A used vehicle is one of the popular names amongst the second-hand product industry. As the name suggests, a used vehicle is essentially a commodity that is put on resale. The Used Vehicle Market has shown significant growth in the last few years. Second-hand vehicles occupy a large chunk of the given industry now. Various dealing platforms such as walk-in car showrooms, private dealers, rental services, internet-based leases, and rentals are driving the growing popularity of second-hand vehicles. The vast availability of the internet and updated information on vehicles are key factors that are supporting Used Vehicle Market Growth.
Different countries and regions apply separate regulatory bodies and maintenance laws for second-hand vehicles. For instance, Canada alone regulates their Used Vehicle Industry through two different entities, i.e., Ontario Motor Vehicle Industry and Alberta Motor Vehicle Industry Council. There are strict Government regulations regarding vehicular emissions all over the world. Several types of vehicle subscription packages enable end-user facilities like insurance, maintenance, roadside services, etc., for a monthly fee. These factors are pushing popularity according to the Used Vehicle Market Trends.
The global second-hand vehicle market is projected to gain positive momentum in the upcoming years. Basing on market performance, the Used Vehicle Market is supposed to rise at 5.3% CAGR for the forecast period 2020-2027. Important key factors being the cost-effective utility received by the users, rapid investments from major automobile companies, etc. The desired Used Vehicle Market Growth is supposedly reached a peak by the end of 2027. The growing popularity of the market is inviting serious restraints too. Increasing market players are alarming the Government regulations for vehicular regulations in different countries.
Used Vehicle Market Segmentation
The global Used Vehicle Industry can be classified into various segments based on multiple factors. A popular segment for used vehicles is based on vehicle age. This segment may consist of cars – groups of 0-5, 6-10, 11-15,15-20, and more than 20 years old. Another important segment is based on vehicle type. Different types under this segment are heavy commercial vehicles, light commercial vehicles, and passenger cars. Passenger Cars, i.e., Sedans, SUVs, Sports Cars, etc., hold a notable portion of the global Used Vehicle Market Size. Basing on the propulsion, the market segment for used vehicles are divided into Internal Combustion Engines and Electric Vehicles (i.e., Battery EV, Plug-in EV, and Hybrid EV). Franchises, private dealers, and rentals are segmented for sales channel factors.
Used Vehicle Market Regional Analysis
There are four prime regions for the global market for used vehicles are North America, Asia-Pacific, Europe, and the rest (Africa, Middle-East, South America, etc.). North America is estimated to spread its market share a lot during the forecast period according to the global Used Vehicle Market Trends. The major factor for the growth is the rising demand for passenger vehicles in the US and Canada. In the Asia-Pacific, the expansion of automobile markets in India, China, and Japan are showing positive trends for the market. The Asia-Pacific region is said to grow the largest Used Vehicle Market Share in between the forecast years.
- CarMax Business Services LLC (US)
- Manheim (US)
- Autotrader Inc. (US)
- HERTZ CAR SALES (US)
- Cox Automotive Inc. (US)
- Sun Toyota (US)
- Alibaba Group (China)
- eBay (US)
Used Vehicle Industry News
The increasing demand for mini and SUV passenger cars in many regions is contributing to the Used Vehicle Market Growth by a lot. Top stakeholders in the second-hand vehicle market. i.e., Manheim, Alibaba Group, Autotrader, etc. are growing their market share with each passing year. The steady flow of investments from the E-commerce industry in China, Japan, India, the US, and Canada is influencing the growth of the Used Vehicle Market Share. Both in developed and fast-developing countries, the demand for used vehicles is increasing due to ongoing industrialization and adequate per capita income.