1) New car forecast for 2021
Many factors have come together this year to impact global new car production including rising material prices, semiconductor shortages, supply chain issues, and the alternative fuels surge. With these likely to continue impacting the UK market in the short to medium-term, the Insight Report forecast sees 2021 end on 1.6m registrations, which is lower than the SMMT prediction and behind what we predicted in last year’s report.
2) Used car forecast for 2021
Problems with global new car production have had knock-on effects in the used car market, with demand and prices for used cars reaching record highs as dealers looked to fill empty forecourt spaces with stock outside of their usual profile. With a strong start to the year and with new car production unlikely to return to normality soon, the Insight Report forecast sees the UK end on 7.14m used car transactions in 2021 – above our 2020 forecast.
3) UK charging points
With ambitious targets to increase EV adoption globally, significant investment will be required in charging infrastructure across the world. From a UK perspective, the latest Zap-Map statistics show there are now more than 45,000 charging points across 16,500 locations in the UK (albeit with 1/3 being found in Greater London and just 10% in the North East and North West). It is anticipated that between 280,000 to 480,000 public charge points are needed by 2030.
4) Rise in recruitment
Recent surveys have found that increased recruitment is on the minds of many dealers who are looking to recruit a diverse skillset to respond to the trends facing our sector, from electrification to the growing involvement of technology. The NFDA found that more than three quarters (78%) of dealers planned to recruit sales executives over the following three months, and the same number were seeking technicians.
5) Changing transport habits
More consumers are choosing to use vehicles as and when they need them as opposed to owning them outright. However, while consumers were increasingly accepting of alternative shared mobility solutions prior to COVID-19, there has been a shift back post-pandemic. Almost half (46%) of consumers surveyed changed their habits during the pandemic, including halting their use of public transport and ride-hailing services, preferring to drive their own vehicle.
Insight Report 2021
This year’s Insight Report once again takes a comprehensive and informed look at some of the biggest trends and topics influencing the automotive industry today. Click here to read the report in full.