Used Car Market EXPLOSION! India Sees 10% Annual Growth, SUVs Dominate, Non-Metro Buyers Lead the Charge!

Author

Abhay Singh | Whalesbook News Team

Detailed Coverage:

The Indian pre-owned car market is experiencing robust growth, projected to expand from 5.9 million units in FY25 to 9.5 million units by 2030, driven by an annual growth rate of 10%. A significant trend is the dominance of SUVs, which now constitute over half of the used car market, up from 23% four years ago. Demand for these vehicles is particularly booming in non-metro areas. Over the past four years, the average selling price of used cars has increased by 36%. Non-metro buyers are a key growth segment, with 68% likely to repurchase a used car. Indian consumers are increasingly informed, prioritizing safety, reliability, and performance, as evidenced by the demand for vehicles with high safety ratings. Impact This trend indicates a strong demand for vehicles with proven safety features and reliability, influencing new car sales strategies and the used car inventory mix. It also signals a shift towards organized retail channels for pre-owned vehicles, benefiting established players. Rating: 8/10 Difficult Terms: * GNCAP: Global New Car Assessment Programme. It's an independent organization that tests car safety and provides ratings (like 5-star) to inform consumers about vehicle safety. * Certified Pre-Owned: Used cars that have undergone thorough inspection, refurbishment, and certification by the manufacturer or an authorized dealer. They often come with warranties, offering buyers more confidence. * Organised dealers: These are formal businesses that sell pre-owned cars with structured processes, transparency, and often warranties, contrasting with informal sellers or individual private sales.