We’re a family business which has been trading used vehicles for over 20 years, it has been my dad’s business in that time but it’s time for a refresh.
As we work to build a bigger dealer network, Fairway Motor Traders is positioned as a service to the dealers we buy from and sell to; if they’re losing money from their wholesale we can help, and it’s not just for cars, we do bikes, light commercials, fleets.
It all began with my grandfather who started it as a workshop with a car yard beside it, then my dad, having been the sole distributor for Lada Australia until they folded, got into the business.
It’s a legacy many dealerships will know on a personal level – the early starts and cold dinners, getting that last deal done before the weekend, kids working in their school holidays.
That’s where I came in as a kid.
Out of school I’ve always been involved in the business, my mum works in the office, my sister helps out, and I think an honest family business is something rare in the auto industry these days – and that’s the spirit in which we operate.
Our clients know they can trust us.
Our word is our word.
There’s been an incredible change in the automotive industry in the last five years, which we’ve adapted to quickly – for all the corporate giants and financial uncertainty in the market we’re still here.
Most of the network we have is from my dad’s connections and I’ve been adding to it.
My plan is to get business through word-of-mouth, someone who’s happy with how we do things tells another dealer whose wholesale is running poorly.
Day to day we’re on the road most mornings visiting dealers, having a chat, getting to know them, and buying cars in their lot.
We’ll then get the cars back to our shop, give them a re-co and tidy up, and then send them to any of our 60 dealers who buy certain stock.
And then in the afternoons we’re usually sending those wholesale cars off to their new owners.
We get through anywhere from 60-100 cars per week, some months are slower than others, other months are booming.
We buy from all over Australia, and we’re hoping to expand interstate, but we’re primarily Victorian at the moment, but we’re happy to hop over the border, particularly buying.
The systems works on low-margin/high-turnover, so going interstate is tricky because locals in those areas often have their business networks taking up the potential revenue.
Generally commercial vans are very good to us because they’re not often traded and are easy to sell because people don’t care if it’s got a ding or has high mileage; Corollas are the bulletproof bread-and-butter car; and the ute market is changing because people want the practicality of a dual-cab and 4WD with the fashion of a flashy truck, so they’re becoming a good trade.
There’s no escaping the fact we have competitors, but the difference is how we operate.
There aren’t many who operate as low-cost/quick-turnover, we offer no lot fees for example; we want meat on the bone of every car our customers are buying.
There are lots of people who sell a car knowing it’s too expensive.
We don’t work like that, we try to keep it fair and equitable for us and our customers.
Our most common cars are sub-20 grand, quick turnover, which means trying to gauge people for more than they can afford doesn’t win their trust.
The next couple of years will be interesting depending on where the economy goes, especially with electric vehicles and hybrids becoming popular.
But we’re also now looking at the classic car market, not only because it’s a passion of mine, but because the demand is so strong.
With the economy at the moment, classics may decline a little, so because of that volatility where people will buy or sell the classic car depending on their financial circumstances, it might be more of a long-term hobby on the side or separate.
When times are tough, we have to sell smarter rather than harder, which is typical for most businesses; so, in a slow period like late last year we still have to find cars, but lean on what’s in highest demand.
The banking and finance sector, election cycles, market ups and downs are all factors we have to watch because they can change things quickly, but nothing changed things even remotely close to the way the internet did.
I think the internet has equally made business trickier for us, but at the same time, with the way it showed people how big and complex the market is out there, I think it helps people to see and value working with a family whose business they can rely on, and trust.
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