A buoyant used vehicle sector in September and forecasts for more of the same through to the end of the year has led to an uplift in buyer activity according to the latest data analysis by Manheim.
Three-fifths of dealers responding to Manheim and Cox Automotive’s state of the market survey in September say stock availability is worse than in the same period last year. Forty percent report a reduction in days in stock, indicating strong retail demand; a trend supported by data compiled by Motors.co.uk which shows a year on year reduction in days to sell of three days.
Manheim reports a 10% increase in conversion rates for vehicles sold under the hammer during September, and a similar increase in the conversion of provisional bids. Several sales have recorded a 100% conversion rate, with Manheim Washington achieving five such sales in a row.
Auction halls across the network have reported an increase in footfall, while engagement with sale catalogues and pre-sale marketing content is also up, best illustrated by a 50% increase in the number of complete views of pre-sale promotions on Manheim’s Facebook channel.
Manheim’s Philip Nothard comments: “The scramble for used vehicles this September has been widely discussed but these figures add to the story and confirm dealers are taking direct action to combat supply challenges.
“Activity in the lanes through September was in stark contrast to that experienced over the summer months and indicates a strong return to form for the wholesale sector. With the most in-demand stock in short supply, it’s clear dealers are taking a thorough and hands-on approach to inventory acquisition, arriving at auction halls well prepared and in decisive moods.
“The net result of this is a very robust used vehicle market, with wholesale prices strengthening and demand for good quality stock with the right specification remaining supercharged. With supply continuing to fall and demand rising, we’re braced for a very busy end to the year.â€
