10:28 am, July 2, 2013
THE used car business is matching the strong performance of this year’s new car market, according to CAP Automotive.
Latest research carried out by the used car information experts revealed that independent used car specialists are now enjoying an upswing in sales and expecting more to come.
To partner the research process for Black Book Live, the real time used car trade valuation and trending pool, each month CAP questions a ‘Dealer Insight Panel’ of more than 100 independent used car dealers.
As manufacturers get behind their franchise dealer networks to drive sales harder with a wide range of finance incentives, this year has seen the new car market really take off.
Independent used car specialists were reporting a challenging market until May, but according to CAP, a sharp improvement saw the most positive change in trading results between any April and May since the survey began four years ago, with sales results reportedly significantly ahead of the same point last year.
Comparing May with April, 61 out of 104 dealers surveyed said their retail sales had increased. Meanwhile, a further 33 recorded no change leaving only 10 whose car sales apparently slipped on the previous month. 84 per cent of the dealer panel described the current business climate as ‘stable’, ‘good’ or ‘very good’.
CAP’s Mike Hind said: ‘Despite the UK economy struggling to make any kind of meaningful recovery this year, motorists are clearly in the market to replace their vehicles.
‘We are seeing the strongest new car market in years as manufacturers promote the most attractive new car deals anyone at CAP has seen since our business started in 1979. But, although this means a lot of potential used car customers are being tempted into new cars, good independent used car specialists are also winning motorists over with their own high quality, good value offerings.’
He added: ‘For the cost-conscious motorist this is a great time to consider changing cars because there has never been a more competitive market that we are seeing today.’
