Electric cars are starting to reach price parity with their ICE counterparts, according to a new white paper released by INDICATA. Entitled ‘Reaching used BEV and ICE car price parity’ the white paper tracks the used retail car prices of all fuel types from 2020-2024.
This includes using INDICATA data to track used prices of five popular BEVs from Citroen, MG, Vauxhall, Peugeot and Hyundai against their equivalent ICE models during 2023 and 2024.
“Price parity is vital for BEVs in the used market as consumers are now being offered all the latest fuel types at similar prices, where before used BEVs were commanding a 25-30% price premium which put buyers off going electric,” explained Dean Merritt, INDICATA UK’s head of sales.
“Price parity is fuelling demand just as the volumes of used BEVs, particularly ex-fleet cars, are increasing which is good news for the entire industry. In some cases, used BEVs are now cheaper than their equivalent ICE models,” he added.
The INDICATA white paper shows prices of used BEVs peaking in Q3 2022 where demand and the chip shortage weakened supply. But then prices fell as OEMs pushed discounted new and nearly new used BEVs into the market which coincided with rising volumes of two and three-year ex-PCP, leasing and salary sacrifice BEVs. This caused prices to crash by over 30%.
Full story at Electric cars reaching price parity, INDICATA white paper shows (am-online.com)
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