Occasion, semi-new or zero kilometers: how to differentiate them and sell better at your dealership

In the used vehicle market, the terms "occasion", "semi-new", and "zero kilometer" are often confused by both clients and professionals. For a dealership, knowing and correctly communicating these differences not only avoids misunderstandings but also enhances the sales experience and reinforces buyer trust.

Definition of each type of vehicle

Used car

• Vehicle older than 1 year and with one or more previous owners.

• Variable mileage, often between 30,000 and 150,000 km.

• It is often used intensively and may require reconditioning.

Semi-new car

• Vehicle less than 3 years old and less than 30,000 km.

• In many cases, it has had a single owner or has been a management or leasing car.

• Excellent condition, with legal warranty and optional extended warranty.

Zero kilometer car (km 0)

• Vehicle new registered by the dealership to meet sales objectives.

• Has less than 100 km, although it may have been on display.

• Price lower than a new car but with similar advantages.

Comparative table: occasion vs semi-new vs km 0

Advantages and disadvantages for the dealership

Used cars

• Advantages: Higher unit margin, easy access to varied stock.

• Disadvantages: Higher reconditioning cost, longer sales time, more demanding client.

Semi-new cars

• Advantages: Faster sale, high perceived value, good balance between price and condition.

• Disadvantages: Lower margin than occasion, more competition among dealerships.

Zero kilometer cars

• Advantages: Impeccable condition, good financing, easy to sell as "new at a better price".

• Disadvantages: High acquisition cost, limited stock, possible loss of value due to registration.

When to prioritize each type of car

• Occasion: Ideal when looking for high margin and there is the ability to recondition internally. Very useful in rural areas or with a public more sensitive to price.

• Semi-new: Perfect for urban clients, young families, and buyers who want security and reliability without paying for a new car.

• Km 0: Recommended in end-of-quarter campaigns, financing promotions, or online showcases. It's the perfect bait to attract qualified leads.

Commercial strategy by type of vehicle

• Occasion: Works well with outlet campaigns or flash promotions. Take great care in presentation and transparency (report, detailed photos, inspections).

• Semi-new: Highlight warranty and origin. Bet on consultative selling and lead nurturing with comparisons.

• Km 0: Position it as "new without waiting". Use it as a gateway vehicle to the website or showroom, especially if it can be financed at a good price.

How to explain these differences to the client

• Avoid jargon. Use simple comparisons: "new with registration", "used but like new", etc.

• Highlight warranties and origin. This builds trust and reduces doubts.

• Tailor the message to the client's profile. Price, use, financing, and availability are key.

Practical example

• "This zero kilometer car is like new but already registered, that's why it has a reduced price."

• "This semi-new car is only 18 months old, has a single owner, and extended warranty: perfect if you're looking for savings without sacrificing features."

• "This used car has more years, but it has been reviewed and certified: it's a great option if you're looking for a good price."

Best practices for classifying and selling each type

• In the digital showcase: Create clear filters and labels on the website or advertising platform: "Certified km 0", "Semi-new with warranty", etc.

• At the physical point of sale: Visually separate areas by type to simplify the customer experience.

• In commercial communication: Align the team's argumentation with the profile and expectations of the client.

Common mistakes that generate distrust

• Calling a car "semi-new" when it is more than 5 years old or has 80,000 km.

• Not explaining that a km 0 is already registered and may be close to reduced warranty.

• Publishing photos without showing the actual condition of the vehicle.

Market data in Spain (2024-2025)

• Used cars represent around 60% of the sold VO.

• Semi-new cars are growing in demand, representing already 25-30% of the market.

• Km 0 has slightly declined since the pandemic, although it remains strong in online channels and financed offers.

Frequently asked questions (FAQ)

What exactly is a semi-new car?

A car less than 3 years old, with low mileage, in excellent condition, and with an extended warranty.

And a zero kilometer car?

It is a new car registered by the dealership with very few kilometers, usually for display or testing.

Which offers a better margin for the dealership?

It depends on the type of client and channel, but used cars usually offer higher gross margin.

What does a client expect when buying each type?

• Occasion: Good price and transparency.

• Semi-new: Good condition and warranty.

• Km 0: Almost new product with discount.

Conclusion

Understanding the differences between a used car, semi-new, and zero kilometer is essential for the modern dealership. It not only allows adjusting the commercial strategy but also improves communication with the client and increases conversion at the point of sale or online channel.