Dublin, Sept. 13, 2023 (GLOBE NEWSWIRE) -- The "Used Cars Market By Vehicle Type (Hatchback, Sedan, SUV), By Propulsion (ICE, Electric and Hybrid), By Distribution Channel (Franchised Dealer, Independent Dealer, Peer-to-peer): Global Opportunity Analysis and Industry Forecast, 2021-2031" report has been added to ResearchAndMarkets.com's offering.
As the automotive industry continues to advance, the cost of purchasing new cars is on the rise. This trend of increasing prices for new cars has made them more expensive for the average person, year after year. Interestingly, despite this ongoing price escalation, the average lifespan of cars is decreasing. This decline in lifespan can actually benefit those interested in buying older cars. The reason behind this is that manufacturers are releasing updated versions of their vehicles more frequently compared to a few years ago. Consequently, there is a growing availability of modern used cars in the market. This situation presents an opportunity for buyers to strike favorable deals for high-quality used cars with relatively lower prices. This aspect is expected to drive the sales of used cars in the consumer market during the projected period.
Additionally, used cars tend to retain their value better than new cars, as they have already gone through the initial depreciation phase. This retention of value is in contrast to new cars, which experience rapid depreciation in the first few years. This phenomenon can be advantageous for businesses. Used cars often come with lower insurance costs compared to new cars, which can lead to reduced premiums for businesses. Furthermore, the initial cost of purchasing a used car is significantly lower than that of a new car. This affordability factor can greatly benefit new businesses or those aiming to save on costs. These factors are expected to contribute to the expansion of the market in the coming years.
Sedans are well-known for their comfort and luxurious features. Factors that drive demand for sedans include comfort, smooth city rides, spacious trunk areas, lighter weight, better fuel efficiency, and speed. Stricter emission standards have also increased the demand for electric vehicles (EVs), with many offerings in the market being sedan models due to their affordability and reasonable pricing. Therefore, the sedan segment within the used car market holds growth potential due to the comfort and increased space they offer.
The used car market's growth is propelled by various factors, including the high prices of new vehicles that make affordability a concern, the rising demand for off-lease cars and subscription services from franchise dealers, leasing offices, and car dealerships, as well as increased investments by major automakers in the used car market. However, challenges like unorganized used car sales and a lack of regulation are significant obstacles to the market's growth.
The market segmentation is based on vehicle type, propulsion type, distribution channel, and region. Vehicle types include hatchbacks, sedans, and SUVs. Propulsion types encompass internal combustion engine (ICE) and electric & hybrid options. Distribution channels consist of franchised dealers, independent dealers, and peer-to-peer sales.
Key Benefits for Stakeholders:
- Quantitative analysis of market segments, trends, and dynamics from 2021 to 2031 helps identify prevailing opportunities.
- The research provides insight into key drivers, restraints, and opportunities in the used cars market.
- Porter's five forces analysis sheds light on buyer and supplier dynamics, aiding profitable business decisions.
- In-depth analysis of market segmentation aids in identifying market opportunities.
- Mapping revenue contributions by major countries in each region provides a comprehensive understanding of the global market.
- Market player positioning facilitates benchmarking and understanding of their current position.
- The report offers analysis of regional and global trends, key players, segments, application areas, and growth strategies in the used cars market.
Key Market Segments:
By Vehicle Type:
- Hatchback
- Sedan
- SUV
By Propulsion:
- ICE (Internal Combustion Engine)
- Electric and Hybrid
By Distribution Channel:
- Franchised Dealer
- Independent Dealer
- Peer-to-peer
Key Market Players:
- CarMax Inc.
- Lithia Motors, Inc.
- Hendrick Automotive Group
- Mahindra First Choice
- TrueCar, Inc.
- Asbury Automotive Group, Inc.
- Carvana
- Group1 Automotive Inc.
- AutoNation, Inc.
- cars24
Market Dynamics:
Drivers:
- High prices of new vehicles and affordability concerns.
- Increasing demand for off-lease cars and subscription services.
- Growing investment by major automakers in the used car market.
Restraints:
- Unorganized used car sales.
- Lack of regulation.
Opportunities:
- Increase in organized/semi-organized sales in emerging countries.
- Surge in the electric vehicle market globally.
- Advent of e-commerce and online technologies.
- Demand for car-sharing services.
For more information about this report visit https://www.researchandmarkets.com/r/d3ke1k
About ResearchAndMarkets.com
ResearchAndMarkets.com is the world's leading source for international market research reports and market data. We provide you with the latest data on international and regional markets, key industries, the top companies, new products and the latest trends.
Attachment
