Manheim, the UK’s number one commercial vehicle auction company, has announced a strong demand from buyers in March, with the average selling price holding firm at £5,643, just a 4% decrease on February, attributed to higher average mileage and age across vehicles.
March also saw the quickest speed of sale at 14 days in average for all vehicles sales, a decrease of seven days compared to March 2017. This resulted in the strongest conversion rate of the year, as 82% of all vans that were offered sold first time. The average age of vehicles passing through the LCV lanes increased to 64.6 months (a year-on-year increase of one month), matched with a rise in average mileage (80,825 miles – an 8% increase from February).
“The strongest performance yet again was in the £5,000-£5,999 and £8,000-£9,999 price bands, which is a continuing trend in the Manheim CV lanes. We have seen a 3-5% premium, on top of current market guide measures, as buyers look for the highest quality retail mileage stock,” said Matthew Davock, Head of LCV at Manheim.
“Looking back at the market this time last year, vans were selling for £313 less, and even in March 2016, we were seeing sales prices down £869 compared to today’s values (with age and mileage remaining very similar. It’s clear the marketplace is super-heated at present and we expect this to continue into the next quarter,” he continued.
In addition, data also revealed that online auction transactions continued to grow, with 36% of all vans sold during March having been bought online via Manheim Simulcast, a 3% increase year on year.
“As we enter April, we predict volume will rise to the highest point seen all year, and the market will continue to show strength and stability. With any predicted increase in market volume, we encourage all vendors to remain extra focused around vehicle return damage and market reserve setting. Vendors that get this combination right will continue to see both record performance and conversion rates,” Matthew said.
To celebrate this strong performance, Manheim’s CV division organised eight days of Easter events across the UK and distributed over 50 personalised eggs to customers, while raising money for local charities.