Motor Industry News
MyCarCheck.com/Trade Used Car Market Overview April 2013: 13-plate boost despite superstitious buyers and supply issues
Head of Valuation Services at MyCarCheck.com/Trade, Gavin Amos, commented: “April is bringing with it a general good feeling in the motor trade. Dealers have enjoyed relative success with the new 13-plate, despite some superstitious buyers steering clear and some supply issues, especially for prestige franchises.
“Audi’s star performers, Q5 in particular, are still generating plenty of orders even with the long lead times, as are popular Land Rover models. Deliveries are likely to drag out through April and even into May, diluting March’s new registration figures. As a result, late example values remain strong.
“Forecourts should be full at this time of year. The part exchanges generated by the new registration are in, prepared and ready to go to a new home. Many traders are reporting strong demand for these fresh cars. Valued wisely they often offer a better profit opportunity than those sourced at auction, where values are robust.
“Any trader with a forecourt full of 4x4s will revel in the latest onslaught of snow. Their phones are ringing off the hook with buyers desperate to gain that ‘go anywhere’ capability. Some Land Rover dealers are apparently running very low on used stock! Great news for now, but how will they refill their forecourts while prime stock is so difficult to come by?
“In the past some traders turned their noses up at cars that were damaged or in need of mechanical preparation. Today, it’s a very different story. Many trade buyers are using internet auction sites to search for such cars in an attempt to grab a bargain and create decent margin.
“The shortage of clean, late, low mileage stock is becoming even more apparent, even though sellers are now wise to the importance of presenting cars in ‘ready to retail’ condition. Ever more are investing in smart repairs prior to auction in an attempt to maximise profit.
“Values remain stable for April with only a seasonal drop of 2% being applied. The government’s decision to hold back on a fuel duty increase has helped to prevent a further plunge in value for anything big and thirsty. However, vehicles such as the older petrol A8 and large petrol 4x4s are still dropping quite dramatically. We have dropped them yet again for April by four to five percent. Values of the usual high achievers such as X3, Q3 and Q5 remain as strong as ever.”
MyCarCheck.com/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.
The MyCarCheck.com/Trade team:
Gavin Amos has 15 years’ experience in the used vehicle sector. After starting out at CAP he worked in several dealerships, progressing into management. He has hands-on experience of sourcing and disposing of stock, both to trade and retail customers.
Alan Senior has spent 34 years in used vehicle valuations. In 17 years at CAP he was Senior Editor for both the black and red books.
David Hill specialises in LCVs. He worked with Renault, LDV and Isuzu Trucks before spending 10 years as CAP’s Light Commercial Vehicle Editor. Following five years as national used vehicle sales manager for Iveco, he joined CDL in 2011.
Rob Hobson specialises in motorbikes and scooters. After leaving a dealer role to launch CAP’s green book, he worked in business development for Piaggio.
Gerry Clancy specialises in motor auctions. He has been selling trade valuation products since 1997 with both CAP and Glass’s.