Secondhand car price crash?

[Jonny TVR]

Dan W. said:

They are selling really well, these guys are just spunking profit out of the door thats the issue, its not sustainable.

£120 profit per car just isnt acceptable and their investors are now unhappy

Also cazoo coming out and actually saying to their investors they may never be profitable well thats not a good look.

Edited by Dan W. on Wednesday 8th June 09:37

A business that doesn't make a profit isn't a business.

[LH.]

Have a few cars saved on cargurus for many months..

a few have dropped in price this last month some by thousands...

still crazy prices for nearly new if you cant wait for a new build can cost more...

[anonymous-user]

Jonny TVR said:

A business that doesn't make a profit isn't a business.

Tell that to Tesla, Deliveroo, Ocado and Uber. Massively inflated share price based on nothing but hopes and dreams can get you a long way.

[Jiebo]

Jonny TVR said:

A business that doesn't make a profit isn't a business.

Don't tell that to Uber, Airbnb, Peloton, Snap, Pinterest, Deliveroo etc etc etc

This isn't 1980s, you can now have a business plan where you don't plan to make profit for x years, with the strategy in place to profit through a disruption in the industry.

Carzoo and the like are changing the way the model works. They recognise that nobody wants to drive around the country to buy a used car, nobody wants to check it over, nobody trusts dealers, nobody wants to negation with the dimwit dealers.

So they are disrupting the industry, and its clearly working as most people have had positive experiences from them.

The quicker the cowboy dealers disappear the better. They add zero value to the supply chain.

[anonymous-user]

Jiebo said:

Carzoo and the like are changing the way the model works. They recognise that nobody wants to drive around the country to buy a used car, nobody wants to check it over, nobody trusts dealers, nobody wants to negation with the dimwit dealers.

So they are disrupting the industry, and its clearly working as most people have had positive experiences from them.

The quicker the cowboy dealers disappear the better. They add zero value to the supply chain.

Spot on, I am sure everybody on this website has at some point driven miles away to look at a car at a dealer to find it is a complete heap. Or got there after driving for hours only to be told "Just sold mate". Or perhaps ended up buying something they were ultimately not happy with as they ignored the signs when viewing as they were sick of searching for cars?

I have looked on the Cazoo site a few times and I would happily buy a car from them, they seem pretty good at pointing out every imperfection. I wouldn't be so happy about taking out their finance however, I am not sure how they treat buyers who don't require it?

Dealers ultimately offer very little, I ended up ordering my new car over the phone and the first time I will physically see the dealer is when I collect it.

[iphonedyou]

Jonny TVR said:

A business that doesn't make a profit isn't a business.

That makes no sense.

[Trevor555]

Joey Deacon said:

Jiebo said:

Carzoo and the like are changing the way the model works. They recognise that nobody wants to drive around the country to buy a used car, nobody wants to check it over, nobody trusts dealers, nobody wants to negation with the dimwit dealers.

So they are disrupting the industry, and its clearly working as most people have had positive experiences from them.

The quicker the cowboy dealers disappear the better. They add zero value to the supply chain.

Spot on

Spot on +2

It's the dealers lies, games, bullyshrite, that have caused me so, so, many wasted trips, and headaches, over the years.

Just ordered from Toyota online.

Shame I cant pick that up straight from Derby distribution centre and bypass a dealer completely.

If the internet dealers do the job properly, it's the way forward.

[anonymous-user]

Trevor555 said:

Just ordered from Toyota online.

Shame I cant pick that up straight from Derby distribution centre and bypass a dealer completely.

If the internet dealers do the job properly, it's the way forward.

I see Citroen are selling a cut price You model for £12,995 that you can only order online. Can you imagine how amazing it would be if you could literally go to a distribution centre to collect it as if you were doing click and collect at Argos.

I am pleased the dealer I am collecting my new car from is Tiny so won't have anywhere to do that cringey sheet over the new car with a "Congratulations on your new car Mr JoeyDeacon" sign crap.

[Dan W.]

I would also happily buy a car from Cazoo at the moment, not because they offer anything different or special, but purely because they are the cheapest thats it.

We as a garage looked at a car they had on their site a 4 weeks ago selling it for £20,495 Suzuki Vitara.

Cap clean was £19,890 so we bought it from them and sold it straight to a customer for £22,495

[Frankstar_Rapper]

Dan W. said:

I would also happily buy a car from Cazoo at the moment, not because they offer anything different or special, but purely because they are the cheapest thats it.

We as a garage looked at a car they had on their site a 4 weeks ago selling it for £20,495 Suzuki Vitara.

Cap clean was £19,890 so we bought it from them and sold it straight to a customer for £22,495

They're making 750 redundancies mind so be wary of customer support etc.

The actual reason i'm on here is, I was wondering if people are seeing a slow down in the 2nd hand car market with the recession on the horizon or will demand always outstrip supply at the moment?

[Dan W.]

Frankstar_Rapper said:

Dan W. said:

I would also happily buy a car from Cazoo at the moment, not because they offer anything different or special, but purely because they are the cheapest thats it.

We as a garage looked at a car they had on their site a 4 weeks ago selling it for £20,495 Suzuki Vitara.

Cap clean was £19,890 so we bought it from them and sold it straight to a customer for £22,495

They're making 750 redundancies mind so be wary of customer support etc.

The actual reason i'm on here is, I was wondering if people are seeing a slow down in the 2nd hand car market with the recession on the horizon or will demand always outstrip supply at the moment?

We as a dealership had it slow over the jubilee weekend as expected but we are seeing no real drop in sales or prices tbh, and our new car deliveries are being extended so i would expect used cars to stay strong and supply not much better than its been.

