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Spread your bets to cut your risks

7th December 2006
Page 69
Page 69, 7th December 2006 — Spread your bets to cut your risks
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CM'S inside trader reckons the used market has enjoyed something of a golden age in 2006 but only for those who diversified.

This year, digital tachographs and the introduction of Euro-4 emission levels gave the used market a shot in the arm it probably didn't need, but dealers who played an angle were able to cash in.

Outlets which traded only in good quality late-year, low-mileage tractors weren't doing as well as they would have I ikecl, but these dealers were still confident their trucks wouldn't be hanging around too long.

Then came the storm. Stock sold overnight as operators snapped up used vehicles to avoid the new regulations— but replacement stock didn't come in as normal.

Delayed orders caused panic Enough operators held fire with new orders to cause a mild panic. Prices didn't increase with demand but good quality stock, which is always at a premium,dried up.

Suddenly being a dealer in good-quality, late-year, low-mileage tractors wasn't all it was cracked up to be. However.less exciting stc such as rigids and vans continued to turn ol and those dealers who diversified found lii easy as before.

I've said it before and I'll say it again: specialise all you want but don't concentrai on one area. instead, seek fresh markets —e if only in smaller volumes— because. it will I off and help you through those rainy days when business in your chosen speciality go into a decline. •

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