Gravells rolls out Indicata to support used car retail pricing

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

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

Jonathan Gravell, MD of Gravells, said: “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.”

Gravell said Cap HPI’s data is used as a reference point for so many when it comes to used prices, but he said it starts with auction data and then works upwards, which he believes can be misleading for retail pricing.

He said: “That’s where Indicata is so valuable as the data is based on retail pricing.

“We use data to give us a more holistic view of actual prices in the market which is particularly useful on models outside of our Kia, Renault, and Dacia franchises.”

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 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 buoyant 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 Gravell, prices have fallen too far and prices are now too cheap.

Gravell said: “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.”

Gravell said the group is using Indicata data to help price EV models that are new to the used market.

He said used EVs is all about market confidence form the consumer and the dealer market, which only comes with education, as well as ignoring some of the “anti-EV narrative that keeps appearing in the press”.

Gravell added: “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.”

• Next month's AM Live features a dedicated session on making the most of used EV profits. The show is being held on November 9 at the NEC, Birmingham. Register now for your free ticket to attend.