Used car sales accelerating
Auto Data has announced that used cars took a record average of just 23 days sell in February.
It’s five days faster than the same period last year and six days faster than pre-pandemic February 2019.
Whilst the broader retail market, including independent retailers, saw a slightly longer average at 25 days, it still marks the second fastest month on record. It’s also one day faster than the same period last year and five days faster than February 2019.
Richard Walker, director of insights, said: “The market entered 2023 with some real momentum behind it, and based on what we’re seeing, there’s no indication of it slowing anytime soon. The record speed of sale is being fuelled by the steady growth in year-on-year consumer demand, paired with the ongoing squeeze in used car supply. This positive imbalance of dynamics is not only helping cars to sell at record speeds but is also continuing to drive retail price growth, which together is maintaining a very healthy and profitable used car market.”
However, EVs were the slowest selling fuel type last month, taking an average of 45 days to leave forecourts. This is due to high supply levels.
Walker added: “EV demand remains buoyant but unlike its ICE counterparts, where supply is trickling through, the EV floodgates have been opened, resulting in a tsunami of used stock entering the market. Volumes of used ICE cars were down 20% last month year-on-year, but EVs were up over 260%. It’s this overbalance, which is slowing the speed of sale, and causing a rebalancing in retail prices.”
