The Used Inventory Playbook: How Dealers Are Winning in 2025’s Pre-Owned Market
As flooring costs rise and buyers seek value, used inventory isn’t just a side business anymore - it’s the margin lifeline keeping dealers profitable.
For years, dealers have known the used market is where the real margin lives. In today’s environment, where flooring costs rise, new inventory stacks up, and buyers shop value first, the pre-owned segment isn’t just a side business. It’s the lifeline that’s keeping the lights on for many stores across the country.
In a recent crossover episode with Powersports Business Editor in Chief & Host of Power Hour Podcast, Brendan Baker, we talked about the practical strategies dealers are using right now to dominate in pre-owned and why the fundamentals of buying, reconditioning, and merchandising matter more than ever.
1. Wholesale-to-Wholesale Relationships Still Win
The fastest way to improve your pre-owned mix doesn’t require a single ad dollar, it requires relationships.
One of the easiest starting points for any dealer is the dealer-to-dealer (D2D) buy strategy. This means building connections with local stores that sell different brands or product lines. A metric dealer can become the go-to buyer for the Harley-Davidson store across town when they take in a metric trade they don’t want to retail.
“It’s all about being the guy they think of when something comes in, you’ve got to remind them who you are, bring donuts and cards, and make it easy.”
The key? Take everything they offer. Don’t cherry-pick. When you build that trust, the steady flow of trade-ins can transform your inventory overnight.
2. Auctions Deliver Scale, but Know the Math
For fast-turning dealers ready to scale, National Powersports Auctions (NPA) remains the gold standard. With locations nationwide, they provide reliable, transparent access to large quantities of used units, each with detailed mechanical and cosmetic reports.
But Jacob reminds dealers: factor in all costs. “Your $10,000 bike might really cost you $10,600 after fees and transport,” he says. “The pros know that before they bid.”
Online bidding makes the process convenient, but smart buyers still plan in-person visits a few times a year to connect with other dealers and spot-check inventory quality.
3. The Service Department Goldmine
Many dealers overlook one of their most profitable acquisition channels, the service lane. Every oil change or tire replacement could be a potential buy.
When a service customer’s bike has high miles or upcoming repairs, it’s an opportunity to offer a trade or buyout. Some dealers even assign a service liaison, a salesperson stationed near the service drive to build rapport and identify potential acquisitions during the rush hour in the mornings and evenings.
“If you handle it softly, it works beautifully, we’ve seen dealers pick up 12 to 15 extra units a month from their own service traffic.”
4. Optimize the Trade-In Funnel Online
Nearly every dealership website focuses on retail, but few optimize for acquisition. If your site isn’t promoting trade-in and sell-your-bike options clearly, you’re missing high-intent traffic.
Simple messaging, “Get a trade value in 60 seconds” or “We buy bikes, no BS”, can drive many high-quality leads each month. But it requires the right workflow.
These leads should be routed to a dedicated trade or buying specialist, not a general sales team using retail scripts. “You can’t treat a seller like a shopper,” says Berry. “You’ve got to ask the right questions: miles, accessories, condition and schedule an in-person appraisal fast.”
5. Speed Through Recon and Merchandising
Once a bike hits your lot, the clock starts ticking. A used unit that sits is like a banana on the counter, fresh one day, rotten the next.
Top-performing dealers create a dedicated recon process with stocked parts, quick service turnarounds, and set photo and listing standards. Every bike should be cleaned, have professional photos, clear specs, and accurate pricing in days, not weeks.
Your website is your digital showroom, so every unit deserves attention equal to what it would get on the floor. Syndicate to the classified marketplaces like MotoHunt and Facebook Marketplace, but start by making your own site the strongest source of traffic.
6. Fundamentals Over Flash
The power of AI, digital retail, and analytics tools can’t replace the basics. “This business still comes down to blocking and tackling,” Baker says.
Dealers who source smart, turn fast, and market digitally are seeing record results, even in a competitive, margin-tight year.
The takeaway: The pre-owned market isn’t a side hustle anymore. It’s the engine driving dealership profitability. And if you master these fundamentals, you’ll be the dealer every customer and every wholesaler calls first.
Get The Playbook here: https://dealers.motohunt.com/ultimate-used-inventory-playbook
Listen to the full conversation here: