The decline in consumer confidence is having a negative impact on many sectors within our country. In particular, larger purchases are being made less quickly. The car market, in particular, has been hit hard by this. Not only in our country, but worldwide. Nevertheless, there is a striking trend. Buying a used car is enormously popular in corona time. While sales of new cars are lagging behind. But why this enormous difference? What actually happens on the car market in times of corona? And why is this happening?
The consequences for the new car market
By now, we all understand how great the impact of the new coronavirus is on our lives and the economy. Although, fortunately, the measures that have now been relaxed are giving us more and more freedom, we are, of course, still a long way from being there. Months of staying at home, only going out for necessary shopping and working from home have dealt a major blow to the economy. Many sectors have run into problems as a result.
The car market has also been hit hard. The European car market is on the verge of collapse. Figures from European vehicle registration in March 2020 show that the Netherlands is not yet doing so badly compared to other European countries, where the lockdown was often much stricter. Car sales in the Netherlands fell by 22.4% in March. Although this was a huge blow to the car world, the figures worldwide appear to be even more disastrous. On average, the car market in European countries fell by no less than 65.4%. That is almost three times as much as in the Netherlands.
The fall is clearly due to the intelligent lockdown in which the Netherlands stayed for months. Until the possibility of a vaccine or treatment presents itself, we will, unfortunately, take a step forward and a step back every time in our fight to control the coronavirus. As a result, even simple everyday things such as ‘going to work’ have taken on completely different forms. We no longer get into the car, but open a laptop at the kitchen table. Because of this, most cars are a bit lost these days.
Buy a car right now, according to experts
The new car market came to a virtual standstill for a few months. As a result, car dealers have an enormous amount of stock left over. And these have to be sold again. Yet there is a catch. Although the stocks are large, people see that it is also becoming more difficult to get new cars. Many companies are still largely at a standstill in Europe. As a result, importing new cars has become a lot more difficult. When you buy an entirely new model, you will soon be faced with a very long waiting time. That is precisely why it is wise to buy a car now. At the moment, the stocks are still in order. If you wait any longer, you run the risk of having to wait a very long time. And certainly when your car really needs to be replaced, this can cause many problems in the long term.
In addition, many consumers expect car prices to fall enormously in a few months’ time. Car dealers want to sell their stock, as a result of which cars may be priced more sharply. However, it remains to be seen whether prices will actually fall. At the moment, it is coffee-thick watching. Nobody knows how long the corona crisis will last and what effect it will continue to have on the economy.
Sales of new cars have fallen dramatically. Therefore, when trade can take place, it is seized with both hands. They will literally (of course with a distance of 1.5 metres) welcome you with open arms. Moreover, negotiating in the corona era will probably be much more effective. A chat with the seller may well bring you a very nice price.
Used car market is booming
Used car sales in the Netherlands appear to have hardly been affected by the corona crisis. In May, a 5% decrease compared to 2019 was seen, but this number was still much higher than in all previous years. In short, the second-hand car market is still booming in our country.
Bovag chairman Hans ten Broeke says: “The orders and deliveries of new cars are currently faltering, but there is a great deal of interest in used vehicles. Car companies sold 506,517 used cars in the first quarter of this year. Although this is a decrease compared to 2019, there was an explosive increase in trade between private individuals. In the past month, no fewer than 73,433 cars were traded between private individuals. This is an increase of 17.6% compared to 2019.
Reasons to buy a used car
According to experts, the growing demand for second-hand cars can be explained by the fact that fewer people want to travel by public transport. Since 1 June, the mouth-cap obligation in public transport started and many people gradually went back to work. To avoid hustle and bustle …DR1 DR2 DR3 DR4 DR5 DR6 DR7 DR8 DR9 DR10 DR1 DR2 DR3 DR4 DR5 DR6 DR7 DR8 DR9 DR10 DR11 DR12 DR13 DR14 DR15 DR16 DR17 DR18 DR19 DR20 DR21 DR22 DR23 DR24 DR25 DR26 DR27 DR28 DR29 DR30 DR31 DR32 DR33 DR34 DR35 DR36 DR37 DR38 DR38 DR39 DR40 DR41 DR42 DR43 DR44 DR45 DR46 DR47 DR48 DR11 DR12 DR13 DR14