I agree, the comments and conversations this week - are that its in the main 'okay' - we are monitoring the overall market closely, with retail and consumer demand, relative to stock supplies and auction activities. See recent survey results below: Other noteworthy changes: A rise in June in those reporting an increase in footfall of 15% from 9% in May. However half are experiencing a decline – with the remaining third seeing no change. A notable change from May is that 30% are enjoying an increase in online activity, up from 18% in May. The remainder are either not seeing any change or have felt a slight slowdown.The pressure on retained margins looks to be continuing throughout June as 58% of those responding indicated they were being squeezed – an increase from 41% in May. Sentiment suggests that the increased competitiveness caused from greater volumes of available stock and costs are putting pressure on profitability. Interestingly those reporting an increase in stock availability has eased slightly from 52% to 38% in June; whereas a number felt that it had actually deteriorated over the month - from 9% to 20%. However just under half felt that there was little or no change from last month. As in May, the quality of stock remains reasonably stable, with the majority of 63% reporting no change from last month. However those experiencing a decline in quality increased by 4%.This month there is little to separate those who feel that the current trade values are reflective of the market, with 48% reporting they are and 50% feeling they are too high. What’s certain is that only 3% felt they were too low. This question is very subjective, as it is very much dependent on where they are sourcing stock and what sector into the market they are operating within. As we approach the half year stage over half the dealers feel that retail and consumer demand has eased slightly from last month. However those reporting an increase remains in double figures. Reviewing where dealers source their used car stock is without doubt very diverse, dependent on the business strategy and sector within the industry they operate in. From those surveyed, 42% of their stock was sourced via natural part-exchanges. However the remainder was split across various sources. Auctions accounted for only 21%; whereas 15% of stock purchased is now sourced via Direct Purchase or Cash for Cars processes and the other stock is from areas such as Trade-to-Trade, Manufacturer Direct sales or Direct ex-fleet. This is a question which would be useful to review again as the year progresses to observe whether this ratio changes over time.
All, I'm also just circulating this month By Dealers, For Dealers Survey on the market and again, early responses are certainly very diverse. I welcome anyone to join in and be involved and if you want early sight of the results, please drop me an email and I'll add you to the circulation. Link below, it only takes a minute - very short but very current and most importantly, it's your survey! https://www.surveymonkey.com/r/HJYV9BR