Used car prices have shown minimal movement in the first week of England’s month-lockdown, with the market ‘holding its breath’.
That’s the view of used car pricing experts Cazana as its weekly pricing index shows retail prices are down by a slight 0.06 per cent for the week commencing November 2.
The largest move was the ‘old car’ profile with a drop of 0.84 per cent, reports the firm, while ‘ex-fleet old’ vehicles rose by 0.8 per cent following a decline the previous week of 1.89 per cent.
Meanwhile, from a price range perspective, year-on-year retail pricing performance was actually very similar, says Cazana.
Cazana’s data shows the largest movement in 2019 was an increase of 0.41 per cent in the sub-£10k price profile and for 2020 an increase of 0.25 per cent on the £20k to £30k profile.
The firm says the increase in the £20,000-£30,000 profile has been rising over the past few weeks, but is also tied with the activity in the ‘old car’ profile with older executive and sports cars showing an uplift in average retail price.
Cazana director of Insights, Rupert Pontin, said: ‘Retail pricing over the last week has shown minimal movement as the market appears to hold its breath whilst waiting to see the impact of retail consumer demand on the sales volumes.
‘This temporary pause was to be expected, and a second lockdown was inevitable, although the challenges experienced first time round in relation to online selling have been resolved by a number of switched on retailers who if they did not have online “mouse to house” capability in March this year, certainly have it now.
‘It is prudent to acknowledge that a small number of wholesale vendors have gone into the market to vent stock in the last week.
‘The Cazana wholesale pricing accommodated this change as it has happened using the factual data and machine learning to make the appropriate pricing changes.
‘What is also evident from the whole market data is that there has not been any immediate drop in retail price for the affected product.’