SK rent-a-car opens used car sales facility in Cheonan

(Han Chang-ho)

Auto Auction, a used car sales facility run by South Korean rental car company SK rent-a-car Co. in Cheonan, South Chungcheong Province, officially opened in July, offering inspection and management services.

When Maeil Business Newspaper visited the site on Tuesday, mechanical beeping sounds echoed constantly.

Every time a participant in the auction pressed a button to bid on a used car, the winning bid increased by 50,000 won ($35.9) along with the beeping sound.

Just a few seconds after the sound stopped, the vehicle was either sold or passed.

Around 1,000 vehicles are traded at this facility daily.

The vehicles auctioned at the site are those that SK rent-a-car has managed from the time they were new rental cars until they became used cars.

Most of the used cars are 3 to 4 years old since their initial release as new vehicles.

As such, trustworthy and transparent maintenance history is available for each car.

Genesis models previously operated as corporate rental vehicles were the most commonly seen being auctioned at the site.

Auto Auction opened after five months of remodeling. SK rent-a-car purchased the Cheonan Auto Arena, a used car sales facility, from Hyundai Elevator Co. in February.

It is the largest used car auction facility in Korea, with a total floor area of approximately 89,000 square meters spanning from three basement levels to four above-ground floors, accommodating up to 3,000 vehicles.

It is also the only auction house in Korea equipped with an underbody scanning device, allowing participants to thoroughly examine vehicle information.

This system inspects the condition of a vehicle’s underside - crucial to used car quality -and uses an artificial intelligence (AI)-based reading system to detect damage that might otherwise go unnoticed.

In addition, the Auto Auction facility features a high-tech vehicle reconditioning area called the Prove Station.

It is a one-stop solution in which all steps from vehicle acquisition to auction and reconditioning can be handled at a single location.

The Prove Station is equipped with various facilities and services, including 360-degree VR automated photography that uses 23 cameras to capture every angle of a vehicle, and battery residual performance diagnostics and warranty that objectively assesses the battery status of electric vehicles.

SK rent-a-car aims to secure 1,000 member companies for the Auto Auction by the end of the year and targets 20,000 vehicles listed and a 70 percent auction success rate.

“We are confident that this site will play a vital role in advancing the used car market,” said Chief Executive Officer Yi Chong-hwan.