Higher volumes of poor condition low specification vans at auction are impacting on conversion rates.
That’s the view of BCA which said vans needed to be realistically priced in order to sell.
BCA head of commercial vehicles, Duncan Ward, said while values of vans appeared to be holding up this was due to younger, lower mileage profile of vehicles currently reaching the market.”
“History shows us that the commercial vehicle market typically slows over the summer months and we would expect to see some pressure on average values between now and the new registration plate in September.
“As buyers get more selective and focus on the best presented vehicles, the increasing volumes of poor condition, low specification vans are impacting conversion rates. This less desirable stock, typically in corporate colours, needs to be competitively valued if it is to sell first time.”
“There is nothing to be gained by placing over-aspirational reserve valuations on LCVs if the market is not prepared to meet those expectations.”
The headline average value of a used LCV sold at BCA rose slightly to £5,908 in June, an increase of just £16 compared to May, but up by £321 or 5.7% compared to a year ago.
Average part-exchange LCV values were static in June, although year-on-year values were up by £35 (0.9%). Average age was flat at 82 months, while average mileage has declined by nearly 1,000 miles over the year.
