Who are the key players in South Africa Used Car Market?

cars.co.za, We Buy Cars, Cars 4 Africa, Autochek Africa and Auto Pedigree are the major companies operating in the South Africa Used Car Market. Read More

What years does this South Africa Used Car Market cover, and what was the market size in 2023?

In 2023, the South Africa Used Car Market size was estimated at USD 15.99 billion. The report covers the South Africa Used Car Market historical market size for years: 2019, 2020, 2021, 2022 and 2023. The report also forecasts the South Africa Used Car Market size for years: 2024, 2025, 2026, 2027, 2028 and 2029. Read More

South Africa Used Car Market Size

Market Size of South Africa Used Car Industry

Study Period	2019 - 2029
Base Year For Estimation	2023
Market Size (2024)	USD 17.87 Billion
Market Size (2029)	USD 29.41 Billion
CAGR (2024 - 2029)	10.50 %
Market Concentration	Medium
Major Players *Disclaimer: Major Players sorted in no particular order

South Africa Used Car Market Analysis

The South Africa Used Car Market size is estimated at USD 17.87 billion in 2024, and is expected to reach USD 29.41 billion by 2029, growing at a CAGR of 10.5% during the forecast period (2024-2029).

Economic conditions, consumer sentiment, and government policies regarding the automotive sector influence the market size. The importation of second-hand vehicles also influences the South African used car market.

One key factor driving the growth of the organized used car market in South Africa is the increasing preference for certified and pre-inspected used cars. These cars undergo a thorough inspection and certification process to ensure their quality and reliability, giving buyers peace of mind when purchasing.

Another trend in the South African organized used car market is the growing popularity of online platforms for buying and selling used cars. These platforms offer a convenient and transparent way for buyers and sellers to connect, negotiate, and finalize transactions. Online platforms are also more cost-effective than traditional dealerships, as they have lower overheads and can offer competitive pricing.

Additional market expansion factors include rising disposable income, shorter car ownership durations, rising consumer demand for luxury automobiles, a growing inclination among two-wheeler owners to upgrade to tiny and compact cars, and expanding import-export.

South Africa Used Car Industry Segmentation

A used car is a resale vehicle that has been previously owned. Used cars are sold through various outlets, either offline or online.

The South African used car market is segmented by vendor type, fuel type, vehicle type, and sales channel. By vendor type, the market is segmented into organized and unorganized. By fuel type, the market is segmented into petrol, diesel, and others. By vehicle type, the market is segmented into hatchbacks, sedans, sports utility vehicles (SUVs), and multi-purpose vehicles (MPVs). By sales channel, the market is segmented into online and offline. The report covers the market size and forecasts the value (USD) for all the above segments.

By Vehicle Type
		Hatchbacks
		Sedans
		Sports Utility Vehicles (SUVs) and Multi-Purpose Vehicles (MPVs)

By Fuel Type
		Petrol
		Diesel
		Others

By Booking Type
		Online
		Offline

By Vendor Type
		Organized
		Unorganized

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South Africa Used Car Market Size Summary

The South African used car market is experiencing significant growth, driven by various economic and consumer trends. The market is influenced by factors such as economic conditions, consumer sentiment, and government policies, alongside the importation of second-hand vehicles. A notable trend is the increasing preference for certified and pre-inspected used cars, which offer buyers assurance regarding quality and reliability. Additionally, the rise of online platforms for buying and selling used cars is transforming the market, providing a convenient and cost-effective alternative to traditional dealerships. These platforms facilitate easier transactions and offer competitive pricing due to lower overhead costs. The market's expansion is further supported by rising disposable incomes, shorter car ownership durations, and a growing demand for luxury vehicles.

The South African used car market is characterized by both organized and unorganized segments. The organized market is gaining traction due to the benefits of transparency and consumer protection, while the unorganized market, despite its challenges, remains popular due to lower prices and flexibility. However, issues such as lack of transparency, safety concerns, and the cash-based nature of the unorganized market pose risks to consumers. The e-commerce sector's growth is significantly impacting the used car market, with online marketplaces offering a wide range of vehicles and convenient shopping experiences. Despite some trust issues and potential scams, improvements in regulation and seller transparency are addressing these concerns. The market is fragmented, with several key players and new entrants actively expanding their operations and offerings, further fueling growth.

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South Africa Used Car Market Size - Table of Contents

1. MARKET DYNAMICS
1. 1.1 Market Overview
2. 1.2 Market Drivers
  1. 1.2.1 The Increasing Use of Online Platforms
3. 1.3 Market Restraints
  1. 1.3.1 Stringent Governmental Regulations and Import Taxes Restrict the Market Growth
4. 1.4 Porter's Five Forces Analysis
  1. 1.4.1 Threat of New Entrants
  2. 1.4.2 Bargaining Power of Buyers/Consumers
  3. 1.4.3 Bargaining Power of Suppliers
  4. 1.4.4 Threat of Substitute Products
  5. 1.4.5 Intensity of Competitive Rivalry
2. MARKET SEGMENTATION
1. 2.1 By Vehicle Type
  1. 2.1.1 Hatchbacks
  2. 2.1.2 Sedans
  3. 2.1.3 Sports Utility Vehicles (SUVs) and Multi-Purpose Vehicles (MPVs)
2. 2.2 By Fuel Type
  1. 2.2.1 Petrol
  2. 2.2.2 Diesel
  3. 2.2.3 Others
3. 2.3 By Booking Type
  1. 2.3.1 Online
  2. 2.3.2 Offline
4. 2.4 By Vendor Type
  1. 2.4.1 Organized
  2. 2.4.2 Unorganized