NEWS

Market days supply sees break from seasonal trend

Written by Autorola in category 
December 6, 2018

Heading into the final quarter of 2018 and dealers are usually looking to increase their used stock levels to meet the sales rush in January. However, the 1 September introduction of the Worldwide Harmonised Light Vehicles Test Procedure (WLTP) saw dealers with a glut of zero miles cars in stock that they have been concentrating on selling. The result is a break from the normal seasonal trend, with market days supply (MDS) falling in most countries.

Italy turning stock faster 
For example, the Italian market has gone from 105 days supply in August to just 66 days by the end of October meaning it is now turning its used car stock at a faster rate than Germany. 

By contrast the Spanish market has failed to see levels fall below 70 days since February 2018.

Diesel impacts Spanish stock levels
Drilling deeper into Indicata’s data by fuel type and you can see that the challenge in Spain can be specifically linked to diesel stock levels. Used car buyers are increasingly looking for petrol cars over diesel in many segments. But MDS is just part of the picture and you need to also consider sales trends to see the full supply and demand picture in each market.

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