9:15 am, April 10, 2024
Peugeot made the top 10 for the first time in Dealer Auction’s latest Retail Margin Monitor of used cars.
The trade-to-trade auction site said premium and mainstream vehicles both gave dealers the chance for profit last month, while the entry by Peugeot demonstrated how important it was to have a varied stocklist.
The chart saw three mainstream brands feature – Honda, Kia and Peugeot – with the French marque attracting an average retail margin of £2,100.
Kieran TeeBoon, Dealer Auction’s marketplace director, told Car Dealer: ‘Our March Retail Margin Monitor is once again dominated by premium brands.
‘The arrival of Peugeot in the top 10 points to the fact that studying the data and keeping choice at front of mind when it comes to stock potentially means more profit for dealers.’
Elsewhere, the brand chart was mainly no different to February’s, with Land Rover (average retail margin of £4,025) and BMW (£2,975) securing the top two spots again.
Volvo’s £2,875 moved it ahead of Mercedes-Benz to take third spot.
At model level, it was almost a clean sweep for premium products, with the Land Rover Discovery Sport, Range Rover Evoque and Volvo XC90 at first (£4,100), second (£3,750) and third (£3,725) respectively.
Meanwhile, regular top performer the Discovery Sport also topped the chart for being the fastest seller and highest Average Auto Trader Retail Rating.
Re-entries for the BMW 5 Series and Volvo XC90 meant there were two models apiece for Land Rover, BMW, Volvo and Mercedes-Benz.
The sole mainstream model, the Hyundai Tucson – which entered the chart last month – was still there, albeit in tenth spot.
However, it shouldn’t be overlooked, with TeeBoon saying: ‘It’s clear that dealers are finding strength in data-driven decisions to back up their instincts.
‘The performance of the Tucson indicates dealers are keen to get ahead of the game by locating practical, family-friendly vehicles for the summer.
‘Although it appears further down the margin chart, it’s the third-fastest seller and has the second-best Average Auto Trader Retail Rating.’
He added: ‘March saw some movers and shakers at brand level. These monthly shifts are important for dealers who are keen to make quick and smart stock decisions.
‘Data is a powerful tool for dealers to wield. Smart stock decisions aren’t just choices; they’re strategic manoeuvres that drive success.
Richard Walker, data and insight director at Auto Trader said: ‘Despite an uncertain economic and political backdrop, we’ve seen a positive start to 2024, with demand remaining robust throughout the quarter and a record 89.1m visits to Auto Trader in March.
‘That’s reflected in the margins on display in Dealer Auction’s Margin Monitor. Right now, retailers face a nuanced and complex market, which will continue to move at pace but our outlook is confident for the rest of the year.
‘To navigate the market and identify both future opportunities and risks, data is key.
‘We’ve recently made more of our data available than ever. Our valuations data alone was used over 240m times last year, around 100m more times than 2022, showing just how powerful it’s been in informing key retail decisions.’
Top 10 models by average retail margin
1) Land Rover Discovery Sport
Average retail margin: £4,100
Average Auto Trader days to sell: 40
Average Auto Trader Retail Rating: 75
2) Land Rover Range Rover Evoque
Average retail margin: £3,750
Average Auto Trader days to sell: 45
Average Auto Trader Retail Rating: 56
3) Volvo XC90
Average retail margin: £3,725
Average Auto Trader days to sell: 51
Average Auto Trader Retail Rating: 47
4) BMW 3 Series
Average retail margin: £3,100
Average Auto Trader days to sell: 49
Average Auto Trader Retail Rating: 43
5) Volvo XC60
Average retail margin: £3,050
Average Auto Trader days to sell: 45
Average Auto Trader Retail Rating: 59
6) Mercedes-Benz C-Class
Average retail margin: £3,025
Average Auto Trader days to sell: 50
Average Auto Trader Retail Rating: 47
7) BMW 5 Series
Average retail margin: £3,000
Average Auto Trader days to sell: 51
Average Auto Trader Retail Rating: 42
8) Mercedes-Benz E-Class
Average retail margin: £2,850
Average Auto Trader days to sell: 54
Average Auto Trader Retail Rating: 38
9) Mitsubishi Outlander
Average retail margin: £2,675
Average Auto Trader days to sell: 41
Average Auto Trader Retail Rating: 62
10) Hyundai Tucson
Average retail margin: £2,625
Average Auto Trader days to sell: 43
Average Auto Trader Retail Rating: 71
Source: Dealer Auction
Top 10 makes by average retail margin
- Land Rover – £4,025
- BMW – £2,975
- Volvo – £2,875
- Mercedes-Benz – £2,775
- Audi – £2,650
- Mini – £2,400
- Mazda – £2,325
- Honda – £2,200
- Kia – £2,150
- Peugeot – £2,100
Source: Dealer Auction
