1) Supply and demand
Due to current supply and demand imbalances, ‘days in stock’ for dealers’ retail stock is currently as low 22 days, compared to a benchmark of 45 days. Dealers are considering different stock profiles as a result – retailing much older and higher mileage stock. Dealer Auction has seen huge demand, with vehicles taking just 2.8 days to sell on average.
2) The need for speed
With this unprecedented demand for quality stock, dealers are harnessing the power of digital to stay ahead. Dealer Auction has sent out over 8.6 million alerts so far this year, matching the right stock to the right buyers. With buyers being notified the instant a vehicle they’re looking for hits the platform, it means they will no longer miss out on bidding on the vehicle they want.
3) Data is king
Dealer Auction provides the data insights dealers need to be able to buy and sell vehicles faster and more profitably. For example, by using Auto Trader’s Retail Rating, buyers can understand what vehicles are selling well in their area. For sellers, Dealer Auction’s data insights helps dealers understand what vehicles to sell and even helps to set pricing.
4) Prices on the rise
A big trend this year has been the rise in used car prices due to a supply and demand imbalance. Dealer Auction’s average sold price, as reported in August, increased by 15.5% to £6,700, compared to the average across the first six months of the year which is just under the 16.6%. According to a Cox Automotive survey, 96% of dealers have changed their stock profile strategy because of current market conditions.
5) Movers and shakers
So far this year, Ford has been the best-selling brand on the Dealer Auction platform, followed closely by Vauxhall, and Volkswagen a little further back in third. The Ford Fiesta tops the best-selling models chart, followed by the Ford Focus, and Vauxhall Corsa. The list is dominated by smaller cars, which supports the recent consumer trend of shunning public transport and car sharing, due to fears over the pandemic.