Rupert Pontin, director of valuations at Cazana, reported that the retail consumer has been more difficult to find and close than in recent months.
“February is always a challenge because stock can be a little short as the new plate change approaches and new car buyers hold on for the new number delaying the feed of used cars to the market,” he said.
A commitment to buy seems to be causing and issue, with confidence in personal circumstances and what effects there may be from Brexit taking centre stage.
Pontin reports that used car retail pricing has not fallen at sector level when comparing with the same period in 2018. “While prices for ex PCP cars at 24k and ex Fleet cars at 60k have mutually dropped by one percentage point since 2017, the year on year comparison shows either parity in pricing or an increase of between one and two percentage points market wide,” he said.
Also, some franchised dealers are focused on preparing for the March plate change, whereas others are looking at March used car sales events to boost business and make the most of increased stock volume from part exchange activity and improved availability of ex fleet and contract hire stock that will filter through from mid-March.
Overall, the used car market remains fairly stable, needing to contest with increasingly wary customers.
