Car supermarkets and franchised dealers began the year with stronger used car inventories compared to January 2024, but vehicles remained on forecourts for longer, according to the latest Market View from MOTORS.
The start of the year saw a decline in sales conversion rates for these dealers, with car supermarkets experiencing an 11% drop and franchised dealers down 13% year-on-year. In contrast, independent dealers saw a modest 1% increase in sales. Overall, January’s used car sales volumes declined by 4% compared to the same period last year.
The slowdown was reflected in an increase in the average days to sell, rising from 33 to 35 days month-on-month and from 30 days year-on-year.
Stock levels across all dealer types averaged 51 cars, similar to 50 units recorded last January but down from 55 in December 2024. Car supermarkets held 11% more stock than at the start of 2024, while franchised dealers increased their stock levels by 5%. Independent dealers maintained similar stock levels.
The average price of a used car listed on MOTORS in January was £17,619, reflecting a marginal 0.3% (£57) month-on-month increase and a 1% rise year-on-year from £17,461. The largest price increase was seen in the all-electric MG4 (1-2 years old), which rose 9% to £24,319. The hybrid Hyundai Tucson (1-2 years old) experienced the biggest decline, dropping 6% to £26,490.
The fastest-selling used car in January was the Cupra Formentor, taking an average of 19 days to sell. This was followed by the MG3 (20 days), Tesla Model 3 (21 days), MG ZS (21 days), and MG HS (23 days).
Ford remained the most viewed car brand on the MOTORS platform, accounting for 13% of online views. Volkswagen followed with 9%, while Mercedes-Benz, BMW, and Audi each garnered between 7% and 8% of total views.
Lucy Tugby, Marketing Director at MOTORS, attributed the slow start to seasonal factors and adverse weather conditions. “January traditionally gets off to a slow start for the used car market as buyers contend with Christmas bill payments and families prepare for the new school term. However, this year was compounded by a succession of storms bringing high winds, flooding, and snow to most of the country.”
“As a result, dealers saw their sales conversion drop compared to the same period last year, with many now carrying over unsold stock into February,” Tugby added. “We have seen solid growth in traffic during January, which we anticipate will translate into showroom footfall over the coming weeks.”
"UK used car market starts 2025 with higher stock but slower sales" was originally created and published by Motor Finance Online, a GlobalData owned brand.
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