Electric vehicle demand driving up retail margins
Electric vehicle demand increased substantially in March, according to the latest data from Dealer Auction’s EV Performance Review (EVPR).
It found that the average retail margin increased from £2,829 in February to £3,320 in March, while margins across the quarter have now increased by 26% for alternative fuelled vehicles.
The data also found that electric vehicles increased their share of all sales by 78% during March.
The average age of sold alternative fuelled vehicles was under five years, while average mileage increased slightly from 33,495 to 33,868.
In terms of models, the hybrid Volvo XC60 topped the retail margin charts for both the month and the quarter, while the Tesla Model X, Volkswagen ID.3, and Jaguar I-PACE were also included in the top 10.
Buyer behaviour
Dealer Auction marketplace director Kieran TeeBoon said: “The increase in both interest and sales for EVs suggests that the Iran conflict – while a contributing factor – is not simply driving a short-term panic response.
“Instead, the data points to a shift in buyer behaviour, as consumers consider both the long-term transition to net zero and the immediate impact of rising fuel costs when choosing their next vehicle.”
He concluded: “Data from both this month and across the first quarter highlights a strong foundation in the EV market, with growing interest increasingly converting into sales. It will be interesting to see how these patterns evolve in the coming months, particularly in light of ongoing geopolitical developments and continued growth in the AFV sector.”
