| | AUGUST 202219share of organized players have become double from just 10 percent a decade ago. Key Growth DriversThere are several reasons why Indian used Automobile has been flourishing even in the COVID-19 era. But the most important ones are in the following.Mindset Change & Emergence of Organized PlayersPeople used to believe that there is always a hidden issue with pre-owned vehicle & equipment that they have experienced in the unorganized market for a long time. However, the industry has taken paradigm shift with the emergence of organized players like us. Now, pre-inspected information about a vehicle is easily and readily available in the market. More so, inspection facility is available for each and every pre-owned vehicle to find out the real value (through technological solutions like ThePriceX.com) before purchasing. So, anyone can transact a pre-owned vehicle with confidence and transparent manner. Nowadays, average ownership of a vehicle has been reduced to 3-5 years from 7-8 years earlier. So, anyone can purchase a preferred pre-owned vehicle & equipment with almost all the latest features.Holistic Solutions under a Single RoofOrganized players like us provide holistic solutions to interact, inspect, valuate, bid and close transactions in a timely, transparent and cost-effective manner along with all other allied services like parking, documentation and finance under a single roof which has helped the industry to grow significantly.Affordable Price & Attractive Resale valueConsidering the market trend, any new car or vehicle or equipment depreciates in value­ as much as 20 percent to 40 percent in the very first year! Purchasing a pre-owned vehicle & equipment helps to avoid that initial depreciation. Irrespective of the depreciation, pre-owned vehicles & equipment can hold its value if it's well-maintained with proper documentation and sell at the right time, to a market where the vehicle & equipment is in demand. Through organized players any vehicle can be sold today in any part of India.Budding Finance Facility for used Vehicles & EquipmentFew years back, it was very difficult to purchase a pre-owned a vehicle & equipment without having enough cash in hand as most of the Banks & NBFCs were reluctant to fund a pre-owned vehicle. However, pre-owned vehicle & equipment financing market has grown significantly in recent times. In the same time, Banks and NBFCs have also launched several loan schemes at lucrative rate. So, considering several benefits of pre-owned vehicles & equipment along with easy financing options, people have already started to prefer a pre-owned vehicle & equipment over a new one. Recently, Shriram Automall has also launched SAMIL Financial Services­ Buy Now, Pay Later facility to help buyers to purchase their preferred pre-owned vehicles & equipment. COVID-19 Impact ­ Preference of Personal Mobility over Public TransportDue to health and safety concerns, the personal con-venience has become popular over publictranspor-tation which has fuelled the demand of pre-owned vehicles significantly in the COVID-19 era.Rising New Vehicle Prices & Long Waiting PeriodFactors like shortage of semiconductor and rising input cost have escalated the price of new vehicle heavily. In the same waiting period for a new car has also increased to several months. Both the factors have worked as positive catalyst for pre-owned automobile industry.Future OutlookIrrespective of several challenges in the Automobile Industry during the last couple of years, pre-owned Automobile Industry has grown significantly. We expect a double digit growth in the pre-owned automobile industry in the next five years. Technological revolutions would like to drive the industry substantially in the coming years. SHRIRAM AUTOMALL HAS ALSO LAUNCHED SAMIL FINANCIAL SERVICES ­ BUY NOW, PAY LATER FACILITY TO HELP BUYERS TO PURCHASE THEIR PREFERRED PRE-OWNED VEHICLES & EQUIPMENT
< Page 9 | Page 11 >