How is the India Pre Owned Premium Car Market positioned?
Market Growth: The market registered a CAGR of ~ % and ~ % on the basis of GTV & volume respectively during 2013-2018. This has been due to expansion of new car sales, launch of new models customizations, decline in average ticket size, introduction of new sales channels and others.
Threat of New Entry: As the luxury car market gets more lucrative, other foreign players are expected to enter the market. Companies need to work on maintaining its reach so that the impact of market entry by other major known brands may not impact its market.
Demand expanded primarily owing to rise in the number of HNI’s & per capita disposable income. Change in mindset of domestic population for favoring used cars over new cars also facilitated the shift.
Moreover, the crunch in terms of easy credit (cash) has led to customers postponing their decision to buy pre-owned cars, leading to a fall in volume. ~ % dealers are now required to bear a higher tax burden under GST in comparison to old VAT structures. This has also pushed the demand for car financing.
India Premium Used Car Market Segmentation
By Average Ticket Size, 2013-2018
The market witnessed a gradual decline in the average ticket size registering a CAGR of ~ % during 2013-2018. Average price of premium vehicle is around INR ~ lacs higher in the organized network owing to certifications involved, one stop solution for RC transfer, insurance transfer, financing, warranty offered, genuine spare parts along with premium services extended. The prospective customers have shifted their buying decision towards premium used car, instead of opting for a new car.
By Market, 2018-2023
The market has been captured by the unorganized players contributing more than ~ % of the entire sales volume in 2018. Similar trend is expected to continue in the future with a minute dip witnessed in favor of organized market space. The organized sales volume is expected to showcase growth at a very strong CAGR of ~ % while the unorganized sales volume will grow at ~ % during 2018-2023.
By Car Brand/Make, 2018
Mercedes Benz has been the market leader in terms of sales volume capturing highest sales share in new & used premium car segment in 2018. BMW has been the second contender in respective markets in 2018. Although Mercedes Benz’s average ticket size is higher than BMW, its excellent service, elated car experience & regional expansion has contributed to these numbers.
India Pre Owned Premium Car Market Future Projections and Outlook to 2023
Future Trends in India Pre Owned Premium Car Market
Entry of New Player in Online and Offline Retailing
Higher Auto OEM’s Involvement in Promoting Car Business
Availability of Innovative Purchase Options
Shift of Regional Focus to Tier 2 and Tier 3 Cities
Retail Network Expansion
Sales of Electrical and Hybrid Cars
Key Target Audience:-
Online Auto Listing Websites
Premium Car Companies
NBFCs, Insurance Companies and Banks
Used Car Dealers
New Market Entrants
Time Period Captured in the Report:-
Historical Period: 2013- 2018
Forecast Period: 2019 – 2023
Key Topics Covered:-
India Pre Owned Premium Car Industry
India Pre Owned Used Car Market
India Used Car Industry
India Pre Owned Premium Car Market Revenue
Used Luxury Cars For Sale In Mumbai
Number of Branches of Car Trade India
Used Luxury Car Market India
Used Car Finance By BMW India
Resale Value Analysis Of Used Car India
Dealer Sales Luxury Cars India
BMW Pre Owned Premium Car Market Sales India
India Used Car Market Sale By Dealership
For more information on the research report, refer to below link:-
US Vehicle Finance Market Outlook to 2023 –By Banks and Non Bank Entities including Captives and Credit Unions and Finance Companies (Auto Loan Portfolio), By New and Used Vehicles, By Type of Vehicle Financed (Passenger Cars and Light Trucks), By Loan Time Period and By Risk Category
Ankur Gupta, Head Marketing & Communications