Everyone, or at least everyone who’s successful in the fleet management business, knows that when you purchase a vehicle for your fleet, what you’re really doing is creating a used vehicle that you’re going to have to sell some time down the road. With that as a given, the more attention you pay to what is selling on the used vehicle market, the more control you will have over how well your used cars sell, and therefore, over your bottom line.

Every year the National Association of Fleet Resale Dealers (NAFRD) surveys its members about the vehicles they have sold in the previous year. According to NAFRD, the profile of the dealers surveyed consists of established companies that have been in business for at least 20 years and sell an average of 1,500 cars per year.

This year, 77 NAFRD members met the criteria, and 26 of those completed and returned the survey According to Oscar De Oca, president of NAFRD, “The findings of this survey serve as a reliable guideline for anyone ordering vehicles.”

He added that with the average two-year turnover of vehicles in the fleet industry, the information in the survey can be extremely helpful to both fleet managers and the leasing companies they deal with. Here are some of the significant results of the 1998 survey. (Note that many of the survey questions also included information for the previous year.)

Who is the Average Retail Customer for Remarketed Vehicles?

Average Income $40,667.00
Average Age 41
Sex 70.6% Male
5.9% Female
23.5% Couples
Marital Status 99% Married

 

What are the Best Selling Light Duty Trucks?

1996 RANK 1997
Ford F-150 1 Ford F-150
Chevrolet 1500 2 Ford E-250
Ford Explorer/E-250 (tie) 3 Ford Explorer

 

What are the Overall Best Sellers?

1996 RANK 1997
Taurus 1 Taurus
Intrepid 2 Lumina
Lumina 3 Intrepid
Caravan 4 Caravan
Grand Prix 5 Voyager

 

What are the Average Miles on Remarketed Vehicles?

1996 1997  
41,093 41,698 Current Models
55,143 55,973 1 year-old models
65,904 67,963 2 year-old models
74,775 81,648 3 year-old models

 

Which Vehicles Had the Fewest Mechanical Problems?

1997 1996
60% 1995-1997 Lumina 46% 1991-1996 Lumina
12% 1996 Taurus 19% 1993, 1995 Taurus
8% 1995-1996 Intrepid 7% 1995 Intrepid
  7% 1995 Grand Prix

 

Which are the interior/exterior color combinations that are easiest to sell?

1996 1997
Interior Exterior Interior Exterior
Tan Green Gray White
Blue White Red White
Gray White Tan Green
Tan White Gray Green

 

For Most Advantageous Remarketing, How Should Cars be Equipped?

1996 1997 Equipment
100.0% 100.0% Air conditioning
100.0% 96.2% Six cylinders
96.7% 96.2% Power windows/locks
93.3% 96.2% Tilt wheel/cruise
86.7% 92.3% AM/FM Stereo/cassette
63.3% 76.9% Tinted glass
13.3% 7.7% AM/FM Stereo
6.7% 3.8% Four cylinders
13.3% 0.0% Power seats
10.0% 19.2% Other equipment

“Other equipment” refers to ABS brakes, airbags, doorlocks, rear defrosters, etc.

What is the Price Spread Between 6- and 8-Cylinder Pickups?

1996 1997  
$1,115.00 $1,070.00 One year old
927.00 828.00 Two years old
744.00 689.00 Three years old
598.00 574.00 Four years old

 

What is the Price Spread Between 5-Passenger and 7-Passenger Vans?

1996 1997  
$1,193.00 $1,252.00 One year old
927.00 973.00 Two years old
777.00 828.00 Three years old
641.00 610.00 Four years old

 

Which Paint Colors are Most Difficult or Easiest to Remarket?

Difficult Easy
1996   1997 1996   1997
66.7% Black 73.1% 83.3% White 80.7%
53.3% Yellow 46.2% 33.3% Green 42.3%
30.0% Brown 19.2% 43.3% Red 38.5%
16.6% Blue 11.5% 10.0% Tan 19.2%
10.0% Bronze 7.7% 6.7% Gold 7.7%
3.3% Burgundy 7.7% 10.0% Burgundy 3.8%
3.3% Gold 7.7% 3.3% Turquoise 3.8%
3.3% Gray 7.7% 3.3% Black 0.0%
3.3% Turquoise 7.7% 3.3% Blue 0.0%
0.0% Green 3.8% Silver 0.0%
6.7% Tan 3.8%

 

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