LCV values rise as available stock shortens
Average age fell slightly to just under 58 months while average mileage increased to nearly 79,000. Price performance was strong across the board, with average values reaching record levels in the fleet/lease sector. Performance against CAP average improved over the month by a point to 101.8%.
Year-on-year, October 2012 was £146 (3.4%) ahead of the same month in 2011, with both average age and average mileage increasing over the period.
Duncan Ward BCA’s general manager – Commercial Vehicles commented: ‘October has been a relatively strong month for LCV sales and average values improved compared to September. Real and ‘virtual’ footfall at LCV sales has increased significantly and the on-going shortage of retail quality stock is keeping values very firm indeed.’
‘Any vehicle in clean condition will attract the buyers’ attention, including older, higher mileage vehicles if they are well presented. As a direct consequence, values continue to rise for dealer P/X stock, where average CAP performance is actually higher than the corporate sector. As in previous months, any late year, low mileage LCVs will create a wave of interest. Buyers will compete strongly for any vehicle with an unusual specification or modification such as crew cab vans, cherry pickers, tippers and dropsides and we are now seeing the upswing in demand for LWB panel vans, Lutons and fridge vans ahead of the Christmas period.
‘Much of the seasonal volume uplift from corporate fleet sources has now been and gone and trade buyers have to look further afield to secure the stock they need. As a result, BCA’s Live Online and Bid Now/Buy Now internet platforms are seeing plenty of activity,’ he added.
Monthly values in the fleet & lease LCV sector improved by £199 (3.2%) to £5,201 in October, the highest average monthly value ever recorded for corporate LCV stock. Performance against CAP increased by one and half points to 101.5%. Retained value against Manufacturer Recommended Price also improved by a point to 32.6%, with average age and mileage increasing slightly. October 2012 was £90 (1.7%) ahead of the same month last year – with average age and mileage rising.
October part-exchange values remained just below the record value established in September, falling by just £4 over the month to £2,970. CAP comparisons improved marginally to 102.7% and continue to outperform the fleet & lease sector. Year-on-year values remain well ahead by £173 or 6.2%, with age and mileage rising in 2012.
Nearly-new values improved for the second month running to reach £13,581, the highest value recorded since January this year. As always, this has to be taken in the context of the very low volumes reaching the market and the model mix factor. CAP performance fell slightly to 102.5%.