ATLANTA – Manheim Consulting released its Used Car Market Report (UCMR) for 2011. The report cites new vehicle purchases by commercial and government fleets as well as remarketing trends for both. According to the UCMR, commercial fleet purchases of new vehicles increased by 16%, reaching more than 531,000 units in 2011.
Sales to government fleets dropped 1% in 2011 to 214,500 units, when compared with 2010 numbers. This is a major drop from the peak of 313,000 units sold in 2007. Manheim said public-sector fleet demand is likely to stay low due to government mandates to reduce fleet costs.
When it comes to remarketing, commercial fleet managers were able to take advantage of high prices for used vehicles when remarketing their end-of-service units. Manheim said mileage and seasonally adjusted auction prices for mid-size cars and pickup trucks reached a record high in April 2011. Government fleets remarketed “slightly more vehicles” than they bought in 2011, according to Manheim, generally via Simulcast auctions.
Vehicles that were taken out of commercial, government, and daily rental fleets and sold at auction in July were worth 8.1% more than they were a year ago and 0.4% more than in June, according to Tom Kontos, KAR Auction Services' chief economist.