UK dealers saw a decline in new and used car sales in November for the first time since June, as the country re-entered national lockdown restrictions.
According to data from Dealerweb, new car orders fell 30% and used car orders declined by 39.5%, when compared to November 2019.
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The study, which examined more than 800 dealers across the UK, also revealed a 32% and 28% reduction in enquiries for new and used cars respectively.
James Hill, managing director of Dealerweb, said: “Both new and used sales have performed strongly since the end of the first lockdown, but it was inevitable that a second national lockdown would have a negative impact on orders. Interestingly the conversion rate of orders to enquiries dropped on used cars, perhaps reflecting the inability of customers to see, touch and drive before they buy.”
According to the SMMT, during Q3 the used car market grew by 4.4%, however, sales for the fourth quarter were expected to be heavily affected by the second lockdown. The SMMT said the swift re-opening of used car outlets would go a long way to help prevent further subdued activity in the market.
As a showroom management systems provider, Dealerweb assisted dealers through lockdown, enabling firms to meet social distance requirements.
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By GlobalDataElectronic signatures have proven to be a popular tool, providing buyers with the flexibility to complete the purchase both in home or at a showroom.
Research from Close Brothers Motor Finance recently revealed the various survival strategies deployed by car dealers in attempts to limit the effects of Covid-19 over the last few months.
Half of all firms surveyed adapted their social media offering, and 43% committed to building the online presence of their dealership in order to attract more customers. Online platforms have enabled firms to ensure customer access from their own homes.
To accommodate a surge in online activity, Close Brothers also rolled out an online finance calculator to dealers, as part of its plan to enhance its digital offering.
