The advent of organized players in the market and increased competitiveness among the new players has been one growing spot in the used car industry. Initially, automobile manufacturers only focused on the new vehicle business with the exclusion of used cars. A used car is the second-hand vehicle that is available for resale. The inability of customers to buy new cars because of low-income expanded the market for used cars globally. Besides, it helps in offering different options to the customers, and making better purchase decisions.
The global used cars market size is predicted to reach over USD 1,332.2 billion by 2028. This can be ascribed to the growing demand for off-lease cars, and subscription service by the franchise, leasing offices, and car dealers. Besides, the changing attitude of consumer’s towards used cars is also the key factor driving the market growth for used cars.
However, unorganized sales of used cars and lack of regularization are hampering the market growth. Furthermore, advent of e-commerce & online technologies, steady increase in organized/semi-organized sales in emerging countries, rise in electric vehicle business across the globe, and demand for car sharing services are likely to provide lucrative development opportunities for the global used cars market in the forthcoming years.
Used Cars Market Scope
|Forecast Unit||Value (USD)|
|Revenue forecast in 2028||USD 1335.15 billion|
|Growth Rate||CAGR of 8.3% during 2021-2028|
|Segment Covered||Vehicle Type, Fuel Type, Distribution, Regions|
|Regions Covered||North America, Europe, Asia Pacific, South America, Middle East & Africa|
|Key Players Profiled||Asbury Automotive Group, Inc., AutoNation, Inc., Big boy Toyz ltd, CarMax Business Services, LLC, Cars24 services private limited, Group1 Automotive Inc., Hendrick automotive group, Lithia Motors, Inc., Mahindra First Choice Wheels Ltd., and TrueCar, Inc..|
Key Segments of the Global Used Cars Market
Vehicle Type Overview, 2019-2028 (USD Million)
Fuel Type Overview, 2019-2028 (USD Million)
Distribution Channel Overview, 2019-2028 (USD Million)
- Franchised dealer
- Independent dealer
Regional Overview, 2019-2028 (USD Million)
- Rest of Europe
- Rest of Asia-Pacific
Middle East and Africa
- South Africa
- Rest of Middle East and Africa
- Rest of South America
Reasons for the study
- The purpose of the study is to give an exhaustive outlook of the Global used cars market. Benchmark yourself against the rest of the market.
- Ensure you remain competitive as innovations by existing key players to boost the market.
What does the report include?
- The study on the global used cars market includes qualitative factors such as drivers, restraints, and opportunities
- The study covers the competitive landscape of existing/prospective players in the global used cars industry and their strategic initiatives for product development.
- The study covers a qualitative and quantitative analysis of the market segmented based on Vehicle Type, Fuel Type, and Distribution Channel. Moreover, the study provides similar information for the key geographies.
- Actual market sizes and forecasts have been provided for all the above-mentioned segments.
Who should buy this report?
- This study is suitable for industry participants and stakeholders in the global used cars market. The report will benefit Every stakeholder involved in the global used cars market.
- Managers within the global used cars industry looking to publish recent and forecasted statistics about the global used cars market.
- Government organizations, regulatory authorities, policymakers, and organizations looking for investments in trends of the global used cars market.
- Analysts, researchers, educators, strategy managers, and government institutions looking for insights into the market to determine future strategies.
Over the past few decades, used cars have evolved from code-based conventional analytics structure to automated structure. With the growing transparency and symmetry of the information among the consumers and buyers, the online sales channel growth, certified used vehicle programs, and the strong position of franchise dealers, automobile industry is no more limited to a particular department and being adopted across a wide range of industries and their business processes.
The technology advancement such as the development of the internet, introduction of hybrid and the electric vehicle has changed the buyer position in the market. In addition, franchised dealers with support from OEM involvement in certification and marketing programs, online inventory pooling, and access to high-quality contracts are in a strong position to benefit from the growth in the used car market. With all these capabilities global used cars reduces budget constraints, so, commuters are expected to opt for the used cars. Companies are regularly trying to save costs as well as time spent on buying new cars.
Furthermore, due to pandemic, the hybrid and electric vehicles are expected to battle in the market for the next two or two years due to the current economic conditions. Though the pandemic's impact on the automotive market will augment the demand for mid-size vehicles, quality compacts are expected to complement the same. H
ence, global used cars market is expected to help organizations in providing the necessary and useful services.
The market is consolidated as several major market players currently hold the major market share. However, the used cars market is expected to become fragmented in the forthcoming years as several new market players are emerging from developing countries such as India, Japan, China, and other countries.
Vehicle Type Segment
Based on the Vehicle Type segment, the market is bifurcated into Hatchback, Sedan, and SUV. In 2020, the Hatchback segment accumulated the maximum market share and it is likely to continue its dominance throughout the forecast years. However, the Sedan segment is projected to attain major growth throughout the forecast years owing to the people’s preference for economical and compact sized vehicles.
Fuel Type Segment
Based on the Fuel Type, the market is segmented into Petrol, Diesel, and others. The petrol sector seized the maximum market share in 2020 and it is likely to maintain its place throughout the forecast years. The growth of this segment is largely ascribed to the growing adoption of advanced technologies in the electric car industry and an increase in the need to provide better cars to the customers.
Distribution Channel Segment
Based on the Distribution Channel, the market is segmented into Independent dealer, Franchised dealer, and others. The Franchised dealer segment gathered the major market share in 2020 and it is likely to continue its dominance throughout the forecast years. The growing entry of new players in the market and new retail models are boosting the market growth across automobile industries. However, in 2020, the organized vendor is expected to experience major industry growth during the forecast years.
The North American region is likely to account for the maximum market contribution during the forecast years. The domination of this region is largely ascribed to the plummeted growth in the past few years. However, the Asia-Pacific is likely to gather noteworthy growth through the forecast years 2021-2028. The growth of the global used cars market in this region is mostly ascribed to the growing adoption of global used cars by companies in countries such as India, Japan, and China to compete against other regional players.
The major players of the Global used cars market are Asbury Automotive Group Inc., AutoNation, Inc., Big boy Toyz ltd, CarMax Business Services, Cars24 services private limited, Group1 Automotive Inc., Hendrick automotive group, Lithia Motors, Inc., Mahindra First Choice Wheels Ltd., and TrueCar, Inc. Renowned companies are offering new and modern services related to used cars in the market. Besides, the previously recognized as well as new market players are approaching the market with advanced and new strategic services and solutions and to remain competitive in the global market.