Will (on behalf of Bob Ladick)'s questions to Openlane Inc (KAR) leadership • Q3 2024
Question
Will, on behalf of Bob Ladick, asked how the mix of off-lease auctions is changing, particularly with the backdrop of lower overall off-lease volumes in the market.
Answer
CFO Brad Lakhia explained that go-to-market efforts have driven higher participation from franchise dealers as buyers in the open marketplace. This has resulted in more off-lease vehicles selling through that channel, which is the company's highest ARPU (average revenue per unit) channel. Consequently, OPENLANE has seen a modest increase in the blended ARPU for the off-lease category.