What Does Exclusive Off-lease Inventory Mean?
2 mins
When it comes to sourcing used vehicles – or when you are shopping for any type of item – you are likely looking for things like access, options and quality. That’s why OPENLANE’s exclusive off-lease inventory selection is a fantastic option for many dealers.
In today’s uncertain market, dealers are looking for an easy way to source quality, late model, low mileage inventory. Thanks to OPENLANE’s exclusive high quality off-lease inventory, dealers have early access to purchase the very best inventory out there.
What is Off-lease Inventory?
Off-lease inventory is a term used in the automotive industry to describe vehicles that have been returned to a dealership after the completion of its lease term (typically two to four years).
Off-lease inventory is typically of the highest quality in the wholesale marketplace. That’s because off-lease vehicles have generally had far less wear and tear when compared to the average used car. Most lease agreements include a limitation on mileage per year, meaning these off-lease vehicles typically feature lower-mileage and are in better condition requiring fewer (if any) repairs. That makes them frontline ready, and they can quickly be retailed. These vehicles are also late-model, which means when they arrive on the OPENLANE marketplace, they are still a recent model year.
How off-lease inventory works on OPENLANE
So how do off-lease vehicles get to OPENLANE?
When a vehicle has reached the end of its lease term, the consumer returns it to their local franchise dealer — typically, the dealership where it started. The dealer who originated the lease — known as the grounding dealer — has first dibs on acquiring the vehicle to resell.
If the grounding dealer declines, the OEM or captive finance company will push it to the brand-affiliated private label digital marketplace almost immediately, so other same-brand franchise dealers have a chance to acquire. After 24-48 hours, it’s then made available to other brand-aligned franchise dealers. OPENLANE powers more than 40 of these OEM and captive finance private label programs, supporting over 70% of North America’s off-lease vehicles.
All this happens very quickly — typically in less than 72 hours. If it doesn’t sell via these closed private-label marketplaces, thanks to OPENLANE’s exclusivity agreements, the vehicle is then pushed to OPENLANE’s open digital marketplace for any dealer to bid on and purchase.
This provides OPENLANE users early access to bid on and purchase these used vehicles before the rest of the wholesale industry.
Why customers enjoy off-lease inventory
The whole point of the wholesale industry is to help you secure vehicle inventory that your customers will want to purchase. When you source from off-lease inventory, you are typically buying high quality, late-model, low-mileage vehicles. Off-lease inventory also makes great candidates for OEM-supported certified pre-owned (CPO) or other third-party CPO programs.
All of these factors should help your lot stand out among the competition, driving more business to your dealership.
Source Off-lease inventory
When it comes to finding inventory that your customers will want to buy, it’s clear off-lease inventory is a no-brainer. OPENLANE features thousands of fresh off-lease inventory options daily, with robust filtering options to help you find exactly what you are looking for. Find the vehicles your customers want to buy, before other dealers have the chance to snag them.
Ready to see how OPENLANE’s exclusive off-lease inventory can make a difference for your lot? Head to openlane.com/buyers and get your journey started.