Dikla Miller

As a Buy-Here-Pay-Here (BHPH) dealer, managing your inventory and lot effectively is crucial to your business's success. One tool that can help you achieve this is GPS technology. In this blog, we'll explore how GPS can optimize your inventory and lot management, leading to increased efficiency, reduced costs, and improved customer satisfaction.

The Challenges of Inventory and Lot Management

BHPH dealers face unique challenges when managing their inventory and lot. These challenges include:

• Keeping track of a large number of vehicles on the lot
  
• Managing inventory between multiple locations
  
• Ensuring vehicles are correctly maintained and serviced
  
• Reducing theft
  
• Optimizing lot space to maximize inventory capacity
  
• Streamlining inventory & floor plan audits and reporting
  
• Reduce unauthorized use by employees

How GPS Can Help

GPS technology can help BHPH dealers overcome these challenges in several ways:

• Real-time Vehicle Tracking: GPS devices can be installed in each vehicle, allowing you to track its location in real-time. This helps you monitor your inventory, reduce theft, and optimize lot space.
  
• Managing the transfer of vehicles between multi-lots with movement reports ensures the right inventory is at each location. This also allows us to manage inventory at external shops.
  
• Automated Inventory Audits: With GPS, you can automate the inventory audit process, eliminating the need for manual counts and reducing the risk of human error.
  
• The aging report based on the GPS installation date allows the dealer to identify older inventory that they want to push forward on the sales lot or even promote with special financing offers so they can sell quicker.
  
• Vehicle Maintenance and Service Alerts: GPS devices can be set up to send alerts when a vehicle is due for maintenance or service to ensure that your inventory is correctly cared for. You can also monitor the vehicle's battery and get alerted when it is low so you can send someone to start the car.
• Lot Optimization: You can optimize your lot layout to maximize capacity and reduce congestion by tracking vehicle movements and locations. You can also track your inventory movement from one lot to another if you have multiple locations.
• Floor Plan Audit Accuracy and Savings: By integrating GPS technology into floor plan audits, businesses can significantly enhance the accuracy and efficiency of their inventory management processes. With accurate floor plans and real-time location data, they can make informed decisions about inventory management, optimize their operations, and drive business growth.
• With Ituran’s “Lot Curfew Option,” dealers who are utilizing the Starter Disable option can set a starter to turn off schedule for after operation hours (for example, between 9 pm and 7 am), ensuring vehicles cannot be used during those times, reducing the stolen vehicles dramatically from the lot incidents.