7:58 am, August 15, 2022
A former Used Car Award winner says that the cost-of-living crisis has fuelled a quieter than usual summer for car dealers, as customers look to tighten their belts.
Stewart McMinn, from Plympton Car Centre, says that both enquiries and sales have dropped off in recent months, largely due to rising costs elsewhere.
The firm, which won Used Car Sales Team of the Year at last year’s Used Car Awards, saw business fall by 35 per cent last month.
McMinn, 46, says that ballooning bills have made customers ‘edgy’ about buying cars.
Speaking exclusively to Car Dealer, he said: ‘Just recently, it does seem quieter than usual for this time of year.
‘Customers are just a bit edgy and enquiries have dropped right off over the summer.
‘We were 35 per cent down last month on where we would expect to to be, based on pre-pandemic levels.
‘Absolutely, the cost-of-living crisis is having an impact. If general consumer bills are rising as much as our energy bills then you can understand that for sure.
‘There is also the fact that people are spending what money they do have saved on one last good holiday before their bills get even worse.’
Despite a tough few months, McMinn says business throughout the year as a whole has been positive.
The dealer believes that the market has ‘levelled down’ again following a ‘bonkers’ period during the height of the pandemic.
He added: ‘Overall, it has been a fantastic year again and has actually been relatively busy up until recently.
‘There has been a lot of scaremongering about the state of the used car market but what we have actually seen is things settling down again.
‘Auctions have levelled down, which is really good news because it was getting to the point that dealers needed a mortgage to buy a car at auction!
‘I don’t think that the bonkers market we’ve seen in the last 18 months or so will ever come back, and to be honest I think that’s a good thing.’
McMinn also spoke to Car Dealer about Cazoo and why he thinks the online disruptor has failed outside of major cities. Read the full story here.
This year’s Used Car Awards – brought to you once again in association with Black Horse – are being held at The Brewery in London on Monday, November 28, hosted by TV’s Mr Wheeler Dealer Mike Brewer.
It takes just a few minutes to put your car dealership in line for an award.
There are 23 dealership categories, and nominations can be made by filling out the form accessed via this link.
