Car dealers’ minds may currently be on what Santa Claus will be delivering tonight (Christmas Eve), but there could be even better gifts on the way in the New Year.
According to predictions, New Year 2016 is set to be a lucrative period for car sales as people return to the market following the festive period, when their minds have been focused on other issues. Market analysts forecast a repeat of last year’s bumper January trading period.
It’s always worth using a lull in trade as a good time to get your administration in order, and key to that is ensuring your motor trade insurance and road risks insurance is up to date and adequate for the needs of your business.
But according to Close Brothers Motor Finance, there is unlikely to be any slowdown in the trade once Christmas is out of the way.
Company CEO James Broadhead is expecting a similar pattern to unfold as last year. It’s estimated around £480 million was spent on cars on New Year’s Day 2015.
Mr Broadhead told Motor Trader: “In the build up to Christmas, many people’s minds are purposeful on those last minute gifts and the festivities they have planned over the holiday season. Yet once the big day is over, we move into what many consider a lull period between Boxing Day and New Year.
“Large numbers of people look to get out and about, with the New Year sales being a key attraction for those Christmas shoppers seeking the best bargains.”
January 2015 was particularly strong for new cars sales, which increased by almost seven per cent.
Mr Broadhead advised dealers to bear this in mind when preparing to attract new customers.
“It is vital that dealers seize the opportunity that festive shoppers provide, making sure they are prepared to capture the attention of these casual consumers by being able to offer a great deal,” he added.