Additional used car stock is part of the 2019 business plan of 52% of car retailers during 2019 – as 65% target growth in the sector.
The latest sentiment survey conducted by Cox Automotive’s stock funding arm, NextGear Capital, made the discovery as part of its ongoing efforts to gauge the outlook for the sector.
NextGear’s finding offered encouragement for its own activities, with nine out of ten dealers stating that they will use more than one source of funding to drive their ambitions, with wholesale finance and their own capital dominating the options chosen.
Liam Quegan, NextGear Capital’s managing director, said: “The survey results show dealers share a very positive outlook for the year ahead, with investment and growth a clear ambition for many.
“After what was a challenging year for many dealers, and with Brexit now just around the corner, it’s exciting to see they’re not holding back but are actively charging at the year ahead with a determined vigour.”
Quegan said that, despite the uncertainty of what will happen after March 29, the potential for growth this year was “nevertheless there for the taking”.
He added: “The used vehicle market is growing, consumer finance products are making it possible for more people to afford better and newer cars, online trading is breaking down traditional barriers and the wholesale market is offering a greater choice of stock than ever before.
“Navigating this requires a sharp business brain, entrepreneurial flair and reliable partners.
"So as dealers look to invest in their businesses and increase their stock portfolios, it’s also heartening to see them taking a more diverse approach to their funding options.
“In utilising a range of options, they are placing themselves in the strongest position to make choices best suited to their business and those demonstrating the most flexibility are set to reap the biggest rewards.”