Knowing what motorists want from an
estate car can help the fleet manager not just at remarketing time,
but also when making decisions on the front-end purchase. What this
means is making estates as appealing as possible, particularly if
you are running volume rather than premium models.

So what are the issues of putting estates on the fleet? It is a
more restricted target market – around 7 per cent of cars on UK
roads are estates. However, premium models are always much
sought-after, if they have the right combination of colour and
specification. However, one simple piece of advice is to avoid
having large volumes of similar models hit the used market at the
same time, particularly low-spec examples.

There is a lingering perception of the estate as just a working
tool rather than a flexible and useful family car. The
bigger-engined examples are also popular with caravan owners, who
need the torque and pulling power as well as the extra space.

High-spec premium models are popular with well-heeled family
buyers as they make a statement as well as being eminently
practical, and could make a real resurgence with the pressure being
experienced in the large 4×4 market.

Colour is very important. Buyers do not like obvious corporate
or utilitarian colours so if livery is needed, we would suggest
looking at vinyl logos or wrapping over a good base metallic
colour.
Base-specification models are hard to place whatever the bodyshape.
As a bare minimum these days used buyers expect air-conditioning,
electric windows and a CD/radio player, so make that your lowest
benchmark.

On premium models, really go for the bells and whistles: full-,
not half-leather interior, heated seats with memory, satnav,
climate control, mp3 connectivity. For user/choosers, be very
careful with the driver who blows all the budget to upgrade the
badge on the bonnet, but then can’t afford anything but basic spec
across the rest of the car – at remarketing time you are better off
with a high-spec volume model than a low-spec premium.

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Presentation is very important because estates are seen as
working cars. Consider repairing any damage as that will put buyers
off, and make sure the car is offered with a full service
history.

Simon Henstock, UK operations director, BCA

0505 Audi A4 Avant 20 TDI 140 S Line M/Tronic estate, diesel 81K £11,450
0606 Audi A6 Avant 20 TDI SE estate, 5drs, manual diesel 47K £13,050
0404 BMW 320D 20 ES 150 BHP Touring estate, diesel 73K £6,750
0606 BMW 520D 20 SE estate, 5drs, manual diesel 32K £16,200
0404 Citroen C5 20 HDI 110 VTR estate, diesel 79K £3,175
0707 Ford Focus 20 Ghia estate, 5drs, automatic, petrol 6K £9,700
0606 Honda Accord 22 I-CTDI EX Tourer estate, manual diesel 48K £10,100
0505 Ford Mondeo 20 Ghia TDCI (130PS) (6) estate, diesel 101K £4,150
0404 Jaguar X-Type 20 D Sport estate, manual diesel 99K £5,200
0505 Mercedes C220 21 CDI AG SE estate auto/manual mode, diesel 55K £10,950
0757 Mini Cooper Clubman 16 S estate, 5drs, manual petrol 5K £16,375
0757 Peugeot 207 SW 14 VTI S estate, manual petrol 15K £7,900
0554 Peugeot 407 SW 16 HDI 110 SE estate, manual diesel 77K £4,600
0404 Renault Laguna 19 Initiale DCI Sport Tourer estate, diesel 78K £3,750
0606 Saab 9-3 Sportwagon 19 TID 150 Vector Sport estate, diesel 47K £9,000
0404 Vauxhall Vectra 20 DTI LS estate, 5drs, manual diesel 88K £3,029
0454 VW Passat 19 TDI PD 100 Trendline estate, manual diesel 91K £4,400
0505 Volvo V50 20 D SE Estate, 5drs, manual diesel 63K £7,700
Source: BCA Auction View

Consumer credit volume
Fleet vehicles: Residual values

FLEET VEHICLES: RESIDUAL
VALUES
July 2008 (£)
1 year old
(20,000 miles)
2 years old
(40,000 miles)
  June 07 July 08 June 07 July 08
Ford: New Focus 1.6 Zetec 5dr/
Focus 1.6 Zetec 5dr
6600   6300 5400 5200
Mondeo 1.8 LX 5dr A/C 6500   6250 5250 5000
Galaxy 2.0 Zetec/Galaxy 2.3 Zetec 12750   12250 7200 6900
Land Rover: Disc Diesel 2.7 V6 SE Auto 25500  24000 20000 19000
Vauxhall: Corsa 1.2I Design 4750  4500 3850 3700
Astra 1.6 Club 5dr 6000   5800 5000 4800
New Vectra 1.8 Club 7400   7000 4850 4600
Citroën: C5 2.0 HDI Estate VTR 9200 8800  7250 7000
Peugeot: 307 1.6 S A/C 5dr 6000   5800 5000 4800
Peugeot 407 S 1.8 6400  6200  5300 5100
BMW: New 325 SE Auto 17600  17000 14300  14000
Mercedes: C200k Elegance Auto 13600 12750  11300 10800
Audi: A4 2.0 SE 14000 13250 11400 11000
Source: British Car Auctions

Motor Finance Issue: 45 – July 08
Published for the web: July 28 08 9:42
Last Updated: July 28 08 12:23