OUR monthly Market Analysis reveals that the average price of a de-fleeted car at auction now stands at £6,693; just £102 shy of December 2013’s figure.
the overall wholesale price of de-fleeted cars settled in the final quarter of the year
With fleet registrations increasing by 8.7% across 2014, there are clear signs that business confidence is increasing – and this could well impact upon values in the de-fleet sector going into the New Year.
Looking at values across the whole of 2014, Manheim’s Market Analysis shows that the overall wholesale price of de-fleeted cars settled in the final quarter of the year – in comparison with the fluctuating monthly values that characterised January to June 2014.
Coupe prices rise
Taking a closer look at the individual performance of each vehicle type, an increase in value year-on-year can be seen for five of the 10 segments analysed. The biggest yearly jump is seen with coupes, which saw prices rise from £8,887 in December 2013 to £9,601 a year later; a value increase of 8%. This increase comes in spite of upturns in both age (from 57 to 60 months) and average mileage (59,962 to 61,474).
As far as I see it, 2014 featured some sizeable variations in pricing early in the year, but latterly these have settled and we’ve seen prices return to typically expected seasonal norms.
Defleet strategies for 2015
Following a bumper year of new car sales in 2014 with fleet registration up by 8.7%, the upturn in volume is likely to be felt in the fleet sector.
My advice for leasing companies going forward is to be selective with their remarketing strategies. Look at a number of channels through which to retail stock to attain the best residual values.
If businesses are sophisticated about their remarketing strategies, 2015 should build on the successes of the past year.
