By Andrew Mee, Senior forecasting editor at Cap HPI
To what extent colour impacts on value depends on factors such as sector and model, but one thing is for certain, tastes change in line with fashion.
Take white for example. A decade or more ago this was a colour very much out of favour, but manufacturers recognised the opportunity to use white in the launch campaigns of some key new aspirational models, and this struck a chord with drivers who were ready for something striking and new.
White established its popularity very quickly and edged out colours that dominated the market at that time, such as black and silver. Black now appears to be bouncing back but Silver has yet to do so. Retro colours such as orange, yellow, bright green and even gold and bronze are also showing a resurgence.
Increasingly, manufacturers are offering personalisation options on cars, and these often include contrasting colour schemes such as a different colour roof.
These colour combinations can also affect values, both positively and negatively.
Colour combinations are a matter of personal taste and what might be suitable for one might not be for another. I would advise fleets to be cautious when considering more than one colour option and think about any impact on value.
Analysis of Cap HPI’s trade sales database, covering 1.5 million vehicles up to 10 years old sold over the past 12 months, reveals some interesting insights into the impact of colour on sales values.
White has been consistently the best performer, achieving the highest values. The next best performing mainstream colours are grey, black, red, blue and silver, with green bringing up the rear with values around 16% lower than white.
The performance of colours, especially niche colours, also varies by sector. For example: black and silver outperform white by 5% in the luxury executive sector. Red is 5% behind white in the sports sector and 10% behind in the MPV sector.
You need to ask yourself if five years from now will your small purple motor still be trendy or will it be worth less simply because of its colour?
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