INDICATA has published its latest Market Watch report which tracks insights on how EVs are performing in the used market in 13 European countries
But the most interesting trend currently is the balance of Market Days’ Supply (MDS), which represents available used car supply divided by its current sales rate.
Used diesels remain the fastest-selling powertrain, with an MDS of 59 days closely followed by petrols at 62 days. Hybrids are a little way behind at 81 days with EVs trailing at 110 days.
Used EVs are gaining traction
There is no doubt that used EVs are gaining sales traction now that prices have fallen as their MDS fell by 16 days in May alone, but the big challenge is the speed at which fresh stock is coming into the market.
EV sales are not keeping pace with stock levels, which is causing challenges for vendors in some countries as they try to optimise stock turn and sale prices. The one exception to the rule is Tesla with both its Model 3 and Model Y.
According to our latest INDICATA report the Tesla Model Y is Europe’s fastest-selling used car, even when compared to all ICE cars while the Tesla Model 3 remains Europe’s top-selling BEV.
Used Teslas have become more affordable
Tesla made the unpopular decision to drop new car prices, but it seems to have had the desired effect in the used market as the brand’s products are selling strongly as they have become more affordable.
This comes at a time when other mainstream brands have started to launch more used EVs into the market. This includes a raft of Chinese brands that are starting to arrive in Europe with a range of highly specified, high value electric cars.
As used EV prices reach their natural level over the coming years it will be interesting to see where OEMs set their own price levels to keep growing new EV car sales to meet their Clean Air For Europe (CAFE) emissions targets and to avoid costly EU fines.
Relying on a strong used market
The success of new EV sales relies on a strong used market. It will remain a balancing act to keep new EV sales growing whilst supporting the used market to cope with the growing number of EVs arriving at auction.
Rest assured our INDICATA Market Watch used car insights report will continue to track used demand, stock turn, prices, and sales trends for all fuel types on a monthly basis. Read the full INDICATA Market Watch report here: www.indicata.com
For a free copy of the latest INDICATA Market Watch report go to www.indicata.com