Fleet News

Mileage no longer the leading factor

DEALERS are beginning to listen to calls to pay less attention to vehicle mileage and more to condition and specification, which could have a positive effect on fleet disposal values.

UK companies are following the lead of Europe and the USA in putting condition before mileage when setting prices, Vehicle Remarketing Solutions claims.

Managing director of VRS, Mike Pilkington, said: 'We are already seeing dealers placing more emphasis on the specification and condition of vehicles. Vehicles that require the minimum of preparation for the forecourt are attracting stronger prices and moving more quickly.

'This trend is set to continue because of the increase in choice of used cars that dealers are seeing due to recent years' bumper new vehicle registrations.'

He said that specification factors such as alloy wheels and higher quality interiors were seeing higher premiums. There is also clear evidence that franchised dealers are comfortable retailing higher mileage vehicles, sometimes up to 60,000 miles, and manufacturers' used car schemes are increasingly catering for this type of vehicle.

Pilkington said: 'I would add that a full service history is an important consideration when buying higher mileage vehicles.'

BCA customer affairs director Tom Madden said: 'We have conducted research among a representative sample of top professional motor trade buyers on the main factors that influenced price in the used car market.

'While specification remains the strongest price indicator, presentation is next most important factor.

'Some people may be surprised that buyers placed presentation above the value of a service history and the details of previous ownership, but the value of having a vehicle in ready to retail condition should not be underestimated.'

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