Bengaluru's Shift to Smarter Spending: Pre-Owned Car Sales Jump 87 percent

NewsVoir
Bengaluru (Karnataka) [India], April 19: Bengaluru is leading a significant shift in India's automotive scenario, with a growing number of residents opting for pre-owned vehicles. Spearheaded by CARS24, India's premier AutoTech company, the city has seen an impressive 87 percent growth in used car sales year on year. This trend highlights Bengaluru's move towards more affordable and intelligent vehicle ownership options, catering to both budget-conscious and environmentally aware consumers. The rise in popularity of used cars in Bangalore reflects a practical approach to mobility, where quality and value meet sustainability.
Since the launch in Karnataka in 2015, with its first outlet in Bengaluru, CARS24 has rapidly expanded its presence and now serves customers in twelve (12) cities across the state. This expansion has established CARS24 as the preferred platform for both automobile enthusiasts and sellers alike, markedly transforming the pre-owned vehicle market. The city has witnessed a paradigm shift in car ownership perceptions particularly among the younger demographic. The surge in used car transactions in the city reflects a shared understanding of the economic advantages, convenience, and accessibility that come with pre-owned vehicles.
"The remarkable surge in used car sales is a clear sign of Bengaluru's vibrant auto market," observed Gajendra Jangid, Co-founder of CARS24. "This trend goes beyond a simple preference for pre-owned vehicles; it reflects a deeper change in consumer attitudes that are reshaping multiple industries. It highlights an increasing focus on practicality and cost-efficiency, signalling a shift in consumer values that is likely to influence the future direction of our economy."
Car Financing Soars in Bengaluru: 47 percent OG Bengularians Opt for Financing on Used Cars
Car financing is becoming increasingly popular among Bengaluru's car buyers, as more individuals opt for this convenient approach to own their desired vehicles. To enhance this appeal, CARS24 introduces a zero down payment choice, simplifying the purchasing process even further. In fact, Bengaluru's used market has recorded a 102 percent year on year increase in cars financed in Bengaluru. Data highlights salaried professionals as the main group of loan applicants, with an average monthly instalment (EMI) of Rs. 10,200. Given the city's notorious traffic, owning a car has become a necessity, coupled with the ease of securing flexible financing options, an increasing number of residents are opting for car loans in the city, making car ownership more attainable and manageable.
Hatchbacks continue their reign
Hatchback models have emerged as the ultimate choice in Bengaluru. Their versatility, fuel efficiency, compact yet spacious design, and ability to effortlessly navigate through congested cities make them the go-to option for urban dwellers, families, and adventure enthusiasts alike. There is an increased demand for models like the used Maruti Swift, Hyundai Elite i20, Honda City, and Hyundai Grand i10 departing from conventional preferences.
SUVs in High Demand in the High traffic city
As the Bengaluru car market continues its transformative journey, the rise of SUVs and Mini SUVs deserve a special mention too. These rugged, powerful and stylish vehicles are capturing the imagination of Bengaluru's car enthusiasts. With their versatile designs and spacious interiors, SUVs are becoming the preferred choice for those seeking both city-friendly practicality and adventurous spirit. Hyundai Creta, Renault Duster, Mahindra XUV 500, Ford Ecosport are amongst the popular choices.
Mileage Remains the Top Concern for Bengaluru's Car Buyers
While there's a noticeable shift towards premium cars in Bengaluru, one crucial factor still dominates the minds of car buyers in the city: mileage. In the first quarter of 2024, prospective buyers in Bengaluru were consistently enquiring about the mileage and fuel efficiency of various cars. These questions reflect a mature and thoughtful approach from buyers, prioritising not just the immediate appeal of the car but also its long-term financial implications.
Investing in Experience: Premium features are a Must!
Premium features like airbags, driver's assist systems, android auto/apple carplay, large screens, sunroofs, and have gained more popularity, indicating that Bengaluru's car buyers are willing to invest in added comforts and advanced technologies as they wish to enhance their overall car ownership experience.
Colour Trends: Bengaluru Matches Cars to Vibes
The palette of automotive preferences is undergoing a notable transformation. They want their cars to reflect their personalities, so expressive hues are the way to go. This quarter, we've witnessed an embrace of more expressive hues - vibrant reds and cool blues have become popular choices, signalling a departure from the conventional. Additionally, an unexpected contender, earthy brown, has emerged, challenging the dominance of primary colours and illustrating a broader trend towards vehicles that reflect personal style and ethos.
Bengalureans Sell CARS WORTH INR 140 Crore in the First Quarter of 2024 (JFM)
CARS24's data reveals a remarkable milestone in Bengaluru's car market, as people sold cars worth almost INR 140 crores to CARS24 in the first quarter of 2024 alone. The current trend of replacing cars within a few years has significantly contributed to this exponential growth. This could be attributed to factors such as changing preferences, the desire to own newer models with advanced features, or the availability of attractive financing options. This trend highlights a dynamic shift in the market as more individuals opt to sell their vehicles, creating a vibrant market for platforms like CARS24 that offer convenience, trust, and a streamlined selling process.
CARS24 is a leading AutoTech company streamlining and revolutionising the sale, purchase, and financing of pre-owned cars in India, Australia, Thailand, and UAE. Leveraging a Smart AI Pricing Engine, and 140 quality checks, selling and buying pre-owned vehicles is seamless and transparent.
CARS24 Financial Services Private Limited, is a professionally managed Non-Banking Financial Company (NBFC) registered with the Reserve Bank of India, offering customer focused value added services.
For regular updates on CARS24, follow us on www.linkedin.com/company/CARS2.
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