Dealers squeezed between rising values and volume reductions
February 2012 – for immediate releaseRISING used car trade values will increase the squeeze on dealer profitability in February and beyond, according to the independent benchmark used car pricing guide CAP Black Book. Healthy dealer margins will be threatened by an anticipated reduction in stock availability, increasingly forcing them to buy cars requiring more investment in refurbishing to retail standard, warns CAP. Despite slow retail sales, due to low consumer confidence, dealers are already being forced to pay higher prices for many cars in anticipation of an approaching shortage
