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Dealers Missing Out On Motorhome Sales

Dealers in the profitable used motorhome market say there is plenty of demand but supply is not keeping pace and a shortage of stock is losing them vital business.

Earlier this year the signs seemed good for a strong market. New models were going up in price and that, coupled with a rise in the number of people planning a staycation in this country, set the scene for a good summer but sourcing vehicles has rapidly become a major headache for retailers looking to capitalise on the opportunity.

Glass’s says that the two most popular and sought after price points are what it calls the entry-level – £25,000 to £30,000 – and then the £30,000 to £40,000 bracket. Anything above this ceiling is a bit too high for the used sector as buyers can spend that on a brand new motorhome.

One-step forward and two steps back

In its latest market report Glass’s said:

“By all accounts, it feels like it is one step forward and two steps back for the used market. Going into 2019, the used market appeared to be stable. Sales and demand were buoyant due to the rising costs of new models, and a surge in first-time buyers wanting to ‘staycation’. However, the constant threat of low stock availability was lurking, and it seems to be responsible for almost grinding the market to a halt. The demand is still very much there, but sales are reportedly down for the majority of dealers. It has long been a fact that the pool of available used units is a small one, and after a positive few years, demand has completely outweighed the supply.”

Unfortunately, there does not seem to be much light on the horizon as the leisure market was particularly hard hit by the recession a decade ago when such vehicles were seen as a luxury and manufacturers slowed or even stopped their production lines. The knock-on effect of that is still being felt now because owners typically hold onto their motorhomes for much longer than they would a family car.

“The biggest worry is that there does not seem to be a solution; after all, manufacturers cannot make used motorcaravans. Unit production was not huge following the economic crash of ten years ago, and owners generally hold onto their motor caravans if it is up to eight years old.”

For information about how Click Dealer can help independent dealerships to increase efficiency and profitability, get in touch today via 01782 478220, marketing@clickdealer.co.uk or through our contact page.



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