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CPO sales continue to rise

August 17, 2023

Certified pre-owned vehicle sales continue to show great strength in 2023.

Through July, CPO sales are up more than 7 percent compared to the same time period in 2022, according to a new report from Cox Automotive.

In July, CPO sales were estimated at 231,128 — an increase of 24,700 from July 2022. CPO sales were also up 3.3 percent or 7,400 vehicles from June.

“Certified pre-owned sales have been hotter than expected,” said Chris Frey, senior manager of Economic and Industry Insights at Cox Automotive in a press release. “CPO is up 12 percent versus last year and up 3.3 percent from June alone. Last month’s sales were up 17 percent for domestics, 8 percent for European brands, and up 15 percent for Asian makes.”

CPO sales in July outperformed retail sales, which were up 2.1 percent from July 2022.
Several dealers around the nation are taking advantage of the CPO market, utilizing NIADA’s Certified 360.

NIADA launched in January Certified 360 in January to give independent dealers a program to compete with franchise dealers. 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. 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,” 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 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.

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.