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Certified pre-owned sales continue strong start in ’23

April 14, 2023

Certified pre-owned sales continue to rise to start the year.

Through March, CPO sales are up 10 percent, 59,000 units, compared to the first three months of 2022, according to new numbers this week from Cox Automotive.

“CPO sales have seen a pop to start the year compared to 2022,” said Chris Frey, senior manager of economic and industry insights at Cox Automotive, in a news release. “The monthly average sales volume of 212,000 is up nearly 7,000 units versus last year’s monthly average. As we’re clawing our way back to pre-pandemic levels, shifts in strategies for CPO may be bearing fruit. While we don’t have full visibility into what age and mileage constitute total sales, expanding the pool of eligible vehicles could be a boon to the CPO market.”

CPO sales in March were up 4.2 percent or 9,000 units from March 2022. The 229,542 units sold were up more than 23,000 or 11 percent from February.

To compete with the franchise dealers’ programs, NIADA launched in January CPO 360. The CPO program helps independent dealerships increase buyer confidence and their profitability.

“The independent world never had a true CPO program. This is a true CPO limited warranty program,” said NIADA Vice President Jeremy Beck. “It allows the independent dealer to be on par with manufacturers and have a leg up on other independent dealers.”

NIADA developed the program working with the top administrators in the industry AUL, GWC Warranty, ProGuard and Southwest Dealer Services.

“We put together highly respected administrators known for their claims and customer service experience,” Beck said. “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 CPO 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 360 Program and connect with an administrator, visit niada.com/certified-360.

NIADA Author

The National Independent Automobile Dealers Association (NIADA) is among the nation’s largest trade associations, representing the used motor vehicle industry comprised of some 40,000 licensed used car dealers. Since 1946, NIADA has represented the voice and interests of used car dealers at the federal level in Washington D.C. Coupled with its state association network across the country, NIADA’s grass-roots framework provides a dual layer of advocacy unmatched in the used motor vehicle industry. For 75 years, NIADA has engineered programs and leveraged technology to fulfill its mission to advance, educate and promote the independent used car dealer. NIADA members subscribe to a strict Code of Ethics of duty, honor and integrity, and believe in the advancement of small business in support of the free-market system. More information about NIADA, visit www.niada.com.