5 Star Reputation – Digital Experts for Independent Dealers
Demand for second-hand vans is driving an exceptionally strong market which is forecast to be busier than 2019’s and it is Euro 5 units with less than 100,000 miles finding favour among independent retailers.

Manheim has put more flesh on its recent report which said LCV buying prices last month were up by around £350 on December with four out of five selling first time, and given a more precise analysis of what is happening in its auction halls.

It says there is a big difference between Euro 6 and Euro 5 vans and higher, six-figure mileages are having a major impact but all the signals point to growing demand from dealers chasing decent stock for a quick turnaround.

In line with seasonal de-fleet and replacement programmes, Manheim saw a January increase in daily rental and flexi-rent units enter its auction lanes, many being Euro 6. The average age profile was 24 months/33,000 miles and selling for £11,675. More than half (56%) sold to online buyers.

However, the strongest sales performances in terms of CAP guide prices was Euro 5, averaging 102% of the guide. Typically these were 46 months/74,750 miles and selling at £6,540. In contrast to the Euro 6 vans, Euro 5 stock was more likely to be bought by someone physically at the same with 58% going to an on-site rather than online buyer.

Refurbishment and repair costs continue to rise

Matthew Davock, director of commercial vehicles at Manheim, said:

“We are seeing a three-tier market emerging in the van sector and this is likely to set the tone for the rest of 2020. The first tier is Euro 6. De-fleet volumes will continue to steadily grow, with good quality stock and Clean Air Zone-compliant engines in strong demand. Euro 6 performs equally well in both digital and physical remarketing channels. The second tier, sub 100,000 mile pre-Euro 6 vans, are still in high demand and enjoying good performance against guide prices. However, the third tier, pre-Euro 6 vans with more than 100,000 miles, are proving more of a challenge to secure a buyer. Analysis shows, if reserved without market scrutiny, only 40% sell first time.”

He added:

“We’ve seen from the rostrum how the buyers’ appetite has changed throughout the past 12 months. Refurbishment and repair costs continue to rise and, along with the challenges of profit erosion, the number of buyers willing to take a risk on a higher mileage vehicle is certainly on the decline. In my opinion, it is mileage rather than damage which is having the biggest impact on appetite and performance.”


If you’d like to find out more about how Click Dealer can help van dealerships, then please get in touch with us on 01782 478 220 or by email using marketing@clickdealer.co.uk


Would you like to speak to one of our advisers over the phone? Just submit your details and we’ll be in touch shortly. You can also email us if you would prefer.

Contact PersonMessage Us on WhatsApp

Get in Touch

I would like to discuss: