Kelley blue book is a famous automotive sales and purchase website. The company started its journey in the late 1920s when it published a blue book that dealerships referenced for providing vehicle values and prices. The dealers commonly used KBB’s car pricing. Consequently, the term “Blue Book” became part of their vocabulary, and finally, all accepted it. However, in 2010, Autotrader acquired Kelley blue book, and both brands are working closely under the Coax automotive umbrella. However, this is not the only website that offers this kind of help to customers to find the best cars. There are many other options where one can compare the prices, and it makes you able to make a better decision.
What process does Kelley blue book use to determine the old car’s prices?
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Whenever there is a matter of buying or selling an old car, people often rely on Kelley blue book. Therefore, around twenty million people visit its official website monthly. Moreover, automotive experts openly acknowledge KBB as the most accurate and reliable guide in determining the old car’s prices.
However, some people still raise a question about its validity and accuracy. Here we look at how they determine the prices and other problems that consumers may face.
- The Kelley blue book is one of the most trusted websites for determining old car prices. They have been in this business for more than a hundred years.
- KBB often estimates the following values: -Private party value -Trade-in value -Suggested retail value -Certified Pre-owned value (CPO)
- Kelley estimates blue book values from real-world used car prices to determine price information.
How does KBB determine car values?
Kelley blue book receives daily base prices from independent franchise dealers, rental fleets, auto manufacturers, wholesale auctions, and private party transactions. Furthermore, Kelley’s algorithm checks pricing data with historical trends, industry developments, economic conditions, time of the year, and location to set Kelley’s blue book values. Consequently, that process ends with the following values for used cars.
- First of all, it refers to private party value that how much one will have to pay for a used car from a private seller.
- Secondly, it sets the trade-in value amount that you get from a dealer to trade-in.
- It suggests retail value that tells what dealers are asking for a used car.
- It also enables us to have certified pre-owned value.
What are some disadvantages of Kelley blue book pricing?
Nothing is perfect in the world, and every set rule and method has so many problems. Therefore, some issues are there with KBB pricing that is the following:
- It takes much time to take data and analyze it through KBB.
- Price lists sometimes do not reflect the economic conditions and latest trends.
- Customers think that they are selling the best car in the world, and it shows the biases of consumers that can affect the process of evaluation.
- If someone misjudges the relevant authorities about the car’s condition for trade-in or purchasing, the KBB’s system will not analyze its data.
- Many users don’t use Kelley blue book for wholesale values, and when they use other websites, it challenges the people to get accurate prices.
The bottom line about Kelley’s Blue-black
Kelley’s blue book is an excellent resource, but you should not consult only this source; you should also wisely check other sources. No doubt, none of the car buying guides is perfect, and however, you should carefully analyze all their pros and cons. You will be able to get reasonably reliable and accurate information.
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