21424
Used car market on a roll, set to grow 11%
Posted on 11 Jul 20125,068 Views Comments
India's used car market, roughly the same size as the new car market, will grow 10-11 percent this year compared to the 3-4 percent growth expected in the new car market
The sentiment slowdown may have hit new car sales but the used car market is still in top gear. According to a top industry official, India's used car market, roughly the same size as the new car market, will grow 10-11 percent this year compared to the 3-4 percent growth expected in the new car market.
"Typically, we have seen a 5-7 percent differential between the sales growth in the used and new car markets," said Rajeev Dubey, M&M's president, group HR and after market and member of the group executive board.
"This year, the organized sector in the used car business should grow about 15-17 percent."
The good news is that used car sales are typically less affected and see a slower fall in growth than new cars in a market hit by slowdown. The potential, he says, is huge given the trajectory that most auto economies follow. "In the US, for instance, for every one new car sold, the industry sells around 2.8 used cars," he said. "In India, that ratio is still 1:1. As the economy develops and more new models are introduced, people change cars more frequently and the ratio of old to new also keeps growing."
Do you like this story?
- Previous Story
- Next Story
Readers' opinions ( 0 )
Post a Comment
Post a CommentBajaj can launch its passenger car RE60 : Video
by ET Now
The two-wheeler major has invested Rs 550 crore...
Aston Martin CC100 Speedster Concept : Official Video
by Team ZigWheels
The CC100 Speedster Concept was specially...
'Cannes in a Van' Film Festival 2013 : Video
by Team ZigWheels
Movie fans at the 2013 Cannes Film Festival will...
The Ferrari Way : Special Coverage
Ferrari has been voted as the most powerful brand in the world according to Brand Finance and the...
Chevrolet Enjoy : Special Coverage
Designed to take on everything from the Maruti Suzuki Ertiga to the Toyota Innova the Enjoy is...
