COX AUTOMOTIVE – Certified pre-owned (CPO) sales in February rose to 191,860 units. This total is up 15.3% from January’s 166,309, but down nearly 8.5% from February 2021. February’s CPO result is the highest since October 2021 and interrupts a six-month downward trend. CPO sales have been in decline since having strong sales in Q2 and Q3 of 2021.



In 2021, the number of CPO buyers who were only shopping for a new vehicle at the start of their purchase journey increased by 226%, according to findings from the 2021 Cox Automotive Car Buyer Journey Study1. Despite inventory frustrations, dealers delivered a great customer experience with 76% of CPO buyers indicating they were highly satisfied with their overall experience at the dealership/retailer where they purchased their vehicle.

Buyers identify five core values that influence their decision to buy a certified pre-owned vehicle:

  • A CPO vehicle offers me peace of mind – 53%
  • I trust CPO dealers more than I trust used-vehicle dealers – 41%
  • A CPO vehicle is a better value than a new vehicle – 38%
  • CPO allows me to buy a luxury vehicle in my price range – 35%
  • CPO vehicles allow me to “trade up” or upgrade my current vehicle – 25%

“Certified pre-owned (CPO) programs can be a good way for consumers to bridge the gap between new and used vehicles,” said Brian Moody, executive editor, Autotrader. “Many shoppers want the security of a new car and the accompanying warranty but have been priced out of the market in certain segments. Used cars are often more affordable but lack the certainty of a new car warranty. CPO vehicles offer the best of both worlds, often with new car financing rates and warranties that extend up to 100,000 miles.”

A recent Autotrader article highlights some of the best CPO deals on 2017-2021 models. Many automakers offer deals and incentives to help attract buyers to their CPO programs – ranging from 0.99% APR financing for 36 months to 1.9% financing for 60 months. 

Cox Automotive is forecasting a strong year for CPO at 3.0 million units, an increase year over year and above the record set in 2019. This forecast is supported by what is expected to be a record tax refund season and the attractiveness of certified pre-owned vehicles to consumers desiring like-new vehicles.

Originally posted on F&I and Showroom

About the author