Alternatively fuelled vehicles see profit margins soar
Used alternatively fuelled vehicles saw an average 31.4% rise in gross margins in November, according to data from Dealer Auction’s EV Performance Review.
It reported that average gross margins were up more than £800, rising from £2,819 to £3,664.
Meanwhile, the average age and mileage of sold AFVs has decreased. The data found that the average age of sold models dropped by 3.4% to 3.4 years, while mileage was down by 0.4% to 32,612 miles.
Electric vehicles dominated sales, claiming seven of the top 10 spots for average gross margin and six of the top 10 for volume sold.
Dealer Auction director Kieran TeeBoon said: “The £800-plus rise in average retail margins is significant. Consumer awareness of EVs is obviously crucial to making a profit, but that’s only part of the picture. Profit also comes from acquiring the right stock quickly to meet demand.”
Across all fuel types, Dealer Auction revealed that average prices on its trade-to-trade platform were up by seven per cent month-on-month.
TeeBoon added:
“November marked a pivotal moment in the EV Performance Review, as electric vehicles surged ahead in key performance metrics. While hybrids have long reigned supreme, the latest data could signal a turning tide. As we head towards 2025, it’s clear that electrification is no longer a future ambition but fast becoming a present reality.”
