South African motorists are currently enjoying a variety of pre-owned vehicles, with price being a significant driver of the pre-owned car market, says motor retailer Kelston Motor Group used vehicle manager Donovan Enslin.
“Motorists can get a great vehicle for R150 000. Even at the lower end, you can be assured of a good vehicle and the market is very diverse,” he notes.
The country’s pre-owned sector has taken off amid higher fuel prices and a challenging economic environment. Data from used-car platform AutoTrader showed that almost 100 000 more vehicles were listed for sale between January and June 2023 compared with the same period in 2020.
Also, during this period, 18 new vehicle brands entered the market, among them Chinese car brands like Chery.
“On average, Kelston has more than 300 used vehicles available at any time in the Eastern Cape, meaning that customers can select their preferred vehicle brand while having an excellent chance of getting it in their favourite colour,” Enslin says.
Further, in recent months there had been a rise in demand for compact sports-utility vehicles (SUVs) and crossovers that were better equipped to negotiate South Africa’s potholed roads, he adds.
Higher ride-height makes for a more comfortable drive, which is why the Chery Tiggo has become extremely popular, he points out.
However, pre-owned Toyota Fortuners and Ford Rangers remained highly sought after. This finding corresponds with motoring news outlet AutoTrader's figures for 2023, which indicate that the Japanese manufacturer takes up 15.3% of the listings, followed by VW at 12.98% and Ford at 10.60% of the listings, says Enslin.
“Owing to the Internet, customers have become a lot savvier when it comes to their cars. I think people would be selling themselves short not exploring the used market, as it ticks all the boxes,” Enslin notes.
Buyers should always explore this market when undertaking a price comparison, as pre-owned is guaranteed to offer a lot of value. This includes the fact that the trade-in deficit will not be as big as it will be in the case of a brand-new vehicle.
Additionally, pre-owned service plans ae also now on par with those offered with new vehicles, he says.