Promising signs
While sales have not quite hit pre-pandemic levels, there are certainly promising signs that the industry is getting back on its feet. The reopening of showrooms on 12 April gave the new car market a 30-fold increase on a year ago, when the first lockdown was implemented.
Businesses are seeing record levels of interest on their platforms, with consumer confidence levels higher than they were pre-pandemic. Forecasts from across the industry have been positively adjusted to reflect that confidence, including the SMMT, which now predicts 1.86 million new car registrations by the end of the year, up 13.9% on last year.
The figures paint a positive picture for the start of post-lockdown life. As we see a further easing of restrictions and the adult population receives their full vaccination, consumer confidence will undoubtedly increase further and drive investment in the market.
In this edition we take a look into one sector of the market that is likely to do well despite the current travel restrictions – the UK leisure market. Staycations are the new vacations as holiday-goers swap the Costa del Sol for the Cornish coast.
Speaking to Motor Finance, Paragon Car Finance’s Julian Rance said that fresh demand in the leisure market will inevitably introduce new buyers into the market. As a result, funders will need to rethink their product offering to attract a wider audience.
With continued uncertainty around new variants of the virus, the staycation trend looks set to stay for the foreseeable future.
We also chat with new Alphera chief Preston Rogers, who assumed the role earlier this year, to discuss a variety of topics, including the company’s response to the pandemic, current industry trends and Alphera’s plans for the future.
Elsewhere in the magazine, we have comments and analyses on topics including subscription models, repossessions, autonomous vehicles and the resales market for you to get your teeth stuck into. Enjoy!
Chris Lemmon, editor