Used electric cars tumble down list of dealer concerns
New research has revealed that dealership concerns around used electric cars has fallen to its lowest level.
According to the Startline Used Car Tracker, just 33% said they are worried about the impact of electrification on the used car sector.
Electrification has regular topped the list of challenges facing retailers but the latest survey saw it ranked fourth behind availability (55%), cost of technology (45%), and stock availability (43%).
Paul Burgess, CEO at Startline Motor Finance, said: “There has been extensive market feedback in the last few months about rising demand for EVs and this new figure underlines how the sector is beginning to show increasing maturity.
“Dealer attitudes towards electric cars were understandably affected by the collapse in residual values seen a few years ago but increasingly, it appears that memory is fading and EVs are being seen as an opportunity rather than a problem.”
Availability
He continued: “Current concern over availability of motor finance is not the highest seen in our research but it is understandable dealers continue to feel some apprehension given its current profile. However, at Startline, we are continuing to lend at what might be considered normal levels and it is very much business-as-usual.
“The Tracker data also shows 92% of our respondents report rising technology costs are outstripping inflation, with dealer management systems and advertising platforms the biggest worries. At a time when dealer profitability is often flatlining, this is clearly seen as a concern.
“Finally, August’s figure for stock availability is 43%, which, while still relatively high, is well below the 69% recorded in 2023. While finding good stock is still sometimes difficult, it has become easier.”
