The Indian used car market is projected to contribute $70.8 billion in 2030, advancing at a rate of 14.8% from 2021 to 2030, ascribed to the rising demand for preowned cars in the nation, led by the increasing consumer focus on affordable high-quality vehicles and growing popularity for imported cars. In addition, the enhanced quality of used cars after extensive servicing is believed to increase the life of the vehicles, and hence people in India prefer to buy old cars and get them serviced for their enhanced appearance and functioning.
The organized players are witnessing rapid advance in the Indian used car market, due to the involvement of individuals instead of organizations creating trust issues among them. It results in increased opportunities for expansion of organized players, such as OEM and other big players, such as OLX Autos by OLX Group, Cars24 Services Pvt. Ltd., and Ouickr Cars, a subsidiary of Quikr India Pvt. Ltd. The increased involvement of organized players, and OEMs encourage the consumers to buy old cars, led by an increased sense of reliability and trust.
In addition, offline sales channel is projected to boost the sales of used cars in India in the near future. It includes traditional brick-and-mortar retail establishments that perform operations in a physical storefront, ascribed to the rise in consumer preference to purchase a used car from an established dealer, considering the cruciality of a good consumer experience, and completion of sales. Furthermore, consumers prefer to take a test drive of multiple options available for sale at a dealer’s retail establishment before investing the money.
The digital revolution has propelled the sales of used cars, by creating authenticated online retailing platforms for their sales. The surge in the sales of used cars in India online is attributed to increasing in the convenience of buyers to search for vehicle details and buyers. Moreover, the major players in the market are making consistent investments to expand themselves, and establish their offline or online retailing and classifieds presence.
Therefore, the rise in the popularity of used cars among consumers is led by the affordable prices of imported vehicles, and a strong belief that timely servicing enhances the life of cars on road.
