个指标。
Then, then you have to be looking at, okay, how much interest am I collecting on the portfolio to be able to cover my expenses? Then you have to be looking at, okay, what is the reserve for bad debt and how fast is that bad debt being materialized? So you're having to look at static pools of all of these loan tools that you put on month by month by month, year by year by year, and you have to be able to look at all of those things.
那么，接下来你要考虑的是，好的，我能够从投资组合中收取多少利息来支付我的开销？然后，你需要考虑的是，坏账准备金有多少，以及坏账准备金的形成速度有多快？因此，你需要查看你每个月、每年逐渐放入的所有贷款工具的静态池，并且你必须能够查看所有这些指标。
And at the end of the day, you know, you have to be able to collect enough cash to be able to pay all of your expenses, service your debt, and to be able to provide enough new money to fund those deals unless you have a credit source that just is going to give you access to unlimited funds to continue to grow this thing until it blows up. And most of the time, you don't want that, right?
在一天结束的时候，你知道，你必须能够收集足够的现金来支付所有的费用，偿还债务，并且能够提供足够的新资金来支持这些交易，除非你有一个信贷来源，它会为你提供无限资金来继续发展这个项目，直到它爆炸。大多数情况下，你不希望这样，对吧？
The source of funds, is it all in house retained earnings from your business, or do you also raise funds and debt from other sources? So we have a warehouse line and a significant number is retained earnings or related shareholder debt.
资金来源，是全部来自您的企业内部保留收益，还是您也从其他渠道筹集资金和负债？因此，我们有一个仓储贷款额度，其中大部分是保留收益或相关股东负债。
So the capital that you do raise, where do you typically raise that from, like what sources? It would be banks. It would be more, you know, there are a handful of banks that are interested in our space historically, and some are coming, some are going, you know, and that's just part of the industry. But certainly the challenges that are in the industry have some banks concerned, others see it as opportunities like everything, right? Some dealers see it as a concern, some dealers see it as an opportunity. It just depends on what you see.
那么，你所筹集的资本通常是从哪些渠道获得的？主要是银行。历史上，我们所在领域的一些银行对此感兴趣，但有的增加，有的减少，这是行业的一部分。然而，行业所面临的挑战确实让一些银行感到担忧，但其他银行则将其视为机会，就像一切事物一样。一些经销商对此表示担忧，而另一些经销商则将其视为机会。这取决于你所看到的事情。
You know, you mentioned we spoke about a lifetime value of a customer and just, you know, having the car sales, the lending business, and everything intertwined. So drive time, right? Drive time, the big auto retailer is famously known for having launched the use card dealerships in order to put paper on the road, right? They were a bank. They wanted to put loans on the road and their widget, right? Their foray into that was let's sell cars. That'll be our source. Do you view your business similarly? Like, is your core competency being a bank, a lender? Or is it not that way? You know, you're actually a dealer and a lender on the side. Like, how do you view yourself? What is your identity?
你知道吗，你提到我们谈论过顾客的终身价值以及汽车销售、贷款业务等事情之间的相互联系。所以Drive Time，对吧？Drive Time这家大型汽车零售商以推出二手车销售业务而闻名，目的就是为了推出贷款业务并将其电子化，对吗？他们本来是一家银行，他们想通过出售汽车来实现贷款业务。这样做是为了收入来源。你是否也这样看待自己的业务？你认为自己的核心竞争力是作为一家银行还是一家贷款机构？还是并非如此？你如何看待自己？你的身份是什么？
That's a great question and that's an interesting question. And I would have, I probably would have said prior to COVID, it would be more as a lender. But I think that the challenges with the sales and the service, what are you selling? How are you servicing? What's that look like to support? It really is. I mean, I've never, it's always been a three-legged stool, right? I mean, stools don't stand if they don't have three legs, right? But it's even more that now.
这是一个很好的问题，也是一个有趣的问题。在COVID之前，我可能会更倾向于成为一个贷款人。但我认为销售和服务的挑战，你在卖什么？你如何提供服务？怎样支持这一切？这真的很重要。我从未见过，这一直都是三腿凳，对吧？凳子没有三条腿就站不稳。但现在更加如此。
So we are, I mean, I can't imagine, I can't imagine us not having our hands on the service side. I can't imagine not having our hands on the sales side. And I can't imagine us not having our hands on the financing and the underwriting the collection side. So it's less of a, we see ourselves as a lender and we just create notes on the sales side. It really is much more of a list. All one ecosystem. Absolutely. And communication and teamwork and, I mean, being able to understand left-hand, right-hand and really be like on it is super important.
所以，我是说，我无法想象，无法想象我们没有接触服务方面。我无法想象没有我们参与销售方面。而且，我无法想象我们没有参与融资和承销和收款方面。所以，我们不仅仅是一个贷款方，我们在销售方面创造债券。它真的更像是一个完整的生态系统。完全是如此。沟通，团队合作，我是说，能够理解彼此并能够紧密配合非常重要。
Yeah, you know what? Let me, that question as well as I'm thinking in the used car business, many times use car dealers from, you know, from my experience and the ones I'm aware of. And many times they actually run services across center. Service, you know, it doesn't turn a profit. It's really just meant there to serve, you know, the variable operations, the sales. Obviously, that's completely opposite in the new car business where services, you know, the breadwinner. But that led me to thinking that, you know, are you putting these cars on the road where just like, let me break even, I'll accrue the interest in the lending company that is way more important for me. Or is there like some sort of a balance which, you know, you've answered. So I think that's helpful.
