Used car sales boost for expensive luxury sports cars depsite uneasy financial period

0

USED CAR sales data for May shockingly revealed buyers have purchased sports cars and luxury vehicles as a summer treat for when lockdown restrictions were eased.

Used car sales analysis from INDICATA has revealed used luxury and sports cars were the “most prominent” second hand vehicles sold in May. Similar trends have been seen in countries such as Germany and Austria as motorists splash the money saved from cancelled holidays and reduced running costs. 

Data from INDICATA revealed the sports car sector was the last affected compared to the previous year with sales down just 30 percent. 

The luxury car sector was also down just 31 percent, almost half of the damage caused in other areas.

The sudden rise in interest for the market came as new driving rules were introduced at the start of May which allowed motorists to travel anywhere for exercise irrespective of distance. 

MPV and Mini cars were the most affected according to the data with sales down a massive 63 percent compared to 2019. 

MPV and Mini cars were the most affected according to the data with sales down a massive 63 percent compared to 2019. 

Small models and SUV cars were also dramatically down in May with sales falling by 62 percent and 60 percent. 

INDICATA’s national business development managers, Neil Gilligan revealed expensive sports cars were currently popular on the market. 

However, he then fired a warning that cheaper models would soon become the most sought after vehicles. 

Mr Gilligan said: “Our insights clearly show that sales in the luxury and sports car sectors were most prominent across the used cars sold in May. 

“We are sure many drivers have adopted the life’s too short approach and invested their money in the used car of their dreams.

“However, as the market settles down in June and July we expect to see consumers buying more smaller petrol family hatchbacks and SUVs. 

“The sub-£10,000 sector is also expected to be where a majority of the used car sales will be for the rest of 2020.”

The supercar splash could also be down to the UK not following European trends on diesel car purchases. 

Demand for diesel vehicles has rebakiend stable this year while consumers across the rest of Europe switch to other fuel types. 

Petrol and hybrid cars are popular choices elsewhere with nations such as Germany already 17 percent down year on year on diesel sales. 

Mr Gilligan warned UK drivers felt diesel cars offered better value for money than other fuel types which added to its continued popularity in the market. 

He said: “Whether this is a short-term blip or a long term move away from diesel we will have to wait and see, but currently UK consumers feel diesels offer value for money motoring.”

Older vehicles between six and 12 years were popular during May but interest for three year old cars was slow. 

This is because car dealerships did not open until early June but interest in this market is now predicted to soar. 

Tom Leathes, co-founder and CEO of Motorway.co.uk has revealed cheaper cars have been “highly sought after” since lockdown restrictions were eased. 

He revealed average week on week sales growth for cars priced below £5,000 have soared by a massive 101.79 percent. 

Week on week bid growth for cars priced under £5,000 ghas also dramatically risen by 250 percent. 

He revealed the most popular models included cars from smaller car brands such as Smart cars and Mini vehicles. 

However, Motorway.co.uk still revealed a 71 percent rise in demand for cars priced above £30,000 showing there was still a demand in expensive cars. 

The “highly resilient” market could be sent for a dramatic boom with new data from eBay Motors revealing almost one in five prospective used car buyers would purchase a model immediately after restrictions were eased.

Share.

About Author

Leave A Reply