6:45 am, December 11, 2023
The Range Rover Evoque is making used car dealers an average of more than £5,000 profit as it seals its place at the top of a most profitable cars list.
The popular SUV has ranked first once again in a top 10 which details which used cars make dealers the most money.
The November Dealer Auction Retail Margin Monitor reveals car dealers are currently making an average of £5,100 on Evoques.
The figure is the joint highest average profit margin ever recorded by the firm since it started collating figures nearly two years ago.
The figure is calculated by comparing the price they are sold for on the trade to trade platform with what they are advertised for on Auto Trader.
The Evoque’s profitability figure eclipses the second placed Mercedes A Class, which returns dealers £3,425.
The Hyundai Tucson rose from joint-10th in August to fifth place in October and took third in November, with an average profit margin of £3,300.
November also saw the first-ever entry for the Ford Kuga, in seventh place with an average margin of £2,975.
Top 10 used car profit margins
Source: Dealer Auction November Retail Margin Monitor, average profit margin and days to sell in brackets
- Land Rover Range Rover Evoque – £5,100 (41 days)
- Mercedes-Benz A-Class – £3,425 (36 days)
- Hyundai Tucson – £3,300 (43 days)
- Volvo XC60 – £3,250 (40 days)
- Mercedes-Benz C-Class – £3,075 (40 days)
- Ford Kuga – £2,975 (38 days)
- BMW 3 Series – £2,950 (41 days)
- MINI Countryman – £2,925 (39 days)
- BMW 1 Series – £2,875 (37 days)
- Peugeot 3008 – £2,800 (38 days)
Land Rover was the most profitable brand returning dealers an average of £4,450 across its models.
Le Etta Pearce, Dealer Auction CEO, told Car Dealer: ‘Our latest Retail Margin Monitor once again shows the benefit of keeping a close eye on the data and not assuming what’s performed well before will do the same again.
‘This month we’ve seen a brace of affordable SUVs make the model top 10, plus a first-time brand table entry from Renault.
‘Land Rover products, despite coming under scrutiny of late, continue to shine when it comes to margin potential.’
The data come amidst a used car price drop that has seen the average values of cars fall 8.4% in the last two months in the trade. Used car prices are now down nearly 18% since April.
However, retail prices have not dropped quite as quickly. Auto Trader said the price of used cars advertised on its platform were down 2.5% in November, following a 0.2% drop in October and 1.2% drop in September.
Top 10 used profit margins by brand
Source: Dealer Auction November Retail Margin Monitor, average profit margin per brand
- Land Rover – £4,450
- Mercedes-Benz – £3,300
- BMW – £3,200
- Volvo – £3,050
- Audi – £2,950
- Mini – £2,550
- Volkswagen – £2,400
- Nissan – £2,350
- Kia – £2,325
- Renault – £2,300
Richard Walker, data and insight director at Auto Trader, said: ‘That the Margin Monitor has this month recorded a joint-highest retail margin is a true testament to the current health of the market and the opportunities available as wholesale and retail prices become increasingly out of sync.
‘As we’ve been reporting for some months now, retail prices remain robust across segments of the market, demand is solid, and cars are selling quickly.
‘The findings show that more than ever, profit opportunities are in the detail.’
