Evolution of used car industry in India
India’s automobile industry is one of the prominent growing automotive sectors in the world and it ranks in the sixth position globally. According to a society of Indian automobile manufacturer report, annual car sales could reach 5 million vehicles by 2016 and more than 10 million vehicles by 2020.
Fastest growing pre-owned car market
In the absence of organized companies more than 60 percent of all used car sales were performed customer to customer business that is among closed relatives, friends groups, and associate with a circle of trust. The rest 40 percent of sales were accomplished by local unorganized dealers. In 2001, Maruti became the first chief organized player to enter the car market with the launch of its used car brand – Maruti True Value.
Today, the Indian buyers are awakened and paying more attention towards the positive significance of second hand cars. These pre-owned cars offer higher flexibility, easy affordability and reach to the prospective first time or repeated car owners. The economical prices of second hand cars facilitate all types of consumers.
- First-time car buyers: If you are new to a pre-owned car market then used car buyers get technically advanced and wide varieties of cars at fair prices within their budget.
- Second car at economical price: There are numerous Indian families have a requirement for more than one car and used innova Mumbai can provide them a more economically viable option.
- Upgrade to a bigger car at a lower budget: This is especially designed for the people who want to upgrade from two-wheeler to a four-wheeler without stretching their financial plan.
There are other aspects responsible for the growing popularity of used cars is the horde of quality choices available and rise in income level. Also, added advantage that make buying a pre-owned car a popular practice, such as easy finance option, lower rate of depreciation, hassle-free paperwork along with appropriate history. All this has created circumstances where people want to upgrade their vehicles more frequently.
There are following reasons for the evolutions of second hand car industry in India are:
- Improved quality: New manufacturing products are technically advanced and offer longevity with value added features to cars thus users enjoy the privilege of improved quality in second hand cars.
- Better maintenance: Upgraded quality and great performance of mechanical segments make your car easier and better to maintain.
- Less usage: End number of metro families who have more than one car and the second and third car is relatively less driven and well maintain. These can be best used cars to be accepted and offer excellent value for money to car consumers.
With the certified organized players stepping in, the pre-owned car market has benefited from economical deals, assurances, better retail network, loyalty, transparency, easy availability of finances. They also allow potential buyers to select and compare cars from diverse brands and segment. Thus both seller and buyers are assured of their investment.