Not used or new, just my next car
By Kyle Lindsay
Tuesday, August 4, 2015 - 12:30
Evidence from Auto Trader, the UK’s largest digital automotive marketplace for buying and selling new and used vehicles, suggests that the lines between buying a new car and buying a used car have become increasingly blurred. Today, consumers are far more likely to consider both, rather than starting from the premise that they want either one or the other.
Covering the period April to June 2015, the company’s quarterly market tracker traced the views of a representative sample of more than 1,000 motorists. 72% of those who’d recently bought a used car said they had also considered new, while 75% of those who’d recently bought new, said they’d considered used. That compares with 43% and 61% respectively for the same period a year earlier.
“The lines we once drew around buying a new car or used car have become less relevant in today’s marketplace,” said Nick King, Auto Trader’s Insight Director. “That may have something to do with the changing face of ownership in the new car market. The new car market is increasingly driven by PCP deals where monthly payments, rather than outright price is key. It would certainly explain why there has been such a dramatic increase in those considering new cars, before buying a used model.”
Once again, the research revealed that not getting the asking price was the biggest obstacle for consumers in trying to sell their cars. 42% cited this as an issue, compared with 27% for the same period in 2014. “This is probably down to changes in the UK car parc,” added King. “With more new cars coming to market, the used sector has seen a significant upturn in stock. With higher supply comes lower demand, and this might explain why more buyers don’t feel able to sell at a price with which they are happy.”