Used Land Rover and Jeep models delivered the biggest margins for dealers in November, according to Dealer Auction.
The company’s monthly Retail Margin Monitor placed the Land Rover Discovery Sport in the number one spot with an average retail margin of £3,790, followed by the Land Rover Range Rover Evoque at £3,270.
On average, Land Rover models delivered a margin of £3,320, while Jeeps achieved £3,260.
Subaru re-entered the table in November after dropping out in October and has jumped straight to the number three spot with an average retail margin of £2,900. This indicates that dealers are stocking up on SUVs and crossovers.
Looking at the top 10 models, the Volvo XC60 performed well, while top-ranking models from previous months, like the Hyundai Santa Fe, are also offering high margins once again.
The Audi A6 Avant has entered the top 10 models table for the first time, with an average retail margin of £2,610. With the appearance of the Audi A5 in last month’s data, Audi models are proving to be a popular choice with dealers this winter.
Dealer Auction’s marketplace director, Kieran TeeBoon, said: “This month’s data is showing high profit margins from SUVs, including popular Land Rover models that we often see in the top 10 tables. But the November data also serves as a reminder to expect the unexpected, with a brand-new Audi ranking in as a top model by retail margin.”
With retailers operating in an increasingly challenging used car environment where stock is in short supply and prices are continually adjusting, it has become even more imperative to price used vehicles correctly to both maximise margins and maintain stock turn.
The solution is rooted firmly in the digital sphere with most retailers now relying on an array of both retail and trade pricing tools with traditional ‘trade plus’ or even ‘pricing back’ far too simplistic to be relied upon on their own.
Auto Trader expects used car values to rise in early 2023 after remaining flat in the traditionally weak festive trading period.