Diwali Boost For Used Car Sales By Plawinder Kumar | AU Small Finance Bank
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Diwali boost for used car sales

    Interview with Mr. Palwinder Kumar - Owner, Bhandari Car Bazar; Bhogpur, Punjab.
     

    How has the used car sales been through the festive season?

    The used car sales have been better than last year. On a percentage basis, there has been almost about 100 percent increase in our sales. So that’s good news.

     

    What's the ratio of enquiries vis-a-vis actual conversion in terms of sales?

    The rate of enquiries is no doubt higher but the encouraging part is that conversions have also increased in the similar lines. As a result, the overall ratio has seen improvement on a year-on-year basis.

     

    If we break up segments, which category - Entry-level, Sedan, SUV, saw the maximum traction in the used car space?

    Though the demand trends vary from area to area, we have seen that SUVs were amongst the most favoured in the pre-owned car space as with new cars. The segments that also saw brisk demand include sedan and entry level cars.

     

    With just 4 months left, how do you think FY2022 will end in terms of used car sales?

    Used cars continue to be in demand for multiple factors including the higher cost of new cars, longer wait period and of course fuel prices too. From relative affordability aspect, they represent a value proposition. Therefore, I expect the current trend to continue and see sales inching higher for the rest of FY2022. Even in FY2023, I believe the same trend shall continue and we will see higher used car sales.

     

    Many studies indicate used car sales doubling to 7 million plus by FY2025, what's your outlook?

    Even we feel that the volume of used car sales is on a steady growth path. I will go with the trend analysis and the studies that indicate 7 million plus volume by FY2025.