SAN FRANCISCO, Sept. 14, 2020
SAN FRANCISCO, Sept. 14, 2020 /PRNewswire/ -- The global used car market size is expected to reach USD 2,150.6 billion by 2027, according to a new report by Grand View Research, Inc., expanding at a CAGR of 5.5% over the forecast period. Rising technological advancements such as the implementation of digital technology in market and the use of artificial intelligence to improve online buying experience are expected to boost the market demand over the forecast period. Furthermore, the growing adoption of used electric and hybrid cars has become one of the noticeable trends in the last few years. The increased number of new Electric Vehicle (EV) and hybrid cars registered over the last few years is now flowing through into the market. For instance: European countries such as Germany, the U.K., Spain, and Austria have registered significant volume sales for petrol, EVs, and hybrid vehicles.
Key suggestions from the report:
Read 100 page research report with ToC on "Used Car Market Size, Share & Trends Analysis Report By Vehicle Type (Hybrid, Conventional, Electric), By Vendor Type, By Fuel Type, By Size, By Region, By Sales Channel, And Segment Forecasts, 2020 - 2027'' at: https://www.grandviewresearch.com/industry-analysis/used-car-market
Globally, the growth of online sales channels also changed the overall consumption of the used cars. As online automotive retailing accounts for the small percentage of total used car sales, there is a significant growth potential for this segment. Moreover, automotive dealers use their websites as a sales and marketing generation channel to drive buyers to the showroom floor where the consumers complete the purchase. However, nowadays, consumers are looking for eCommerce options for the entire purchase. Also, there is a rise in the number of digital sellers such as Vroom; Carvana Inc.; eBay Motors; and Shift Technologies Inc. that specifically cater to online vehicle buyers, and increase the competitiveness of the market.
Escalating investment in the SUV segment is also one of the key reasons which cater to the demand traction in the market. Luxury brands have invested in launching vehicles in the SUV segment to add to their existing sports collection inventory. With the availability of supply chain network of second-hand cars in the market, there is huge traction expected in terms of volume sales in the market. Additionally, the significant change in people transporting habits such as opting for individual mobility with own vehicle are expected to create great upsurge in the market.
Further, the COVID-19 outbreak will increase the demand for compact and mid sizes cars at affordable prices. With the fear of getting infected, people are opting for private transportations rather than public transportation. This is one of the key driving factors for the used car sales in this pandemic period and aftermath. Furthermore, one of the notable phenomena emerging nowadays is the sales of petrol vehicles as fossil fuels are cheaper with the outbreak. Also, the impact of COVID-19 is visible in the on the automotive industry with the sales surge in the market for used cars despite plummeted growth in the new car sales segment. Majority of the customers are looking for more affordable means of transport that would be safe, and reasonable to buy (both ergonomically and economically). With employment uncertainties and variable cash flows in the economies, individuals would prefer used cars over new cars.
Grand View Research has segmented the global used car market based on vehicle type, vendor type, fuel type, size, sales channel, and region:
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Grand View Research, U.S.-based market research and consulting company, provides syndicated as well as customized research reports and consulting services. Registered in California and headquartered in San Francisco, the company comprises over 425 analysts and consultants, adding more than 1200 market research reports to its vast database each year. These reports offer in-depth analysis on 46 industries across 25 major countries worldwide. With the help of an interactive market intelligence platform, Grand View Research helps Fortune 500 companies and renowned academic institutes understand the global and regional business environment and gauge the opportunities that lie ahead.
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