LCV Marketplace

As the summer holiday season drew to a close September got off to the usual slow start that we have historically come to expect in the used LCV wholesale market. According to the data we receive from all the main auction centres across the UK, during the first week sales were down by 5% when compared with the average weekly sales for August, whilst auction entries were up by 11.3%. Only around 70% of the vehicles presented for sale actually sold and on average they were making around 2% less than the CAP Average guide price. Whilst the auctions we attended were reasonably busy, many familiar faces seemed to be missing and the Internet was uncharacteristically quiet. Things picked up considerably by the second week and at most of the sales we attended there was a definite buzz in the air. Attendance levels were much higher and there was a healthier mix of end users and professional buyers competing against a torrent of stealthy internet buyers for the best lots. With auction sale catalogues looking decidedly thinner and comparatively low entries from some of the larger vendors it soon became apparent that limited stock was the main driving force behind this resurgence. According to our research auction entries were down by around 20% in September when compared to August and, whilst the average age remained the same at 62 months, the average recorded mileage decreased from 84,131 to 82,156. From our own independent vehicle inspections the average repair cost for body panel damage on vehicles presented for sale decreased from £455 to £360 over the month. However, it was noticeable that a larger proportion of vehicles were exhibiting body and paint damage. Looking at the LCV sectors, Car Derived, Light and Medium vans under-performed significantly but stock was severely limited and many examples were in poor condition.  On the other hand large vans in the 2.5t to 3.5t GVW range fared much better and many seemed to be selling around the guide price irrespective of condition. This is a strong indication that there are insufficient numbers in the used market to meet the current level of retail demand. Similarly, Minibuses appeared to be back in favour with strong bidding for both 15 and 17 seat models.  Last month we said that so far this year, we haven’t really been able to detect the traditional seasonal buying patterns that affect market prices. No better example of this can be found than in the 4x4 Pick-up Sector. There were plenty of examples of both Workhorse and SUV Lifestyle models selling well above guide prices sectors raising the average sales performance by around 3% at time when demand is normally flat. With guide values falling month on month since March, apart from last month when there were a few marginal increases on some models, it seems that market prices have now reached a level that’s indicative of their true worth and offer savvy dealers with a profit opportunity not to be missed. 

The top 10 models in the sector tables below are intended to give you a clearer view of what’s driving the market. It should be noted that that the Sector Share is based on actual sales and not the availability of these models in the marketplace. The %CAP performance values are also based on actual sales. 

Since our guide values reflect the market prices of basic vans in plain white as they appear in the vehicle manufacturer’s price lists, some of guide price movements you might see in this edition may not correlate directly with the sales performances shown in the tables which include vehicles in all colours and specifications. 

In some of these tables you may also notice the same model description appearing more than once, however, the CAP Identity numbers will always be unique. Generally the lower CAP Identity numbers signify older models and higher ones are newer models; further details can be found by looking up the model/CAP Id number in the prices section of the guide.