The report shows that during May the average values of used LCV’s at auction across the board fell from £4,497 to £4,322, equivalent to a -4% decrease between April and May. With mileage and age also having risen over the month, it is testament to the underlying strength of the marketplace that demand held up as well as it did.
Despite volumes, age and mileage having all increased sharply over the past 12 months, conversion rates held steady at 74%, the same as this time last year. Days in stock fell and prices slipped by less than 8%.
The results shows a healthy increase of 39% and 25% in the numbers of 2-4 & 4-6 year-old LCVs coming under the hammer in May. This placed a lot of pressure on the market’s ability to withstand such a surge. Fortunately, the trade buyer’s appetite for attractive used stock was sufficient to absorb the vast majority.
There was price slippage at all years, but in view of the hefty volume increases NAFA says they were far less pronounced than many would have feared.
Alex Wright, chairman of NAMA Commercial Vehicle Group, commented: ‘It is encouraging to see such a healthy demand for younger vehicles. The 9% rise in the year on year difference for all ages is a welcoming leap and we are delighted to see the market has really lapped it up this month and that prices are holding up well.
‘With summer now upon us, the LCV marketplace is likely to slow down as the holiday season takes buyers away from the day job over the next few weeks. However, barring any unforeseen hiccups on the wider economic front that dampens demand for LCVs, it is to be hoped that autumn will deliver a strong performance across the auction scene, ensuring that 2013 closes strongly.’