Used car market saw an upturn in demand during July, says BCA

Time 10:03 am, August 28, 2019

THE headline value of a used car at BCA fell by £310 in July to £9,153, according to the company’s latest Pulse report.

Always a month during which the summer holiday season gets under way, July was notable this year because of a shift in the mix of product entering the market.

Stuart Pearson, chief operating officer for BCA Remarketing in the UK, said: ‘After a number of consecutive months of falling book values, we saw the market stabilise in July and demand lifted in spite of the commencement of the holiday season.

‘We’ve continued to work closely with our customers over recent months to keep them informed of factors influencing trading conditions and keep stock churning.’

Pearson added: ‘Our unique real-time BCA Valuations pricing intelligence continues to help customers to value stock to sell first time and provides an additional layer of confidence during what has been a challenging period in the industry.

‘The cleanest and best-presented stock continues to attract buyers and those customers who have invested in intelligence-driven vehicle preparation during this period have continued to benefit from the demand and value that has been created.’

Fleet & lease values averaged £11,294 at BCA in July, down by just £78 (0.76 per cent) compared to June, but up by £193 (1.7 per cent) compared to a year ago, despite age and mileage rising slightly.

Similar to June, the retained value against original MRP (Manufacturer’s Retail Price) was down by around two percentage points when compared to 2018, largely as a result of both age and mileage at the time of sale rising compared to a year ago.

Dealer part-exchange average values fell for the first time since April of this year. However, the average value of £5,009 was broadly in line with last year with a very similar profile of age and mileage.

Values for nearly-new vehicles at BCA fell to £22,106, a £1,375 (5.8 per cent) decline from the June value. Model mix has a significant effect in this sector, with brand-specific winners and losers.

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Dave Brown's avatar

Dave, production editor on Car Dealer Magazine, is a journalist with more than 30 years' experience in the worlds of newspapers, magazines and public relations.

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