The return of new car oversupply demands a digital strategy

• Dealer groups deploy tech strategies to overcome overheated new car market

• Real-time vehicle inventory oversight and digital management helps avoid squeezed margins

• Our ViHUB platform enables dealers to manage, market and sell pipeline stock similar to used

As the market gears up for the September plate change month, the return of higher volumes of new cars in group stock after almost five years of several weeks’ manufacturer lead times is forcing dealer group leaders to implement new strategies.

Some dealer groups are already putting sophisticated new car digital strategies in place to better manage the influx of new cars to ensure the fastest possible turnaround to get cars on the road and thereby avoid costly days in stock.

Our ViHUB, stock inventory management system which takes vehicle information from several disconnected systems to create one rich source of data before automatically feeding online vehicle marketing channels such as Auto Trader, Motorway and Carwow, is providing the solution to potential new car oversupply.

We are in talks with a number of car dealership groups about how to tackle their new car oversupply. Our ViHUB platform, which provides clear oversight of group stock, a vehicle’s status and online marketing, enables swift decision making and fast turnaround avoiding lengthy days in stock when a vehicle is more likely to be discounted to facilitate a quick sale.

Our CEO Andy Whitehair: “When the pandemic hit in 2020, vehicle production came to a halt and a new normal of manufacturer to order came into play. Consumers and retailers adjusted quickly and quietly which led the sector to believe that the recalibrated status quo of longer lead times, fixed new car pricing and lower volumes was here to stay. The scourge of new car overproduction, discounting and pre-registered vehicles had been confined to the history books. But fast-forward to 2025 and it seems the old pre-2019 normal is back and that’s not necessarily good news for profit margins.

“We’re already talking to clients about how to deploy ViHUB, which whilst originally devised for used car inventory management, marketing and sales, can be used in the same way for new pipeline vehicles even if they are yet to be registered and may well remain in manufacturer stock. Because ViHUB provides real-time information, it removes the risk of retailing a new stock vehicle which another dealership has sold.

“New vehicles can be marketed to potential buyers in the same way as used vehicles enabling dealers to reach a wide, online, in-market audience whilst marketing to used car buyers who may switch to new for the right car.

“The latest industry stats and trends do not paint a rosy picture for new car sales and it is the dealers who are implementing careful, well thought out strategies now which will avoid some larger bumps in the road set to come our way as this year comes to a close.”