The Peugeot 3008 was the best-selling SUV in France. Its success was such that Peugeot found it difficult to keep up with the pace of production. Suffice it to say that the second-hand market is flooded with this model. We are exclusively interested in … https://t.co/RHk7c6N5GW
— AutoPlus (@AutoPlusMag) July 5, 2022
The new car market hasn’t been doing very well over the past few months. And it is not for nothing that the automobile industry is currently experiencing many difficulties, from a shortage of semiconductors to logistical problems related to the war in Ukraine. At the same time, delivery times are getting longer, and prices for new cars are increasing. Not enough to entice customers, many of whom opt for used models. They are really cheaper and, above all, they are available immediately. Therefore, the real benefits, especially as the purchasing power of motorists has been falling sharply for several months, particularly due to rising inflation and fuel prices.
The used car market in the United States is booming.
During the epidemic, many people want to have a cheap car to avoid public transport.
Even if that means reselling it when things get back to normal.
Price +9.5% https://t.co/hvzOjMusL8— Cedric Faiche (@cedricfaiche) November 12, 2020
Declining sales
Contrary to what one might think, used car sales fell sharply, about 16.5% in August. French brands pay a heavy price, with Peugeot showing a 1.5% drop and Citroën down 2.0%. It’s even worse for DS, which fell 7.6% despite a 10.7% increase in market share. From my side, German manufacturers feel a little better, some even have an increase in their number. But in fact, if sales are falling, it’s not because demand is too weak, but the opposite. Mainly because there are already not enough cars for sale, and the demand is too high. Surprisingly, sales of electric motors have increased, while diesels have plummeted.
Rising prices
On the other hand, the average price of sold cars increased sharply compared to previous years. Indeed, compared to July 2022, it increased by 1.6%, and since the beginning of the year – by 7.5%. Last August, the average price was around €28,000, compared to barely €23,000 in 2019 to The Covid-19 crisis. An increase that proves customers are there and willing to spend more to be able to afford the car they really need.
💪 Strong growth of the market of used electrified vehicles: + 46% in one year!
In the second quarter, it is 1/3 of transactions.
➡️ Details on#IOElectric : https://t.co/b0bI0ymXjz#Electric mobility #Mobility #Electricity #Mobility pic.twitter.com/zcbsmt896y
— French Electricity Union (@ufelectricite) July 4, 2022
Source: Auto Plus
Robert is an experienced journalist who has been covering the automobile industry for over a decade. He has a deep understanding of the latest technologies and trends in the industry and is known for his thorough and in-depth reporting.