A brand new Highlight digital report for automobile sellers, centered on developments and finest follow within the used automobile market, has simply been launched by AM.

The Spotlight on Used Car Retailing is free to read here, and the 27-page situation consists of options on used automobile market developments, car sourcing recommendation, enhancing inventory flip and the most popular used vehicles to inventory.

It recognises the shift within the used automobile market to extra common dynamics after the excessive margins and restricted provide traits that emerged within the aftermath of the 2020 and 2021 pandemic.

Contained in the report are insights and experience from the likes of Mike Jones, Dylan Setterfield of Cap HPI, Philip Nothard of Cox Automotive, Richard Walker of Auto Dealer, NAMA’s Paul Hill, and extra.

Click here to read it.

The editor’s letter

With all of the Authorities deal with driving UK motorists in direction of electrical automobiles, the common man or lady (and Member of Parliament) on the street is probably going oblivious to the significance of a wholesome used automobile market in serving to the nation obtain these long run ambitions. It’s used automobile gross sales that greases the wheels of motor retail and lets all of it occur.

It’s reasonably priced and accessible used vehicles that allow the vast majority of the inhabitants to steadily improve right into a extra fashionable, safer, lesser-emitting automobile than they drove beforehand. In spite of everything, for each single new automobile offered to a personal retail purchaser final 12 months, there have been seven used automobile transactions registered by the Driver and Car Licensing Company. 

A dealership’s wholesome backside line is reliant on success in used automobile gross sales. The complexity of used automobile retailing might be simply underestimated, as we’ve seen within the failed makes an attempt by Virgin, Tesco, Cazoo and others to rival the skilled sellers we have now within the UK. 

The necessity to carry on prime of inventory sourcing, preparation, advertising, worth changes, velocity of sale, retained margin, level of sale F&I, buyer expertise, and extra, implies that sellers should all the time have one eye on the fundamentals and the opposite on the alternatives across the nook. Let any facet slip and that margin might dwindle.

On this dynamic, aggressive sector there’s all the time one thing new to be taught or trial.