New car sales figures, released today, show month on month sales were down 6.2% compared to June last year. The year to date is down 7.13% but the market is on track to meet the full year forecast of 1.93 million. Fleet volumes performed well in June, growing by over 2%, but the retail market declined by 22.7% in the month.
Sue Robinson, Director of the RMI National Franchised Dealers Association which represents franchised car and commercial vehicle retailers across the UK and Northern Ireland, commented “The fleet market has performed well, however the retail market is still showing weakness highlighted by the months poor registration performance in this sector.
“The market reflects the still weak consumer confidence caused by inflation; job uncertainty and Government spending cuts. To have a major positive impact on consumer buying, a return of consumer confidence is vital.
“Dealers need manufacturers to support the market and encourage customers to return to the showroom. There is a need for marketing and incentives that are attractive to the consumer, particularly where the consumer may save money by replacing an older, fuel hungry and less reliable vehicle.”