Introduction from CEO Peter Grøftehauge
While the European used car market has suffered from trading challenges during the Covid-19 pandemic lockdown the market bounced back in June and July with most countries seeing record sales and demand.
That’s great news to see the markets come back to strength so quickly but now our INDICATA used car insights reveal that the European used car market could be short of 500,000 used cars as dealers do not replace used cars as fast as they have sold them.
Shift towards greener cars
The shift towards buying greener cars continues with consumers walking away from older diesel cars. Electric and hybrid used car sales were up year-on-year and overall consumers seem keen to go green.
This is the seventh INDICATA Market Watch Insights report which we have published, and the response has been very positive. Customers are finding INDICATA invaluable in this current used car climate helping them understand in real time what used cars are selling for in their region to help price and sell them profitably.
In this current climate it may mean increasing prices of stock on dealer forecourts. We are starting to see price rises in some markets, but the majority of dealers are still not making the most of these extraordinary market conditions.
INDICATA also helps dealers determine the fastest selling used cars in their region to help them decide what stock to buy at auction. System demonstrations are available across 13 countries, so we urge dealers and asset owners to try it out for themselves to see how it helps transform used car businesses.
Dealers are being cautious
There is definitely restricted stock in many markets, but dealers are being cautious about the volumes of used stock they are buying in the current market.
Record used car demand saw our MarketPlace business unit record its best ever months in the company’s history. Our sales were up by over 30% and as consumer demand changed following the pandemic, we have seen a renewed growth in export as dealers and fleets look for new markets to sell those cars out of fashion and import cars as dealers search for new stock.
We are still in the unique position of our online used vehicle auction platform driving Europe’s used car remarketing industry. It continues to help vendors who want to sell and buyers who want to buy used vehicles with multiple online auctions held daily across more than 30 countries.
Trade in App film launched
Since Autorola Solutions announced its new Trade In App last month, it has received a great reaction from the motor trade. We have now released a film of the App to show you in more detail how it works. Please take a few minutes to watch the film and you may recognise a few Autorola Group colleagues who are now film stars.
We believe the used car markets across Europe will continue to be very busy across the summer and our MarketPlace, INDICATA and Solutions teams look forward to helping and supporting you in whatever way they can.
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