Gravells roll out INDICATA used car platform to support its retail pricing

• • INDICATA provides used retail prices in real time
• • INDICATA data supports Gravells group weekly market reviews
• • Confidence in used EVs is starting to increase

South Wales-based Gravells has introduced INDICATA’s used car pricing and insights platform to its five Kia and one Renault Dacia dealership.

Typically, it sells around 5,000 used cars annually and it has onboarded INDICATA to ensure the group is in close touch with retail market pricing and overall used supply and demand in South Wales, particularly EVs.

“What INDICATA does is give my team transparency of the retail price in real time. It provides the granularity we need to confidently price new part exchanges coming in and to move current stock prices up or down based on market demand, stock levels and local pricing,” explained Jonathan Gravell, MD of Gravells.

“CAP is a reference point for so many when it comes to used prices but that starts with auction data and then works upwards which for retail can often be misleading. That’s where INDICATA is so valuable as data is based on retail pricing. We use data to give us a more of a holistic view of actual prices in the market which is particularly useful on models outside of our Kia, Renault, and Dacia franchises,” he added.

Gravells’ six general managers are responsible for both new and used car sales at their individual dealerships and they meet regularly to review the market and group used stock. That’s where conversations around price are shared with the additional support of INDICATA data and is where pricing decisions are made.

Gravells also have regular monthly individual site meetings with an INDICATA customer success manager to support their data or reporting requirements to assist them with stocking trends.

Gravells has represented the Kia brand since 2007 and manages one of the biggest used stocks in Wales and its important it knows where its stock stands in the market against written down values, but also how prices and stock mix compares with other dealers.

It has seen a strong used market in 2023 and with a strong EV offering Gravells have witnessed the fall in market prices for zero emission cars. However, according to Jonathan Gravell prices have fallen too far and prices are now too cheap.

“EV prices have fallen during 2023 as the volume of used cars coming into the market has increased. While we are realistic enough to know prices couldn’t stay sky high forever, they have now gone the other way and are too cheap. Prices are starting to come back and every month EV sales are rising.

“INDICATA keeps us very close to how prices are moving in the market, so we always know that our EV and ICE stock is competitively priced. This data is also valuable when pricing new models coming to the used market for the first time. It enables us to make a strategic decision as to the level of pricing when it appears for the first time on our forecourts.

“With used EVs it is all about market confidence both from the consumer and the dealer market which only comes with education and hoping they ignore some of the anti-EV narrative that keeps appearing in the press. Confidence in EVs is increasing and both our Kia and Renault brands are in a good place to take advantage of the increase in demand,” he added.