First time conversion rates likely to increase as confidence grows in auction sector

A recent survey carried out by the National Association of Motor Auctions (NAMA) revealed that there is growing confidence that 1st time conversion rates and values of petrol and diesel vehicles will increase as the UK comes out of its final stages of lockdown.

The NAMA survey results follow a similar trend to last month’s findings, with 1st time conversion rates continuing to perform well, with 55.56 % of respondents favouring rates to increase over the next month and 44.44% expecting rates to remain the same.

Furthermore, 66.67% of respondents are expecting an increase in both petrol and diesel values over the next month. It is also interesting to see that the majority of respondents are expecting auction volumes to remain stable with 44.44% predicting them to stay the same and a further 33.33 expecting to see a decrease.

The latest NAMA survey shows auctioneers are reporting that strengthening conversion rates and a positive impact on vehicle values is having a strong effect in the market.

Auctions are benefiting from retailers buying vehicles to stock their forecourts to meet strong consumer demand for used cars following the easing of lockdown restrictions. The auction market is expected to remain strong over the next few months.