New Car Sales up 24% for first half of 2014

Best year for new car sales since 2008 could top 90,000 units by year end

Our New Car Sales figures released today show that 2014 has delivered the highest New Car Sales in six years. The figures show an increase of 24% against the same period last year with almost 66,000 units sold to the end of June this year. The last time the Irish Motor Trade topped 100,000 units in New Car Sales was 2008. The industry is still a long way off those heady heights, but 2014 has most definitely been the “bounce back” year for the trade. If the positive trend continues to the end of this year the industry is likely to achieve New Car Sales in excess of 90,000 units in 2014. The business community has also rebounded in spades with the sales of commercials up 43% against the same period last year.
The Irish Motor Trade has suffered badly in terms of closures and job losses in recent years so the return to normality this year has provided some very welcome relief to dealers who have been under pressure.
New Car Sales to end June 2014
The increase has been explained largely by positive consumer sentiment returning to the economy in the latter stages of 2013. As a result many buyers returned to the market including a surplus of buyers who may have postponed changing their car in the preceding years. The boom in sales has also been fuelled by the ready availability of finance deals in the marketplace. Many of the manufacturers are heavily promoting PCP or “Personal Contract Purchase” finance offers which make the purchase of a new car possible with attractive low monthly payments. We estimate that approximately 26% of new vehicles are being purchased under some form of finance.
The industry needs a steady source of finance for both the trade and the consumer, however, those opting for PCP deals should be aware that if they wish to enter a new PCP deal when their current one has ended, then they should start saving for their deposit now. Unfortunately many people forget that a PCP deal requires a deposit or trade-in at the front end. When you reach the end of the PCP you don’t own the car and therefore you won’t have a trade-in on your next deal. PCP is a great form of car finance, but be wise and put a little bit away each month to legislate for your lack of trade in on the next one.
Used Car Imports also continue to grow year on year with an 18.5% increase on the same period last year. The low new car sales in recent years has resulted in a lack of availability good quality 2, 3, 4 and 5 year old used stock in Ireland. This has forced both dealers and private buyers alike to source second hand vehicles the UK in their droves. Almost 30,000 used vehicles had been imported into the state at the halfway point of 2014.
New Car Sales Highlights:

  • 24% Increase in first 6 months of 2014 vs 2013 (65,795 Units Sold to end June 2014)
  • Top Selling Brands: Volkswagen, Toyota, Ford, Hyundai
  • Top Selling Models: VW Golf, Nissan Qashqai, Ford Focus, Toyota Corrolla

New Commercial Vehicle Sales Highlights:

  • 43% Increase in first 6 months of 2014 vs 2013 (12,868 Units Sold to end June 2014)
  • Ford Transit, Volkswagen Caddy, Citroen Berlingo and Land Rover Discovery are the top commercials

Used Car Imports Highlights:

  • 18.5% Increase in first 6 months of 2014 vs 2013 (29,413 Units Imported to end June 2014)
  • Top Selling Brands: Ford, Volkswagen, Vauxhall, Toyota
  • Top Selling Models: Ford Focus, VW Passat, VW Golf, Audi A4