是啊，你知道吗？让我来说说这个问题，我在二手车业务方面有些想法，很多时候二手车经销商从我的经验和我所知的情况来看，实际上经营着服务中心。这些服务并不盈利，只是为了服务销售和可变营运。显然，这与新车业务完全不同，那里的服务才是主要收入来源。但这让我想到，你们上路的车辆是不是只要能够收回成本，在用于贷款的利息方面赚得更多就可以了，或者你们有某种平衡的方式，你已经回答了这个问题。所以我觉得这很有帮助。
Yeah, that's completely it. That's how we see it.
是的，完全就是这样。这就是我们的看法。
One thing that you didn't tell me, but I saw on Google, and I want to actually point out because I think it's commendable, is I saw that you donated recently, $94,000 to seven charities in Indianapolis. So again, go back to stigma. I feel like the average person that hears buy here, pay here just doesn't think about $100,000 donation to, you know, philanthropic giving and stuff like that. Have you always been into philanthropy as a group? Is this something new for you? Like, can you just give us some background why you chose to do this?
有一件事你没有告诉我，但我在谷歌上看到了，我想指出来，因为我认为这是值得称赞的，就是我看到你最近捐赠了94,000美元给印第安纳波利斯的七个慈善机构。所以，再说到社会偏见。我感觉一般人听到"在这里买，在这里付"这样的字样时，不会联想到一笔10万美元的捐款，还有慈善捐赠之类的事情。你们作为一个团队一直关注慈善事业吗？这是你们新尝试的吗？可以给我们一些背景介绍，为什么选择这样做吗？
Sure.
当然可以。
So we actually, so that was just last year's donation. And so for the last, the last 10 years, it's not quite a million dollars for the last 10 years, but it's real close. It's like 950 grand or something like that that we've donated.
所以实际上，那只是去年的捐款。而在过去10年里，虽然不到一百万美元，但接近了，大概是95万美元左右。
Our history is, you know, I mean, the company was founded and helping normal folks and, you know, nothing, nothing high society, nothing fancy. I mean, this is a grassroots customer. It's a grassroots family. And, you know, we, this is, people are just trying to make it work.
我们的历史，你知道的，我的意思是，这家公司是为了帮助普通人而成立的，你懂的，没有什么高级社会、奢华的东西。我的意思是，我们的客户群体是从基层而来的。这是一个基层家庭。而且，你知道的，我们只是在努力让事情顺利进行。
And, you know, I mentioned before that we just don't see that there is access for anybody to get assistance on the car front, right? Car payment, cars, it's just not there. And, and so, you know, what is available is food pantries and shelter and life skills and addiction recovery. And the list goes on and on run, right? I mean, that people have access to to make their lives better.
而且，你知道的，我之前提到过我们并没有看到任何人可以从汽车方面得到帮助的渠道，对吧？车辆付款、汽车，根本没有这种渠道。所以，你知道的，现在提供的是食品银行、庇护所、生活技能和戒毒康复等等。清单无穷无尽，对吧？我的意思是，人们可以获得来改善他们的生活的资源。
And so this is a for profit. And, and we are not a charity, but, but we do recognize the role that those charities play in our customers lives that are having difficulties because I would tell you 80% of our customers are just like you and me. We go to work. Everything is great. I just don't have that traditional access to, to normal credit, or I've decided that I've grown and I do, but I really appreciate what this company that I've grown up with does for me.
所以这是一个盈利的企业。我们并不是慈善机构，但我们承认慈善机构在我们的客户生活中所扮演的角色，因为80%的我们的客户和你我一样。我们上班工作，一切都很好。只是我没有传统的信用渠道，或者我已经成长起来并且拥有了，但我非常感激这个一直陪伴我成长的公司为我所做的一切。
And I like that and I'm going to keep doing it, right? So, so, you know, those folks that have issues that are either our customer or anybody else in society, we have an appreciation and understanding that we have a lot of people that are going to be able to do that. And understanding that sometimes life is hard. And, and so we as an organization commit to, you know, helping the way we can. And, and obviously we have to be successful to be able to do that.
我喜欢这样，而且我打算一直这样做，对吧？所以，你知道，那些有问题的人，无论是我们的客户还是社会上的其他人，我们都非常欣赏并了解到我们有很多人能够提供帮助。并且明白生活有时是艰难的。因此，作为一个组织，我们承诺以我们能够的方式来帮助。当然，我们必须取得成功才能做到这一点。
And, and we have been successful. And, and this is by no means, you know, a sad song, but, you know, I mean, things are different this year. And, and, you know, our team, we had to cut our charitable giving by 80%. We're still giving, but, you know, we have to make sure that we're taking care of business, that we're taking care of our customers, that we're doing the things that we need to do to take care of our team, that we can afford all of these programs that we offer our customer.
