AFTER more than four decades in the car auction business, Shannons this week said the high level of competition and sales options in the Australian market led to it deciding to cease its quarterly vehicle auctions.
The decision, however, does not affect the Shannons Insurance operations which will continue as Australia’s leading insurance provider for motoring enthusiasts. The company will also continue its active involvement in the car club movement through the Shannons Club.
Shannons had indicated that change was coming after telling customers some months ago that it would cancel its November auction. It said it would update customers “when we had further news to share.”
“The car auction landscape in Australia has changed significantly in recent years with an increasing number of offerings available in the market,” said Shannons Auctions senior leader Paul Vernall in a letter to clients.
“Shannons has been at the forefront of catering to the unique needs of motoring enthusiasts for many years, and our auctions business has been a key part of our offering.
“Recent years have seen a notable increase in the options our customers have in buying and selling vehicles and plates, which has prompted us to review whether auctions are still a unique need alongside Shannons Insurance and Club.
“This review has resulted in a decision that Shannons will no longer facilitate auctions as part of its core business.”
The letter said the decision would “not change Shannon’s innovative nature and we will continue to evolve the business to meet the unique needs of our community.”
“ Shannons will continue to be Australia’s leading insurance provider for motoring enthusiasts and will continue its active involvement in the car club movement through the Shannons Club, Australia’s largest motoring enthusiast community,” Mr Vernall’s letter said.
“Shannons will also continue to look at ways to support its customers including ramping up key event-based activity.”
Shannons has been holding vehicle and automobilia auctions since 1981.
The auctions were seen as the reference guide for classic car and automobilia pricing and were also used as a guide to the health of the market.