Used-vehicle sales are becoming a larger part of dealers’ portfolios today. For starters, profit margins are higher on used vehicles. Secondly, growth in new vehicle sales is showing signs of slowing (possibly even of shrinking). Together, these factors mean retailers are increasingly turning to used cars to make money. But the truth is that not all pre-owned vehicles are created equally.
In fact, according to Bloomberg, almost all of the growth in pre-owned vehicle sales has occurred at the ends of the spectrum, with sales of vehicles under four years old up by 2.6 million units in the past four years, and sales of vehicles 17 years and older up by 1.7 million units.
Read the full article at Cantin Automotive Insider.