Franchised Auto Dealers Can Now Reduce Their Inventory's Open Safety Recall Rate By 90%, Using AutoAp, Inc.'s Dynamic Recall Management (SM) Service.

AutoAp's new safety recall management technology enables dealers to accurately and easily identify and manage safety recalls on their inventory every day to reduce the number of vehicles with open safety recalls by 90% and dramatically lower their dealership liability.

News provided by

AutoAp, Inc.

Jun 11, 2015, 02:01 ET

PORTLAND, Ore., June 11, 2015 /PRNewswire/ -- A recent Safety Recall Audit of auto dealer inventories and private-party vehicles across the country indicates a serious and ongoing problem vehicle retailers and consumers have with identifying and repairing their vehicles with open safety recalls. Due to the complexities of the current safety recall ecosystem, (http://goo.gl/JY6v7P) franchised auto dealers face a daunting task trying to keep up with the ever-increasing number of new recalls initiated by the OEMs and NHTSA. Worse, NHTSA's safety recall data has significant errors. (http://goo.gl/e5GDhn)

Average open safety recall rates from May/June 2015 AutoAp, Inc. Inventory Safety Recall Audit - More than 23,000 Vehicles / 60 dealership inventories.

Brad Preble, President of Carr Auto Group told us "AutoAp, Inc. has introduced a very effective tool with several technologies not currently found in the automotive marketplace."

Now, dealers can significantly reduce the percentage of vehicles with open safety recalls by implementing a daily review of inventory using accurate and timely safety recall data with advanced recall management technology, and a strong commitment to repairing open recalls and tracking the repair process when recall remedies are not yet available from the OEMs.

The results of the audit summarized below can be used to compare your dealership's open recall rate: There is a marked improvement when dealers actively discover and manage safety recalls with a "dynamic" recall management solution that automatically checks 100% of vehicles in inventory, every day, over dealerships that simply rely on static vehicle history snapshot reports. http://goo.gl/eeQNCD

Summary

The Safety Recall Audit was performed during May and June of 2015, and included more than 23,000 passenger vehicles and 60 dealership inventories: The percentage of vehicles with open safety recalls on franchised dealers' lots averaged 12.4% for pre-owned units and 2.5% for new vehicles in inventory. Combined new and used inventory yielded a weighted avg. of 5.6% vehicles with open recalls.

For comparison purposes a smaller sample of independent auto dealers' inventory and private-party vehicles was analyzed. Independent auto dealer inventory had an average open recall rate of 13.3% and private-party consumer vehicles had an average open recall rate of 22%.

Franchised Auto Dealers using Dynamic Recall Management^SM service from AutoAp, Inc. to accurately identify the current daily safety recall status, and who implement a best-practices recall repair process have attained a new vehicle open-recall rate of 0% (100% reduction) and a used vehicle open-recall rate of 1.4% (86.8% reduction). The weighted average for new and used inventory together was a 90.1% reduction in open safety recalls.

Without Dynamic Recall Management and best-practices recall repair processes in place, it is extremely difficult for auto-retailers to avoid selling vehicles with open safety recalls, thus increasing their liability risk.

"Not only have dealers dramatically reduced their recall risks, they have increased profits. One of our clients told me warranty work 'more than pays for the DRM service'," said Mark Paul, President & CEO of AutoAp, Inc.

Conclusion

Auto dealers who implement AutoAp's Dynamic Recall Management^SMservice to accurately identify the current safety recall status of their new and used, on and off-brand vehicles every day, and then repair them (and generate profits) as result, may reduce the number of vehicles with open safety recalls by 90% and dramatically lower the liability risk associated with selling vehicles with open recalls. Dealers can virtually eliminate open recalls on new inventory and can reduce pre-owned vehicles sold with open safety recalls.

Notes

Safety recall rates are a measure of the number of vehicles with open recalls in relation to the total vehicles assessed.
Performance is dependent on several factors: Identifying and verifying vehicles with open recalls using AutoAp, Inc.-cleansed NHTSA and OEM recall data.
The proper use of the Dynamic Recall Management service and identified vehicles with open safety recalls are repaired in a timely manner.

AutoAp, Inc. is a Portland, OR-based automotive software development company, providing innovative, patents-pending automated solutions for auto dealers, consumers and others. Dealers: Visit http://goo.gl/PyMw4r for more information on the Dynamic Recall Management ^SM service. Dealers can request additional information about how AutoAp can help reduce open-safety recall rates by visiting: http://goo.gl/yIKvZV

Photo - http://photos.prnewswire.com/prnh/20150611/222346-INFO

SOURCE AutoAp, Inc.