WHY PART EXCHANGE COULD BE THE WAY TO GET THE BEST DEAL WHEN BUYING A USED CAR
- Car buyers should look to part-exchange to secure the best deals, according to surveyed CarGurus dealers
- Dealers looking to increase the number of part-exchanges, with 57% of used car sales being part-exchanged last year, according to Society of Motor Manufacturers and Traders data for Q4 2018*
- CarGurus inaugural 'One Voice' report reveals Brexit and diesel uncertainty are among the reasons for dealer stock struggles
London, UK, 27th February 2018 - Car buyers should look to part-exchange their outgoing vehicles when buying a new or used model to secure the best deal, according to surveyed CarGurus dealers.
More than 4.5 million (57%)* British used car buyers part-exchanged their vehicle last year and the trend looks set to continue in 2019 as dealers struggle to maintain their stock levels with good quality cars.
The stock issues were recorded in the inaugural CarGurus 'One Voice' report into the UK used car marketplace, constructed using the views of 400 dealers. The report highlights that the ongoing decline in new car sales** - attributed to factors including Brexit and the uncertainty around diesel - has placed increased focus on the used car market.
With this, demand for stock has gone up, and as a result some dealers said they would be prioritising customers with a part-exchange vehicle. Shoppers can use CarGurus' unique search tools to find a highly rated dealer, as reviewed by other car buyers, as this remains key to getting a great deal when shopping for a vehicle.
Chris Knapman, editor at CarGurus, said: "In the past it tended to be accepted that cash buyers were in a stronger position when bargaining over a vehicle purchase. However, with dealers reporting they are finding it increasingly challenging to secure enough high-quality stock, they are often willing to offer a better deal on a vehicle purchase where a part-exchange is present than you'd be able to get by using other routes. Our advice is to always discuss with the dealer all the options available to you when buying a vehicle to ensure that you secure yourself the best possible deal."
Lesley Chapman, Operations Director of Premier Car Supermarket said: "Sourcing vehicle stock is an ever-increasing challenge, and we expect this to continue in the coming years against a backdrop of external influences like Brexit. As such, we already prioritise customers who have a good quality vehicle to part-exchange, because we can secure a sale and at the same time have a vehicle to replace the stock. Not only does this save us time, but it ensures that we can work with the customer to get them the best deal possible on their new purchase."
Kim Chodha, owner of Berkshire-based dealer Sascron, said: "Market uncertainties are dominating future planning for used car dealers and we are looking at ways to ensure we have a consistent amount of stock across the range of models that our customers demand. To this end, part-exchanging can be the ideal solution for many dealers as it allows us to secure a sale while maintaining our stock levels with high quality vehicles available for sale."
Created by TripAdvisor co-founder Langley Steinert, CarGurus combines dealer reviews with comprehensive car valuation analytics to bring trust and transparency to the automotive marketplace, allowing buyers to quickly and easily find great deals from top-rated dealers.
CarGurus has the fastest growing audience among large automotive shopping sites in the UK*.
Visit CarGurus at www.cargurus.co.uk.
- 7,945,040 UK used car sales recorded in the UK in 2018, according to the Society of Motor Manufacturers and Traders (SMMT). https://www.smmt.co.uk/2019/02/used-car-sales-q4-2018/
** The UK new car market declined by 6.8% in 2018, with annual registrations falling for a second year to 2,367,147 units, according to the SMMT. https://www.smmt.co.uk/2019/01/fall-in-new-car-market-wake-up-call-to-policy-makers-as-environmental-goals-at-risk/
*source: Comscore Media Metrix® Multi-Platform, Total Audience, Percent change in average unique monthly visitors from Q3 2017 to Q3 2018, U.K. (Competitive set: Cargurus.co.uk, Motors.co.uk, AutorTrader.co.uk, Pistonheads.com, Gumtree.com)