Retail is in the midst of a used car market boom.
It all has to do with semiconductors (also known as microchips) that are essential parts of new tech cars. Global semiconductor production has slowed over the past year, stalling production and supply of new cars amid supply chain and logistics issues seen in the pandemic.
Consumers face long waits for new models and this has seen a boom in the used car market coupled with pandemic savings and continued vigilance of public transport.
AutoTrader, the FTSE 100 online car market, has 436,000 mostly used for sale. Last week it saw its market record five-year growth in just under six months, with the average sticker price of a car on its website at £3,400 between May and November.
People with used cars to sell are benefiting, and today AutoTrader shared information about which vehicle models are most popular in an already competitive environment – sharing data on their most in-demand cars with Standard.
The new listing measures popularity based on the amount of ad views. The reliable (and always popular) Volkswagen Golf came out on top, followed by the BMW 3 Series and C Class Mercedes-Benz.
It comes as online car retailers Cinch and Kazoo — and rival Bazaar Motorway — have jumped at the opportunity the hot market has to offer. The used car buying process has been modernized, and there is a lot of venture capital cash in the area.
Analysts and sector insiders expect the surge to ease later in 2022, however, as supply chain pressures ease. The move towards greener vehicles is also expected to have an impact.
AutoTrader’s own CEO, Nathan Coe, recently told Standard that he expects the boom to continue for “a few more months” because “new car supply isn’t coming back anytime soon, probably until the back half of next year.” No”.
Complete list of Autotrader’s top 10 most popular cars based on ad views:
BMW 3 Series
Mercedes-Benz C Class
BMW 1 Series
Mercedes-Benz E Class
BMW 5 Series