India Used Car Market

Market Overview:

The India used car market is expected to exhibit a growth rate (CAGR) of 14.2% during 2023-2028.

A used car refers to a second-hand vehicle that is available for resale. These cars are generally repaired and refurbished to working conditions, following which they are listed for sale. They are usually sold through independent automobile dealerships, walk-in used-car showrooms, and online platforms using organized or unorganized channels. Sedans, hatchbacks, and sports utility vehicles are some of the commonly preferred used cars. The process of purchasing an old vehicle involves checking tire conditions, upholstery, mileage, test drive, and mechanical inspection. Used cars assist in minimizing the depreciation of the vehicle, improving cost-effectiveness, maximizing savings, and providing full assurance and warranty of the car and facilities. 

India Used Car Market Trends:

The increasing consumer demand for cost-effective and affordable vehicles with enhanced mobility, convenience, and safety is primarily driving the used car market in India. In line with this, the lower rate of personal car ownership by millennials due to the high cost of maintenance is positively impacting the market growth. Moreover, the constant model upgrades and the electrification of vehicles are acting as other growth-inducing factors. Manufacturers are increasingly incorporating advanced technologies and features, such as power steering systems, climate control systems, and anti-lock braking systems in the latest models, which, in turn, is facilitating their demand in the country. Apart front this, the utilization of e-commerce sites and applications to purchase and sell used cars with complete transparency and ease of operations is providing an impetus to the market growth. Additionally, the increasing number of organized and semi-organized sales across the country and the shifting consumer preference towards private cars to maintain social distancing amidst the COVID-19 pandemic is supporting the market growth. Other factors, including rising expenditure capacities of consumers, large-scale integration of blockchain technologies, and growing environmental consciousness, are anticipated to drive the market toward growth.

Key Market Segmentation:

IMARC Group provides an analysis of the key trends in each sub-segment of the India used car market report, along with forecasts at the country and regional level from 2023-2028. Our report has categorized the market based on vehicle type, vendor type, fuel type and sales channel.

Breakup by Vehicle Type:

• Hatchbacks
• Sedan
• Sports Utility Vehicle
• Others
   

Breakup by Vendor Type:

• Organized
• Unorganized
   

Breakup by Fuel Type:

• Gasoline
• Diesel
• Others
   

Breakup by Sales Channel:

• Online
• Offline
   

Breakup by Region:

• North India
• West and Central India
• South India
• East India
   

Competitive Landscape:

The competitive landscape of the industry has also been examined along with the profiles of the key players being Big Boy Toyz Ltd, BMW India Private Limited (Bayerische Motoren Werke AG), Cars24, CarTrade.com, Honda Cars India Limited (Honda Motor Co. Ltd.), Mahindra First Choice Wheels (Mahindra & Mahindra Limited), Maruti Suzuki India Limited (Suzuki Motor Corporation), OLX (OLX Group), Quikr India Private Limited, Spinny (Valuedrive Technologies Private Limited) and Toyota Kirloskar Motor Private Limited (Toyota Motor Corporation).

Report Coverage:

Key Questions Answered in This Report:

• How has the India used car market performed so far and how will it perform in the coming years?
• What has been the impact of COVID-19 on the India used car market?
• What are the key regional markets?
• What is the breakup of the market based on the vehicle type?
• What is the breakup of the market based on the vendor type?
• What is the breakup of the market based on the fuel type?
• What is the breakup of the market based on the sales channel?
• What are the various stages in the value chain of the industry?
• What are the key driving factors and challenges in the industry?
• What is the structure of the India used car market and who are the key players?
• What is the degree of competition in the industry?