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Seasonal greetings
Page 72
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The leaves have barely started to fall and used truck dealers are already preparing for the pre-Christmas rush. Steve Banner reports.
WITH SUMMER long gone and Christmas novelties starting to appear in the shops, used truck dealers report that business is buoyant. But some of them have a nagging feeling that things aren't quite as good as they should be.
"Sales are picking up nicely, and we're certainly holding our own when compared with last year,but we're taking each month as it comes," says independent dealer Peter Hassan, of Eurowise Truck and Van based in Lympne, Kent:There are clearly problems in the high street, and it seems to me as though some of the retail chains have opened a lot more outlets but without gaining any more business.They've ended up with the same volume of sales. but spread across more locations, and that's creating problems for them."
Paul Banks, sales manager at Manchester Mercedes dealership TruckWorld, says: "There is some uncertainty. People are tightening their belts somewhat, but fortunately we offer a wide range of products. and we're attacking two markets; domestic and export."
"House prices have dropped a bit, and that's made people nervous," says Matt Hammond, used vehicle sales manager at the Harris Daf dealership in Thurrock, Essex.
However, Hassan reports that difficulties among retailers and in the housing market aren't denting the demand for two to threeyear-old 4x2 and 6x2 tractor units with big cabs and plenty of power. But locating them remains a challenge: -We're finding 420hp units without too many problems,but increasingly it's the 460hp and 500hp engines that people want.
He recently disposed of a 2003 Volvo FH Globetrotter XL Prestige 6x2 with 460hp on tap and 275,000km on the clock for almost £48,000. including a year's warranty. "Volvo prices are holding up especially well," he remarks.
A 2002 XL with the same power output but higher mileage went to Cyprus —now an EU member — for £39,000; further evidence that many traditional export markets now want more modern vehicles. "They're becoming a lot more selective," says Banks:They won't take just anything."
"Our inquiry rate is going up and we're feeling very positive about things, although getting the stock we need can be a problem," says Barry Browning, used sales manager at Andover Mercedes dealership Pentagon.
"In particular, there's a lot of interest in Actros tractor units with Megaspace cabs, a low mileage, a full service history and no more than three to four years old," he adds. "Everybody wants the 460hp model though, and they're difficult to come by."
Strong demand for Axors
Everybody seems to want second-hand Axors too, but they're scarce as well at present, says Browning, especially the 4x2.
And Banks says:"When Axors start to appear in greater numbers! doubt we'll have much trouble selling them.We reckon they'll be export market stars in the future."
"We're finding that the 7,5-tonner market is quiet, but demand for late-registered,low mileage 18-tonners with big cabs is quite steady," says Browning. "Older 18-tonners are struggling though."
"So far as 18-tonne curtainsiders are concerned customers tend to want 26ft bodies because you can get 14 pallets into them," Hammond explains.
Used sales are buoyant at Cardiff Renault dealership Englands Truck Care, according to sales manager. Ron Counsell."We sold four during the first three days of this month (October)," he says.
"Prices aren't bad either— in fact they're better than !expected them to be."
The fortunes of used 420hp Premium tractor units being disposed of through Renault's dealer network are likely to be boosted by the manufacturer's decision to reintroduce a 1.9% finance deal.
As far as rigids are concerned, anything with a slightly unusual specification continues to sell well, says Browning: "I'm thinking about 7.5-tormers with sleeper cabs, and 13-toriners," he says."They're the sort of vehicles that you'd probably end up being stuck with if you had more than one or two; they tend to appeal to own-account operators rather than hauliers."
Christmas is on its way, shops will soon be stocking up, and it's starting to figure in inquiries,says Browning-I've already had a few calls from people who are looking for additional vehicles to handle the extra seasonal traffic," he says, "It tends to be 7.5-tonners and 18-tonners rather than tractor units that benefit in the run-up to Christmas, and I've already sold one 7.5-tonner that will be used on Christmas work," Hammond concludes.