PSA Launches Used-Car Business Unit

PSA Group says the used-car business unit it launched on Sept. 1 should help it double the annual sale of used Peugeot, Citroen and DS vehicles to 800,000 units by 2021. Group CEO Carlos Tavares predicts the plan will quadruple the company’s used-car profits by then.

PSA also has entered into exclusive talks about a capital alliance with Aramisauto.com, France’s top online used-car retailer. The carmaker says a deal would help build online sales and promote the company’s array of financing, insurance, maintenance plans and warranty services. 

PSA’s used-car unit will operate in three channels. First, it will look for new sources for the group’s used cars and market them along with its “buyback” vehicles to used-car wholesalers. Second, it will develop and offer services that help used-car owners sell their vehicles directly to buyers.

Finally, PSA will accelerate efforts to sell its used cars to end customers through factory-backed used-car programs such as the existing Citroen select and Peugeot Occasion du Lion labels. The company is developing a similar program for its DS brand premium models.