Irish Motoring Trends
Carzone.ie recently shared their “2016 In Review” motoring report. The report focused on trends in the Used Car market for the year. Data showed that the Used Car market is “buoyant, with transactions comfortably exceeding one million – against 976,025 for the same period in 2015.” With such a positive increase it’s important to ask – is your dealership getting it’s share?
1. Newer Car Searches: According to the report, motorists are now searching for newer models, more than ever before. 2016 is the most searched for year, followed closely by 2012 registrations. Could this trend be affecting sales of 171 and 172’s? Is the price walk up to a 2016 distorted to a 2017?
2. Increased Budgets:27% of survey respondents indicated that they would be willing to spend between €20,000 and €40,000 on their next vehicle, an increase on the same period in 2015.
3. Mileage Factors: Almost 24% of those surveyed purchased cars with over 100,000 km on the clock while 26% purchased cars with less than 1,000 km. Does this mean that pre-reg demos are affecting new car sales?
4. Car Type Popularity: The SUV’s popularity continues to grow year on year. Saloons saw a decrease in popularity compared to 2015 but was still the most popular type by far. Consider these factors when buying in stock or valuing trade ins.
5. Payment Options: The majority of those surveyed use their savings to fund their purchase while 21% use PCP. There still appears to be confusion around PCP with 49% incorrect when asked to elaborate on the term PCP. Does your sales team have enough knowledge to assist customers in understanding PCP?
Learning Outcomes & Key Actions
Overall the Used Car market appears to be quite positive however this could be at the detriment of 171 and 172 sales. While it is too early to tell if these trends are affecting New Car sales, being aware of them can help boost sales of your Used Car stock.
Take the time to put a plan in place for campaigns targeting this segment of customers. Be sure to tap into the budget and car type trends when putting together your campaigns, and of course explain PCP options in a user friendly manner.
Unsure of where to start? We can help with your Used Car Campaigns. Call us now on 045 409285 for more information.