With sales of new vehicles dropping during the first quarter, recent moves by Honda and General Motors help illustrate the growing importance of pre-owned vehicle sales.
Honda is expanding and re-naming its certified used car programs, today launching HondaTrue Used and Acura Precision Used. With the new business units, American Honda says it is leading an industry trend that is focusing on used vehicle sales.
Certified Pre-Owned, or CPO, programs have been around for a while but have taken on new importance for carmakers as the value of used vehicles has increased during the cuts in new vehicle production around the globe during the past two years.
Honda, Acura beef up CPO programs
Until now, CPO programs, which involve comprehensive inspections and some rehabilitation has well as warranties of 12 months or longer in some cases, are described as accident-free, low-mileage vehicles less than seven years old.
HondaTrue Used, Honda now offers certified used vehicles up to 10 years old, available for purchase. As part of the company’s program, vehicles undergo a 112-point inspection.
They also get a 100-day/5,000-mile limited warranty, complimentary oil change, up to 12 months or 12,000 miles of emergency roadside assistance, trip-interruption expense reimbursement and concierge services, as well as a complimentary three-month trial of SiriusXM and three-day/300-mile exchange policy.
Honda became the first mass automaker to offer Honda used vehicles from dealer inventories on its website in 2020. With this expansion of its used vehicle offerings, Acura becomes the first luxury brand to offer certified used vehicles up to 10 years old with Acura Precision Used.
Getting a piece of the pie
Used car sales are through the roof, Honda officials noted.
“We now have competition in the big box stores, but these retailers take more of a commodity approach to the product,” Honda officials noted in the announcement. “So, this is an opportunity for Honda and Acura to establish new and lasting relationships with younger buyers and our quality used vehicles.
“That is why we started this new branded used car initiative, welcoming these new customers to the Honda and Acura brands, and work to retain them through an excellent product and service experience and ultimately turn them into new car buyers.”
The expansion of the Honda and Acura CPO vehicle programs offers wider opportunity for young, first-time buyers to experience the Honda and Acura brands and their award-winning vehicles, with the peace of mind of a Honda- or Acura-backed limited warranty, according to Honda, Honda added.
GM gets applause for action on used cars
GM, meanwhile, announced a program aimed at preventing the sale of used vehicles involved in a safety-related recall if the vehicle has not been repaired yet on its new soon-to-be-launched used car platform, CarBravo.
In a rare move for auto safety advocates, leaders of nonprofit consumer groups usually at odds with auto manufacturers, today commended General Motors for the auto giant’s recently announced commitment not to sell used vehicles with unrepaired safety recall defects on its soon-to-be-launched used car platform, CarBravo.
The Consumer Federation of America and Center for Auto Safety asserted in a joint release that many car dealers across the country sell hazardous used vehicles with known safety recall defects. Those defects cause car fires, braking issues, seat belt failures, and in the case of the Takata airbag scandal, defective airbag components “that propel metal shrapnel into the faces and torsos of drivers and passengers, too often causing severe injuries and fatalities.”
Currently, the only industry in America that openly accepts the selling of unsafe recalled products to the public is the auto industry, they alleged.
“As the first automaker to make this commitment, General Motors is taking a giant step forward in protecting the public from hazardous vehicles. GM is recognizing what auto safety advocates have maintained for years, which is that vehicles with safety recall defects can injure occupants and others who share the roads with these problem cars,” said Jack Gillis executive director of the Consumer Federation of America.
Overall, the car shopping experts at Edmunds forecast sales of new cars and trucks will drop 15.2 in the first quarter of 2022.
Hay I’m looking for a 12 year old Honda addesy pre owned