Kommor stated, particularly, there have been fewer automobiles which are not more than 3 years outdated in the marketplace.
Edmunds, the third-party procuring website, stated that’s “due to disruptions in rental car agency replacement purchases and leasing life cycle shifts.”
Edmunds stated sellers had been stocking a larger proportion of newer used automobiles 4 years in the past, with these fashions accounting for 58 p.c of their gross sales within the second quarter of 2019. That determine decreased to 49 p.c this yr.
Joseph Yoon, shopper insights analyst for Edmunds, stated the used-vehicle area remains to be feeling the consequences of the coronavirus pandemic. Customers held off on buying Automobiles in 2020, however Yoon stated that pent-up demand was unleashed in 2021 and 2022.
“There weren’t enough cars to sell for all the people that needed the cars,” Yoon informed Automotive Information. “And so when that happened, all the people that were like, ‘Well, if the new-car lot is empty, I’m going to go to the used-car lot,’ so they bought all the used cars as well and that inventory situation hasn’t really recovered completely.”
Stellantis is serving its sellers properly by offering this platform to showcase and improve income from CPO stock, Yoon stated.
“I think that’s a smart thing for them, especially because nobody wants to go to a shady dealership to buy their used car,” Yoon stated. “If they can tell their customers, ‘Hey, we’re going through some challenges with the supply and inventory right now, we know the market is changing and we know the market has shifted, largely not in your favor. But come shop with us anyway. We’ll try to find you the car that will meet your budget.’ ”