而且，我们已经取得了成功。而且，这绝对不是一个悲伤的歌曲，但是，你知道的，今年情况有所不同。而且，我们的团队不得不将慈善捐赠削减了80%。虽然我们仍然在捐赠，但是我们必须确保我们照顾好业务，照顾好顾客，做好我们需要做的事情来照顾团队，确保我们负担得起我们为顾客提供的所有这些项目。
And there's a dynamic out there, right? And so we just have to be more mindful about how we spend the decisions that we're doing. And the decisions that we make, the things that we do so that we can provide consistent benefit and value for our market and for our customer and for our team members today tomorrow, next week, next year.
对外有一个动态存在，对吧？所以我们必须更加注意我们所做决策的方式。我们所做的决策、我们所做的事情，都应该为我们的市场、我们的客户以及我们的团队成员提供持续的利益和价值，不论是今天、明天、下周还是明年。
And, you know, but it is, it is the big part of what we do on the charity side. And I hope that we get back to that.
而且，你知道的，但是这是我们在慈善方面所做的重要部分。我希望我们能回归到那个阶段。
When you say things are different this year, like, what is that insight into the market? Like, what's changed for you? Is it lower profitability, lower sales, both? What's different?
当你说今年情况不同的时候，比如说，这对市场意味着什么？有什么改变？是盈利能力下降，销售额下降，还是两者皆是？有何不同之处？
All of it. So, so I think that, you know, we used to be able to serve a much broader range of customer, but with the cost of inventory, you just can't take as much risk, right? And, and so there's a part of the market that gets left unserved. That hopefully at some point in time, we can continue to serve that market, but underwriting has to be better, right?
占全部的部分。所以，我认为我们过去曾能够为更广泛的客户提供服务，但由于库存成本，你不能承担太多风险，对吧？所以有一部分市场没有得到服务。希望在某个时刻，我们能够继续为这个市场提供服务，但保险承保必须更好。
We have to have higher income requirements. We have to have less, maybe of a circumstantial situation. We have to have, you know, stronger character interviews in the underwriting process, right? So there's customers that maybe could have bought from us in the past that can't now.
我们必须增加收入要求。我们必须减少，或许是因为特定情况而减少。在核保过程中，我们必须进行更严格的个人品质面试，对吗？所以，现在可能有些过去本可以购买我们产品的客户无法满足要求了。
Because, you know, you're wild to think about, right? That like you are, you know, the place for them for a quarter quarter second chance. And even you have to turn away some people. That's, that's a real indication on just the state of affordability.
因为，你知道的，想想你会感到很激动，对吧？就像你是他们获得第二次机会的地方。即使你不得不拒绝一些人。这就是对付房价昂贵状况的真实反映。
It's not so much it and make, I want to be clear. It's not as much a turn away and us say we can't help you, but the way that we can help you is probably prohibited to the customers. Alternatives, right? So, so we're going to be able to take risk and, and we have no problem taking risk because that's what we do. But to get the risk to be at an acceptable level, let's say instead of $500 that we needed on this transaction as a down payment and everything seems okay. Maybe, maybe that number is now three or $4,000 so that we can tip the scales to say, okay, do you have an opportunity to be successful in the way that we see it? And our risk is mitigated more because you're outside what we see is what the new norm is for what our transaction looks like.
我想要表达的意思并不是“it"和"make"，我希望能够清楚地说出来。我们不是在拒绝你，而是以我们禁止向客户提供帮助的方式来提供帮助。有其他选择的，对吧？所以我们愿意去冒险，我们没有问题冒风险，因为这就是我们所做的。但是为了将风险降到可接受的水平，让我们就拿这笔交易作为例子，如果我们要求付款和其他一切看起来都没问题的话，可能我们现在需要的金额是三或四千美元，这样我们才能够认为你有机会成功。这样一来，我们的风险会得到更好的缓解，因为你的情况已经超出我们所认为的我们交易的新常态。
Well, I think you're doing overall. It seems like you're very running a very tight chip and you're pretty well rounded because I looked at all your reviews, which I was surprised to see everything above four star and all of your stores, responses from management. Like it's clear that you're, you're on top of the customer service game here. And, you know, it's very, very respectable because I've seen, I've seen some examples that are not, not as great in the industry. So you think you're doing a pretty good job.
嗯，我认为你做得不错。看起来你非常有经营眼光，而且表现得非常全面。我看过你所有的评价，令我惊讶的是所有的评价都超过了四星评级，并且你的店铺管理人员都给予了回复。显然你在客户服务方面做得很出色。这非常令人尊敬，因为在这个行业我见过一些不那么出色的例子。所以你认为你做得相当不错。
Yeah, thank you. Tiger, thank you so much for coming on. It's great.
是的，谢谢。老虎，非常感谢你能来。太棒了。
Absolutely. All right. Hope you enjoyed that episode. Please give the podcast a rating. Consider subscribing to the show and check the show notes for links to what we talked about. Thanks for tuning in. I'll see you guys next time.
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