Certified pre-owned sales have topped 2 million units for the year.
According to a new report from Cox Automotive, CPO sales are up 9 percent, 112,799 units, from the first nine months of 2022.
“Clearly, CPO sales show demand is there, partly due to the affordability challenges that persist in the new market,” said Chris Frey, senior manager of Economic and Industry Insights at Cox Automotive. “The only factor holding back CPO is limited supply.”
In September sales were up 14 percent from the same month in 2022, with 254,976 vehicles sold. That followed August’s strong sales of approximately 266,000 CPO units sold.
“CPO sales over the last three months have been the highest in any month since July 2021,” Frey said. “We are still waiting for the expanded eligibility programs noted earlier this year to fully bear fruit. Some brands have looked stronger recently, and those could be the early signs of success. At the same time, improving new-vehicle inventory levels and higher sales incentives are keeping some buyers in the new market – not in CPO.”
CPO sales are expected to remain strong through the end of the year. Cox has upgraded its forecast for CPO sales to finish at 2.7 million units.
NIADA offers Certified 360 to help independent dealers take advantage of the CPO market and compete with the franchise dealers’ programs.
NIADA developed the program by working with the top administrators in the industry AUL, GWC Warranty, ProGuard and Southwest Dealer Services. NIADA also partnered with Carketa to provide a completed digital 200-point inspection to help dealers streamline their inspection process.
“We put together highly respected administrators known for their claims and customer service experience,” said Jeremy Beck, NIADA Vice President of Dealer Development. “They provide a level of confidence for the independent car shopper. These administrators are respected by dealers and known by customers.”
The program is easy to implement and affordable. The NIADA Certified 360 covers vehicles up to 10 years old with up to 125,000, offering three term and mileage offerings:
• 3 months or 3,000 miles for $199
• 6 months or 6,000 miles for $299
• 12 months or 12,000 miles for $399
For information about the NIADA Certified 360 Program and connect with an administrator, visit niada.com/certified-360.
