The Indian pre-owned car sector is climbing quietly and may soon outpace the new car market in terms of total sales, as according to an analysis by top industry experts. The astounding revelation seems incomprehensible at first but after considering the number of vehicles added daily on roads and the new car launches in the market, the scenario becomes clearer.
Reportedly, the sales figures indicate that the user car market is slated to overtake the new car market soon, besides the differential is believed to exceed more than 50 per cent in the upcoming five years. Further, it has come up that at present; the Indian new passenger car market is growing at a rate of 10 per cent annually, while the pre-owned car sector is set to climb up by 12-13 per cent.
With the ever increasing cars on roads, those willing to upgrade their garage are left with no alternative but to sell their beloved car to the second party, with or without the assistance of a third party. The Indian automobile sector is the world's sixth largest market and features among one of the fastest progressive industries across the globe. Thus, with the number of vehicles added each year, most of the top car makers operating in the country are leaving no stone unturned in luring the Indian buyers towards their pre-owned car stores. The used car sector seems to have all the necessary prerequisites to become a bigger power than the new car market.
Top auto giants like Maruti Suzuki India Limited (MSIL) along with Mahindra and Mahindra (M&M) Limited have their own used car dealerships in the country. MSIL operates under the 'Maruti Suzuki True Value', while M&M has its 'Mahindra First Choice' in the same respect. Maruti Suzuki True Value is the country's largest certified pre-owned car dealerships network covering over 210 cities with about 358 outlets, providing all car related services under one roof. Mahindra First Choice offers Indian consumers with refurbished used cars that had been certified after rigorous 118 point checks at very attractive prices. Reportedly, Mahindra First Choice Wheels, a subsidiary of M&M, is already the numero uno in the e-auction automobile market and currently contributes to more than 35 per cent of the entire e-auction space.
Hyundai Motor India Limited (HMIL), the South Korean auto giant and the country's largest exporter of passenger cars, offers the domestic audience its good quality used cars at cut-throat retail values. The Korean car maker has its own used car brand called 'Hyundai Advantage' and the vehicles are certified by Hyundai Engineer using 147 check points. The used vehicles also come with Hyundai Warranty up to 1 year or 20,000 km (whichever applies earlier from the date of delivery) and two free services.
