CD Auctions report record demand
29 June 2020
CD Auctions has reported a record volume of sales to 22 June with online sales attracting large numbers of first-time buyers.
Overall sales are up 18% on the same period last year with an average conversion rate of 85% for both cars and LCVs. CAP performance on cars is over 100% with retail-ready cars achieving up to 125%. CAP performance on vans are showing similar levels of success against CAP average.
The auction business, part of SMH, restarted its operations in mid-May responding to customer and buyer demand and believes it is well placed to grow further and help vendors and buyers in the new socially distanced world.
Commenting on the results, Andy Brown, managing director at CD Auction Group, said: "Our online sales are attracting buyers in record numbers while our national return and vehicle processing sites operated by our sister company SMH Fleet Solutions are helping vendors operate efficiently and safely. Now, more than ever, it is essential to minimise vehicle movements and put the vehicle in front of the buyer in the shortest possible time.
"Our experience shows that the inspection report is the key to successful online selling. It must have full and detailed accurate information on the vehicle supported with a full description of any damage backed up with supporting images allowing prospective buyers to make an informed decision on the vehicle."
CD Auctions says over 48% of vehicles sold in June have been processed at remote sites within the SMH network and vendor locations. The remote site service allows vendors to minimise vehicle movements at the end of life and give national coverage of their vehicle to the trade.
The CD Buyer App has been enhanced to allow buyers to be targeted with information about the stock they need. Users can also use the 'buy it now' function to purchase a priced vehicle as soon as it is added to the live database.
Brown concluded: "Our proactive approach to informing buyers on arriving stock has been well received. As an online-only auction, new buyer have been registering in droves and many buying on our platform for the first time. It's clear that the used car market is showing strong growth and we expect sales through our online channels via mobile devices to account for over 80% of volumes for the rest of 2020 and we will continue to grow as buyers seek remote solutions."