Arval UK promotes ex-fleet used EVs at special trade day

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LEASING broker funder Arval UK promoted the benefits of used EVs to used car dealers and supermarkets at a special event at its Swindon HQ.

The event featured presentations by Rachael Jones of Auto Trader on the future growth of the EV market and Arval consultant, Paul Marchment, to dispel used car buyer concerns about range and charging.

There was also the opportunity to try a selection of EVs available within Arval’s current used stock including the Volkswagen ID.3, BMW iX1, and the Ford E-Transit.

Arval UK’s head of B2B and remarketing partnerships, Stuart Chamberlain, said:

“The numbers of ex-fleet EVs that we are selling into the used car market is currently quite low – we disposed of around 1000 in the last 12 months via our dealer platform Arval MotorTrade and direct to consumers – but is set to grow exponentially in the next couple of years.

“We know that some dealers are quite advanced when it comes to their own retailing of EVs while others are approaching the subject with more caution. What we were aiming to do with this event was really show how the used EV sector is going to increase massively in size quite quickly, look at the key areas of concern for both retailers and their customers, and show the attractiveness and benefits of the vehicles available.”

“It’s all about taking proactive steps to increase education and adoption of the new technology to the benefit of everyone involved in the remarketing process.”

Stuart added that a properly functioning used market for EVs was crucial to the overall electrification of the UK’s car parc and that events such as the used EV trade day helped increase education and adoption of the new technology.

cap hpi on used EV residuals

Many EV models are now looking good value, with trade values for the majority of models, where a comparison is possible, actually now below ICE equivalents. There is potential for some to increase from their current used value position. We assume further deflation in future and have factored this into our forecasts. There are small positive adjustments for the handful of models which have seen the heaviest falls.

Dylan Setterield, head of forecast strategy at cap hpi – Used EV values are set to stablise

“The used sector is integral to the country’s EV transition and it’s important that used car dealers and their customers feel comfortable and are educated on their capabilities,” continued Stuart (pictured left).

“What we want to do is help build confidence and the feedback received from the event has been very positive. Especially, once dealers try the vehicles, many of their reservations evaporate.

“Used electric vehicles are already proving popular online search items on Arval Motortrade, our dealer platform, and Arval Autoselect, which is open to direct retail customers. It is all about fostering future demand as more and more units come to the end of their first company car or salary sacrifice lease.”

Arval also used the event, held at its UK headquarters in Swindon on Thursday 13 July, as an opportunity to promote understanding of EVs among its own staff who do not currently have an electric car provided through its company car or salary sacrifice schemes.

Rachael Jones, Auto Trader’s director of automotive finance, said: “The day was a real success, and it was a pleasure to be able to support Arval in providing such an engaging and informative session for retailers. It’s not only a brand-new technology, but there are also a lot of myths and misinformation surrounding EVs, particularly secondhand ones, so being able to see used examples, to ask questions, and most importantly, get behind of the wheel of one, is so important to boosting retailers’ understanding and confidence in selling-them. Our data shows a very rapid growth in the used EV market, and with electric set to make up over a third of the 0–5-year-old market by 2026, these sorts of events will play a big role in helping Arval’s retailer partners get ahead of the change.”

Arval is a funder partner of Broker News and was recently voted Broker Funder of the Year at the Broker News Awards.