The essential journalist news source
Back
1.
July
2015.
My Car Check Trade used car market overview July 2015

My Car Check Trade used car market overview July 2015

Demand tailing off, used values stable and new registration figures queried

 

[image]

  • Unlimited car, van & motorcycle valuations for £99.99+VAT a year

  • Accessible via smartphone and desktop. Seewww.mycarcheck.com/trade

"Are the numbers being massaged simply to portray a thriving marketplace? If so, what is the real picture?"-Gavin Amos

My Car Check Tradeis the trade valuations arm of CDL Vehicle Information Services. Based on cutting-edge industry data and feedback from independent and franchised dealers, these monthly bulletins highlight the most significant trends in the UK used car market.

Head of Valuation Services at My Car Check Trade, Gavin Amos, commented:"July brings little change to the used car market. Although demand has tailed off slightly due to the imminent holiday period, used values remain relatively stable. Only older vehicles, in particular those with higher than average mileage, have seen reductions this month, mostly just 1-2%.

"Some dealers report that the shortage of good used stock has eased a little, but this is by no means universal. This ensures that, even though enquiry levels may be down due to the summer lull, the right cars are still very much in demand. With the downsizing trend continuing, Corsa, Fiesta and the Korean competition are thriving as late used cars. A small petrol engine is no issue for these vehicles in a market still dominated by diesels.

"The new market continues to see increased numbers registered each month, although we know that a lot of these are not direct retail sales or fleet. It has to be questioned just how healthy this is and how long this practice can continue. Are the numbers being massaged simply to portray a thriving marketplace? If so, what is the real picture?

"The SUV market continues to go from strength to strength and every manufacturer wants a piece of the action. Nearly all are either already selling, or in the process of unveiling, new variants. Renault are entering the fold with new Kadjar, Suzuki have the new Vitara and Seat are about to launch a new A-SUV model. These will create an even more congested sector with consumers spoilt for choice and facing ever trickier buying decisions.

"One interesting development is the growth in prestige marque franchise operations willing to offer non-franchise used stock. In the past, large dealer groups would have traded out all such vehicles to concentrate on their core product. Today, non-franchise vehicles often take prime positions on their used pitches. These dealers are looking to maximise each profit opportunity and with non-franchise models they don't have to adhere to the costly preparation specified by their own tied used car programme. There's nothing really new here but this practice is becoming ever more prevalent.

"During the holiday season we historically experience a plateau in enquiry levels, allowing dealers to focus on new registration orders for delivery in September."

My Car Check Trade provides buyers and sellers with all the vehicle price data they need: ready to retail, trade, average, retail and Cat D. As a free bonus, it also provides the annual road tax cost and key DVLA information, including the make, model, colour, engine size, body style, fuel type and date of registration.

Simply enter a car, van or motorcycle registration and the vehicle's mileage to get an accurate valuation and additional information in an instant. Once signed up you can check as many vehicles as you like at no extra cost.

(Ends)

(Words = 521)