31 August 2023 Four in five online searches in August were for cars aged five years or older, as the cost of living crisis continued to prompt buyers to consider more affordable vehicles.
eBay Motors Group’s Market View analysis identified these older cars accounted for 81% of searches on Motors.co.uk, up from 77% 12 months ago.
However, searches for these cars are growing faster than stock availability which increased just 1.5% year-on-year accounting for 52% of all listings.
The most searched for age band in August was for 8-10 year old models (16% of all searches), followed by 6-8 years (14%) and 10-12 years (14%).
The most popular age bands being stocked by dealers were 3-4 years, 4-5 years and 6-8 years old, each accounting for 13% of the total number of cars listed.
Overall, August saw used car stocks drop to their lowest level since May. Average dealer inventories dipped month-on-month from 58 to 56 units, the biggest shortfall was felt by franchised dealers dropping from 75 to 70 units.
Petrol continued to take the lion’s share of dealer inventories, accounting for 53% of cars listed on Motors.co.uk, followed by diesel at 38%, both still a long way ahead of hybrid (6%) and EVs (3%).
Consumer demand was unchanged month-on-month at 35 days to sell, although that marked a year-on-year improvement from 40 days.
Pricing realignment continued with the fourth consecutive monthly drop, falling 1.4% from £18,016 in July to £17,771, but still tracking at 7.8% ahead year-on-year.
Petrol continued to take the lion’s share of dealer inventories, accounting for 53% of cars listed on Motors.co.uk, followed by diesel at 38%, both still a long way ahead of hybrid (6%) and EVs (3%).
“Consumer demand was flat in August as buyers’ attentions and budgets switched to summer holidays. However, for those buyers needing a car out of necessity, the focus was on older age profiles, demonstrating how the cost of living crisis is continuing to impact affordability,” said Lucy Tugby, Marketing Director of eBay Motors Group.
“Seasonality and limited supply saw dealers stocking fewer cars in August, while higher interest rates on stock funding would also have been a factor.
“All eyes are now on how much of an impact the September plate-change will have on the retail sector and whether private buyers can be enticed back into showrooms, generating a welcome influx of part-exchanges for the used car market to retail over the coming months,” said Tugby.
You can download the August 2023 eBay Motors Group Market View report here
