Used automobile retailers have been urged to pay attention to the “dangers round affordability” as motorists search out older, extra inexpensive automobiles to mitigate towards the continued rise in values.
The most recent market evaluation from on-line automotive advertising and marketing platform eBay Motors confirmed that the typical marketed value of used automobiles rose 2% to £17,610 in November with hard-to-source autos aged underneath two years driving the rise with a 3% uplift to £35,425.
However as a slowing down of inventory flip was attributed to “seasonal developments” eBay Motors advertising and marketing director Lucy Tugby advised that retailers want to pay attention to a recessionary mindset which is beginning to change consumers’ behaviour.
“Regardless of turbulence within the wider economic system, with rising inflation, vitality prices and the prospect of a looming recession, the used automobile market remained remarkably steady in November,” Tugby mentioned.
“We consider the easing of client demand has extra to do with seasonal developments than the influence of the cost-of-living disaster as days to promote remained steady.
“Nonetheless, sellers ought to concentrate on dangers round affordability, as our knowledge reveals that buyers are more and more taking a look at older autos to offset the rising value of automobiles and lowered disposable revenue.”
Auto Trader reported that the average value of a used car marketed on the market on its platform reached £17,801 final month, which was down on the earlier month in a development mentioned to be “in-line with seasonal developments” and up 4.7% year-on-year.
Yr-on-year comparisons of eBay Motors’ knowledge confirmed that costs throughout Motors.co.uk dipped simply 1% on November 2021, which was 16% up on 2020, when the typical was £15,165.
Month-on-month, automobile retailers’ days to promote elevated by simply at some point to 39 days throughout November, in comparison with 37 days within the earlier November.
Automotive supermarkets bought autos in a median of 29 days, in comparison with 32 days within the franchised sector and 48 days amongst independents.
Volkswagen’s inexpensive e-Up electrical car (EV) spent simply 10.5 days on seller forecourts, making it November’s fastest-selling used automobile.
The Ford Galaxy (11 days) and Vauxhall Mokka X (14 days) adopted in a high 1-0 quickest promoting automobiles rating which featured no fewer than 4 EVs.
This contrasts market commentary which means that the added expense of EVs – and rising energy costs – are placing used automobile consumers off making the change to a zero-emissions car.
Regardless of automobile retailers’ ongoing stocking complications in a sector that continues to battle new automobile provide points, eBay Motors mentioned that common inventory volumes had elevated by only one unit to 52 in November, however stay down 7% year-on-year.
Franchised and unbiased shares remained nearly unchanged at 72 and 37 models, whereas automobile supermarkets elevated by 12% from 352 to 393 models, though their shares have been down 22% YoY.
Diesel continues to fall as a proportion of all seller inventories, down 3% YoY to 40%, whereas electrical and hybrid doubled their mixed share from 3% to six%.