[Frankstar_Rapper]

Thanks Dan. I hope the recession noises don't cause a knee jerk reaction across the sectors.

I'm looking to buy a 2nd hand car to replace my car I sold thinking my new car delivery would be here May. It's now December... and i have little hope in that...

[Dan W.]

Frankstar_Rapper said:

Thanks Dan. I hope the recession noises don't cause a knee jerk reaction across the sectors.

I'm looking to buy a 2nd hand car to replace my car I sold thinking my new car delivery would be here May. It's now December... and i have little hope in that...

Yes its becoming a nightmare, had a few cars on order were originally 3 months delivery, now have gone to non confirmed date....

good luck buddy

[jonwm]

Joey Deacon said:

Trevor555 said:

Just ordered from Toyota online.

Shame I cant pick that up straight from Derby distribution centre and bypass a dealer completely.

If the internet dealers do the job properly, it's the way forward.

I see Citroen are selling a cut price You model for £12,995 that you can only order online. Can you imagine how amazing it would be if you could literally go to a distribution centre to collect it as if you were doing click and collect at Argos.

I am pleased the dealer I am collecting my new car from is Tiny so won't have anywhere to do that cringey sheet over the new car with a "Congratulations on your new car Mr JoeyDeacon" sign crap.

I pick my car's up from PSA head office in cov, the public would hate it.

It goes something like this:

Buzzer to get in
Jump out my current car
Guy points you on the rough direction (you know your car and reg already ovs)
Have a few pleasantries looks nice, wether is good, blah blah
Keys are already in them
Sort your seat out
Drive off and buzz out.

People spending £xxk on a car want the nicer experience I think.

[Pistonheader101]

jonwm said:

Joey Deacon said:

Trevor555 said:

Just ordered from Toyota online.

Shame I cant pick that up straight from Derby distribution centre and bypass a dealer completely.

If the internet dealers do the job properly, it's the way forward.

I see Citroen are selling a cut price You model for £12,995 that you can only order online. Can you imagine how amazing it would be if you could literally go to a distribution centre to collect it as if you were doing click and collect at Argos.

I am pleased the dealer I am collecting my new car from is Tiny so won't have anywhere to do that cringey sheet over the new car with a "Congratulations on your new car Mr JoeyDeacon" sign crap.

I pick my car's up from PSA head office in cov, the public would hate it.

It goes something like this:

Buzzer to get in
Jump out my current car
Guy points you on the rough direction (you know your car and reg already ovs)
Have a few pleasantries looks nice, wether is good, blah blah
Keys are already in them
Sort your seat out
Drive off and buzz out.

People spending £xxk on a car want the nicer experience I think.

cazoo do the full charade

[lornemalvo]

Jonny TVR said:

Dan W. said:

They are selling really well, these guys are just spunking profit out of the door thats the issue, its not sustainable.

£120 profit per car just isnt acceptable and their investors are now unhappy

Also cazoo coming out and actually saying to their investors they may never be profitable well thats not a good look.

Edited by Dan W. on Wednesday 8th June 09:37

A business that doesn't make a profit isn't a business.

That old saying - Turnover is vanity, profit is sanity

[anonymous-user]

Pistonheader101 said:

cazoo do the full charade

What about if you pay in full with a debit card, do they throw the keys at you and scream "Get out!"

[Back2theFuji]

Joey Deacon said:

I see Citroen are selling a cut price You model for £12,995 that you can only order online. Can you imagine how amazing it would be if you could literally go to a distribution centre to collect it as if you were doing click and collect at Argos.

I am pleased the dealer I am collecting my new car from is Tiny so won't have anywhere to do that cringey sheet over the new car with a "Congratulations on your new car Mr JoeyDeacon" sign crap.

I picked up our new old car from a Volkswagen dealer a week ago. It was inside the showroom with a whacking great bow on it Kids seemed to like it though!!

[Theoldguard]

jonwm said:

I pick my car's up from PSA head office in cov, the public would hate it.

It goes something like this:

Buzzer to get in
Jump out my current car
Guy points you on the rough direction (you know your car and reg already ovs)
Have a few pleasantries looks nice, wether is good, blah blah
Keys are already in them
Sort your seat out
Drive off and buzz out.

People spending £xxk on a car want the nicer experience I think.

If I could save a couple of grand I would be more than happy to do it, I do all my research online anyway and by talking to others who own cars I like.

The last couple of leases were dropped off at my home, minimum handover and off went the delivery driver, I did not even test drive or sit in them prior to delivery.

Not sure I would do it with used, but for new cars I would have no problem with it.

In the last decade dealerships are becoming less relevant, the internet has all the info you need, why do you want to spend half a day listening to some sales guy, trying to sell you service packages and finance, and when you pick your colour and alloys tell you its the best looking combination.

Just take off what they get and I'll buy direct

[breadvan]

liner33 said:

I'm not convinced there will be a crash, waitlists and inflation are going to keep new car prices high, dealers wont want to discount older stock because it wont make buying new as attractive .

As belts start to tighten people will downsize their fleets where possible, end their pcp and not take out a new one so prices will drop but will take another 12 months i reckon before we are back to pre covid prices

Spoke to a premium German dealer I know well last week, he said if I put a deposit down now (on a regular model) there’s a 12 month wait, however, there’s enough cancellations coming through to pretty much guarantee one sooner.

Let’s say (for whatever reason) there’s also an improvement in supply, we could have things back to ‘normal’ is a surprisingly quick timeframe.

Or not!