Mecum in the transport business

[KENNY PASCOE]

Unfortunately a lot of these companies are goughing auction clients as they are at mercy to get their cars off site by the following Monday of sale .

[Mr70]

Kenny,will that situation soften Mecum Transports' prices on that day,or just help enforce it more?

[DW31S]

I doubt they will lower their prices. I'm guessing the idea of getting in the transport business is to make money, not be a nice guy. As another member mentioned above, Mecum moved a car from auction to auction, and in doing so, Mecum has a little more of a captive audience. I'm not saying that is a bad thing, I'm just reinforcing that Mecum, by being in the transport business, is adding to the bottom line he/they are profiting on that particular car. Promoting an auction isn't cheap and the house is there to capture/recoup the investment in any way possible. Auction fees that are assessed to each unit start with the registration, and buyer's/seller's fees are next, but only if that unit sells. If the house can keep that car in their "possession" by transporting it for both buyer and seller, then the house's "piece of the pie" is that much larger.
Auction's being in the transportation business is nothing new. My daily auctions each have their own transport division that is ultimately owned by the auction house. The auctions advertise and promote the "total package" although I don't participate. The "total package" consists of picking the car/truck/SUV up from the dealership, recondition/clean (another part of the "total package"..."captive audience" idea), register, represent on the auction block with a predetermined "floor price"/reserve, sell the unit, process the title, receive the seller's check, and then deliver the check to the dealership.
This is what I do for the dealership on each wholesale unit, but I control each part of this process, and I save the dealership money on each intricate part of the process.
I wouldn't be surprised if the collector car auctions go in this direction (some may already do this, again when I sell one of my collector cars, I control each part of the process) and advertise a "worry free" process wherein the seller does nothing from start to finish except to receive a check when the sale is over. I'm just spitballing here, but the transportation by the auction house might just be the start.

[KENNY PASCOE]

Good question and great point . I think its hard to say at this point . I think they recognized they could make money and facilitate their customers all in house . I priced them out at Indy and they were 50-100 less per car then their normal transport sponsor . I usually source out other companies that are on site or in area and get more competitive rates .

[caj]

Originally Posted by KENNY PASCOE

Good question and great point . I think its hard to say at this point . I think they recognized they could make money and facilitate their customers all in house . I priced them out at Indy and they were 50-100 less per car then their normal transport sponsor . I usually source out other companies that are on site or in area and get more competitive rates .

I've used other carriers and have saved $$$$ over their prices.

[The Boss]

The price Reliable would quote us and the prices Dana would get to move his or other employee cars are night & day.

I know a few Reliable drivers and none of them liked hauling out of a Mecum auction - just didn't pay well enough and there was always an issue with condition when they went to make the delivery. From the driver's standpoint, they won't be missing the business, but I'm pretty sure Tom does.