Auto Trader is warning that delays to the easing of Lockdown rules will see a continued acceleration in used car prices. Basically, cars are shifting fast off the forecourt and they’re shifting for higher prices.
Auto Trader’s director of data and insight, Richard Walker, is being reported in AM as saying: “After eight weeks of acceleration, we’ve seen another record set for price growth rates.
“And with consumer demand set to continue, fuelled by a positive sentiment shift towards car ownership, more disposable income, an aversion to public transport – this coupled with the ongoing supply challenges – we don’t see any reason for this growth to ease anytime soon.
“Despite the inflation in trade prices, our data highlights the margins available. Prices are high, days to turn are low, and demand is incredibly strong; I highly recommend retailers adopt a retail back approach to their pricing and sourcing strategies and make the most of this opportunity.
“Retailers should also assess the pricing across their whole forecourt and ensure older stock reflects the positive movement of the market too, otherwise they risk leaving margin opportunities on the table.”