BCA Used Car Market Report reveals an evolving landscape of the UK car market, as used car sales figures exceed £45 billion.
Where as new car sales are quite easy to track month-on-month, we have usually wait a little while for the used car sales figures to take shape upon the graphs – and it appears to have been worth the wait as we look at 2014!
According to the 25th edition of the Used Car Market Report, published by BCA late last year in association with the Centre for Automotive Management, University of Buckingham, the value of used car sales in 2014 reached £45.1 billion – a year on year increase of 5.6%.
The overall value of the UK new and used car markets jumped to £88.5 billion in 2014 – up from £79.4 billion in 2013, with used vehicles accounting for 51% of the total market value.
Over 7.2 million used cars were sold in 2014 as the market maintained a strong performance in the post recessionary period.
This 7.2 million used car sales alongside the 2.5 million new car sales reported by the SMMT resulted in a ratio of 2.9 used cars sold, to every 1 new car.
Delving into the used car sales figures stats, the report shows how the trend of used cars is starting to change. Average vehicle age rose to 7.8 years in 2014, meaning the average car is now one year older than it was a decade earlier. I don’t know about you, but it’s not uncommon now to see cars of around 10 years old still looking very new and modern given the anti-corrosion technologies and increased durability of vehicles. It’s quite rare to see rusted wheels arches like you used to get in the 80’s and 90’s!
Hatchbacks remained the most popular model among used car buyers, showing an increase of 7% year-on-year to a total used car market share of 51%.
Price at 41% remains the single biggest influence when choosing a particular used car, followed by mileage at 32%, and the make and model of the vehicle at 31%.
However, the importance of make and model rises the more is spent on the car, with 58% of motorists who spent £10,000 or more saying it was important. In contrast, just 15% of buyers spending less than a £1,000 were concerned about the make/model of the car they brought.
Consumer factors when choosing a used car in 2014-2015.
“The 25th edition of the BCA Used Car Market Report provides valuable perspective on this important part of the UK automotive industry”, explained Spencer Lock, Group Managing Director, BCA.
“Used car market values rose to record levels, as did the combined value of new and used cars sold. A record-breaking £88.5 billion was spent on used and new cars last year. The combined market churn of 9.7 million cars was one of the highest figures on record – only 2003 recorded a higher volume in recent years.”
“The shape of the used car market is likely to change as the new cars sold in the last 3 or more years start to feed into the sector in greater volumes.“
Thank you for reading this WAS Blog post on used car sales figures for 2014 – 2015. Are you a used car dealer looking for an alternative to your 3rd party warranty? Visit our website for details on our self-funded warranty!