OLX Autos reports in partnership with CRISIL (Via TOI) reports that during this period, the new car market is also expected to witness good growth. Reports suggest that the figure is expected to reach 48-50 lakh cars by FY27 with a growth of 9-11%. Not only this, the new car market is also predicted to witness higher sales in FY23 due to increase in production, continued movement in the UV segment and new product launches.
The report further states that in the used car market, UV (Utility Vehicle) had the highest market share in FY22 with 49% compared to small cars (45%) and sedans (3%). For comparison, the UV segment was up 25% in FY17. During the same period, sales of large cars declined by 5% and sales of small cars by 20%.
According to OLX platform data, the most popular UVs in the pre-owned car segment include Hyundai CRETA, Maruti Brezza, Maruti Ertiga and Mahindra XUV500. At the same time, in this old car, Maruti’s dominance in the small car segment remains intact. The share of small cars will come down by 2% to 56% by FY27. Data suggests that the most popular small cars in the pre-owned segment with an average vehicle age of 5 years are Maruti Baleno, Hyundai Elite i20, Renault Kwid, Maruti Suzuki Dzire and Hyundai Grand i10.
Coming to the sedan pre-owned segment, the share of sedans is expected to decline from 12% in FY22 to 7% in FY27. The Honda City continues to be India’s favorite sedan in the pre-owned segment.