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Used car strength

Car Dealer Magazine by Car Dealer Magazine
September 1, 2008
0
Home News

029775000_1208853481.jpgDESPITE the economic malaise, sales of used cars are holding up.

So says a survey conducted by Manheim Retail Services, of 100 franchised dealers.

Dealers report that enquiry levels and test drivers are, overall, only slightly down on the preceding three months. Indeed, conversion rates for medium family cars actually increased, by just under 1 per cent.

Naturally, sales-to-enquiry conversions were down for executives and 4x4s, by 8.3 per cent and 7.6 per cent. But the strengths in other sectors helped offset these falls.

John Simpson, MD, Manheim Retail Services said: ‘With negative consumer confidence forcing new car registrations down in July by 13 per cent, it is encouraging to see that dealers are maintaining activity in used car sales.’

‘In the five vehicle segments analysed, used car sales were only down by an average of less than one unit per dealer per month. And as to be expected, interest levels and sales were highest in the small hatchback and medium family segments.’

Two-thirds of customers are still classed as walk-ins, but the internet’s increasing importance is reflected by a third of enquiries coming from those registering interest in specific vehicles before visiting.

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