Monday, August 18, 2008
Used car market continues to suffer
Small car sector bucks downward price trend
Values of larger, less fuel-efficient cars have continued to fall as drivers opt for smaller vehicles with lower running costs.
According to EurotaxGlass's, the value of vehicles subject to higher road tax and fuel costs have fallen by as much as 8 per cent in a single month this summer.
“The current economic climate has accelerated a trend of downsizing in all but the smallest used car segments,” said Adrian Rushmore, managing editor at EurotaxGlass's.
“Dealers have reported that significant numbers of customers feel coerced into a change of car because their current mode of transport had become a financial drain on their incomes.
“Others were opting for a change because they feared that the major costs of fuel and VED would become a greater financial burden in the short to medium term.”
Rushmore said the desire to downsize has come as a mixed blessing for dealers.
“With demand across the used car market as a whole continuing to ease back, it is some small consolation to retailers that the current economic turmoil is at least driving sales of smaller models,” he said.
DATED: 18.08.08
FEED: MT
Values of larger, less fuel-efficient cars have continued to fall as drivers opt for smaller vehicles with lower running costs.
According to EurotaxGlass's, the value of vehicles subject to higher road tax and fuel costs have fallen by as much as 8 per cent in a single month this summer.
“The current economic climate has accelerated a trend of downsizing in all but the smallest used car segments,” said Adrian Rushmore, managing editor at EurotaxGlass's.
“Dealers have reported that significant numbers of customers feel coerced into a change of car because their current mode of transport had become a financial drain on their incomes.
“Others were opting for a change because they feared that the major costs of fuel and VED would become a greater financial burden in the short to medium term.”
Rushmore said the desire to downsize has come as a mixed blessing for dealers.
“With demand across the used car market as a whole continuing to ease back, it is some small consolation to retailers that the current economic turmoil is at least driving sales of smaller models,” he said.
DATED: 18.08.08
FEED: MT
