Motor Industry News
MyCarCheck.com/Trade Used Car Market Overview Sept 2014:
Values stay steady as summer lull is less pronounced than usual
- Unlimited car, van & motorcycle valuations for £99.99+VAT a year
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- For further details visit: www.mycarcheck.com/trade
MyCarCheck.com/Trade is 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 MyCarCheck.com/Trade, Gavin Amos, commented: “The summer lull has hit enquiry rates throughout August, but perhaps not to the same extent as we have seen in previous years. Used values remain largely unchanged across the board.
“The trade is reporting steady interest from retail buyers for both new and used cars. Meanwhile, the prestige market appears almost immune to the seasonal dip, perhaps thanks to the increase in distance selling.
“As dealers focus on the new ’64 plate, orders are buoyant and plenty of part-exchanges will soon flood in. So does this mean that dealers aren’t buying stock to fill their forecourts? Not at all, most dealers are still actively buying stock where they can.
“The internet car buying sites are eating up a lot of would-be part-exchange vehicles, thriving on the mind-set that the deal will be better for the buyer if there is no part-exchange involved. This isn’t always the case but it’s working well for them. The traditional view that a plate change always provides fresh stock is changing shape a little.
“The fact remains that dealers must stay focussed on the new plate and handing those vehicles over, while also turning the part-exchanges round quickly – getting them prepared and advertised as soon as possible. The bigger franchises sometimes struggle with this. By the time the vehicles are actually ready for sale they might have been on the books for quite some time. This can often result in a thinner profit margin.
“The onslaught of supported finance campaigns, with the likes of deposit contributions on new vehicles, continues. It is certainly having a detrimental effect on late low-mileage examples, particularly sub-six-month-old cars. As a buyer, why wouldn’t you go for the new model on a finance package?
“On the other hand, the likes of Q5 remain unaffected, with values remaining super-strong. Demand just doesn’t appear to be dwindling. Audi A1 also continues to perform very well. Dealers can’t buy enough. With people coming towards the end of their PCP deals, dealers are offering strong money and snapping them up for way more than their Guaranteed Future Value (GFV). In many cases this is retaining the customer for the brand by creating a healthy deposit for their next vehicle.”
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 includes:
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 35 years’ experience in used car valuations. After a decade running a franchised dealership he spent 20 years at CAP where he was Senior Editor of the Black and Red books and co-founder of the Green book, then two years as editor of Parkers Guide before co-founding VIP Data valuation services.
David Hill specialises in LCVs. He worked with Renault, LDV and Isuzu Trucks before spending 10 years as CAP’s Light Commercial Vehicle Editor then 5 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.