Following a stable January sales period in 2004, which did not see the strong lift in prices that is usually associated with the industry’s most buoyant month; fewer sellers are holding stock over this year, says Vehicle Remarketing Solutions (VRS).
Its managing director Mike Pilkington says: "This year the market has remained stronger for longer and remains relatively stable for the end of September. I know of two major fleet vendors, which usually stock pile vehicles in December, but on last year’s experience feel that it is not worth holding on to vehicles with the associated holding costs and will continue to trade through December.
"There is some evidence fleets are extending contracts from September through to January and the resultant lack of stock has helped to maintain prices, with demand from dealers remaining stable."
However, VRS claims dealers should still look for the lowest point in the market to purchase stock, which normally occurs during October. Reluctance to invest in stock when the market reaches its low point means that smaller dealers miss out, while many larger competitors build up their stocks ready for the increase in customer demand and the resulting rise in prices in the New Year.