REMARKETING: Alternative fuels make inroads, but many fleets still sceptical
25 June 2013
The jury remains largely out on how values of alternative-fuel vehicles are expected to pan out in future, though "steady" seems to be the most common opinion for better established options. The VRA and Toyota believe that certainly applies to hybrids, as Davies says: "Values [for hybrids] will stay fairly consistent, especially in this market when supply in general of used cars is relatively low. In the future the supply and demand economics will kick in and if there are too many in the market prices may fall, if supply remains limited prices will stay strong."
McCall adds: "We would therefore expect [hybrid] values to remain steady, but fluctuating in line with the usual seasonal variations."
Henstock maintains that hybrids are popular but still a "niche" product within the marketplace and, along with other alternative-fuel vehicles, are still lagging behind that of petrol and diesel vehicles: "BCA's research suggests motorists like the idea of eco motoring because it is friendlier on the wallet, but remain unconvinced about how they might obtain it. Demand for hybrid-fuelled cars is niche at best, while support for traditional fuels - particularly diesels - remains very strong."
Finally, Amos sums up with a broad set of predictions for used alternative-fuel vehicles: "Hybrid and electric will continue to be explored. Hybrid is far more tried and tested and users are no longer as scared of the newer technology. This will continue to improve and as such so will user confidence. This should continue to grow.
"Until electric vehicles are more usable and their prices come down, the demand won't grow substantially. Range extenders are now starting to become a usable option. But they are too costly to buy against the diesel alternatives for many buyers."