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Trading in at a dealer is tempting. You drive your current car into the showroom, sign some papers, and drive away in your new car. No hassle with listings, no viewings, no negotiations with strangers. The convenience is unmatched.
But that convenience comes at a price, and a significant one. Dealers typically offer 15 to 30 percent less than the private market value on trade-ins. For a standard used car, that difference might be a few thousand euros. For a special car with a market value of 40,000 euros or more, that gap can grow to 6,000 to 12,000 euros. That is a steep price for convenience.
Why do dealers offer so much less? Simple: a dealer needs to resell your car at a profit. They factor in trade margin, reconditioning costs, and the risk of the car sitting on the lot for a long time. Your carefully maintained Porsche 996 is just inventory to them. To an enthusiast on an auction platform, that same car is a dream car.
| Factor | Octane Auction | Alternative |
|---|---|---|
| Convenience | Simple submission process, Octane handles presentation and communication | Maximum convenience: everything arranged in one dealer visit |
| Proceeds | Private market value through competitive bids from enthusiasts | Typically 15-30% below market value due to dealer margin and resale risk |
| Valuation | The market sets the price, with buyers who truly want your car bidding against each other | Dealer unilaterally determines trade-in value based on own interests |
| Appreciation of details | Buyers value rare options, original condition, and service history | Dealer rarely values special features and applies standard purchase formula |
| Target audience | European network of enthusiasts actively searching for this type of car | One party: the dealer, estimating what they can resell |
| Duration | Auction typically takes 1-2 weeks after approval | Arranged immediately during dealer visit |
| Transparency | Open auction process where you see all bids in real-time | Opaque calculation: you do not know how the trade-in price was determined |
| Negotiating power | Multiple buyers competing, putting you in the strongest position | One buyer (dealer) with all the negotiating power |
| Emotional value | Your car goes to someone who will enjoy it just as much as you did | Your car disappears into a dealer trade inventory |
| Price protection | Confidential reserve possible, set jointly with Octane | No protection: the dealer offer is take-it-or-leave-it |
Trading in is the right choice when speed is your absolute priority and you accept the financial difference. If you want to drive a new car today and your current car is a common used vehicle like a three-year-old Audi A4, a Volvo XC60, or a BMW 3 Series, then trading in is fine. The price difference is relatively limited and may not outweigh the convenience.
As soon as your car is special, that calculation changes drastically. A dealer looks at your Lotus Elise, BMW Z3 M Coupe, or Alfa Romeo 147 GTA and sees a car that is difficult to resell through their regular channels. Their offer reflects that risk, not the actual value to an enthusiast. On an auction platform, you reach precisely the buyers who understand and appreciate these cars.
A practical middle ground: use the trade-in value as your floor. If you know what a dealer offers, you can set that price as your reserve at auction. That way you are certain never to receive less than the trade-in price, while having the chance at a significantly higher amount.
At Octane, the market sets the price, not a dealer trying to buy low. That sounds like a small difference, but in practice it is enormous. A dealer calculates: purchase price minus reconditioning minus margin minus risk. A bidder on Octane calculates: how much is this car worth to me? That is a fundamentally different question, and the answer is almost always higher.
The difference is greatest for cars with special specifications. An original color, a rare option package, low mileage, or an unbroken service history: these are factors a dealer barely considers in their trade-in calculation, but that make the difference for an enthusiast between "interesting" and "I have to have this."
Additionally, Octane offers something no dealer can: European reach. Your car is not only seen by buyers in your region, but by thousands of enthusiasts across Europe. More interested parties means more bids, and more bids means a fairer final price.
Submit your car and our team will review it within 48 hours