Growing EV Demand Gives Dealers Sales Opportunities

Independents should be stocking electric and hybrid cars and vans this year to capitalise on growing demand for these vehicles as their range increases, the national recharging infrastructure improves and cities begin to roll out Clean Air Zones putting a renewed focus on cutting emissions.

Auto Trader named the all-electric Nissan LEAF, the fastest selling used car in March this year, with 2014 models taking an average of 17 days to sell and retailing at £10,500. In London, the 2016 and 2015 variants of the hybrid Mitsubishi Outlander were second and fourth fastest to sell; 2018 Toyota C-HR electric hybrids were tenth in the South East, averaging 24 days to turn.

It says it is a significant development and traders need to get behind it. Karolina Edwards-Smajda, Auto Trader’s Director of Commercial Products, said:

“An all-electric vehicle making it to the very top of the UK’s fastest selling is really quite significant and reflects the trends we’re seeing elsewhere. Not only are there record rates of adoption of AFVs in both the new and used car market, but research for our latest Market Report showed that nearly three-quarters of car buyers are considering an EV for their next purchase. Mass adoption is a way off yet, but there is clearly a growing shift in perception which will offer huge opportunities for the industry.”

Although still small in overall volume compared to diesel and petrol registration of new AFVs have been surging ahead, up 16% in Q1 to take 6% of the market and market intelligence suggests the same is now starting to happen in the used sector.

Cap hpi has already identified some pure EVs which are appreciating as growing demand outstrips the still relatively small car park of used cars available and auction houses are reporting sales – and prices – ramping up.

EV popularity is building for buyers of used cars

Speaking after its analysis showed that vehicles such as a Vauxhall Ampera, the trail-blazing Nissan LEAF, the Peugeot Ion city car and other EVs can be run for a year and then sold for a profit, Chris Plumb, Black Book editor at cap hpi, said:

“New sales of electric vehicles continue to gain market share and their popularity is building for buyers of used cars. Additionally, many towns and cities offer incentives for drivers of electric vehicles such as free charging points and parking.”

One auction house, Shoreham Vehicle Auctions, backs up cap hpi’s advice saying it has seen demand strengthening since last summer.

Alex Wright, managing director of SVA, said:

“EV numbers are now getting to the point where the used car sector is starting to see higher volumes passing through auction and the entire used industry must be prepared for that. This is our future, and the remarketing industry needs to keep pace in providing the service levels for EV that customers have come to expect from petrol and diesel used cars.”

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