Wen Tianyu Du Ge.
In recent years, China's auto market has continued to be hot, with new car sales reaching record highs. However, with the fierce competition in the new car market, the war has intensified, and the used car market has also been affected. According to data from the China Automobile Dealers Association, the cumulative transaction volume of used cars in China in 2023 will be 1841330,000 units, a year-on-year increase of 1488%, but at the beginning of 2024, there will be a continuous decline. The phenomenon of "involution" in the new car market not only benefits consumers, but also puts second-hand car dealers under great pressure.
Since the beginning of Tesla's official reduction in early 2023, multiple rounds of large-scale and large-scale price reductions** have followed. In March, the price reduction of Dongfeng Citroen C6 once reached 90,000 yuan, and then nearly 50 automobile brands participated, covering more than 80 models. Entering the last month of 2023, the year-end sprint ushered in the climax, with 7 auto brands announcing their latest car purchase policies on December 1 alone.
This fierce battle has led to a significant increase in sales in the new car market, but it has also put pressure on the used car market. On the one hand, the decline in new cars** has caused some consumers to turn to buy new cars, resulting in a decrease in the demand for second-hand cars. On the other hand, the reduction of new cars** has also squeezed the value of used cars, and second-hand car dealers have to reduce ** when collecting cars to attract car owners to sell their cars. As a result, the profit margins of used car dealers are compressed, and even losses may occur.
Under the impact of the first war in the new car market, the second-hand car market has also shrunk to a certain extent. When the reporter visited the second-hand car market in Huaxiang, he found that many second-hand car dealers were losing money to sell cars. A second-hand car dealer salesperson said: "Don't think about making money, you will definitely lose money." Another slightly older second-hand car dealer salesperson said that the main task of the store now is to dispose of those ** cars as soon as possible, and in the end it is just a matter of losing more and paying less.
Pure electric models have become the hardest hit area for selling cars at a loss. In the past year, the reporter has seen many pure electric models in the second-hand car market in Huaxiang, such as Porsche Taycan, Mercedes-Benz EQS, Tesla Model 3 Y, etc., but these models are listed at very low discount prices. Many car dealers admit that they will be very cautious about collecting pure electric cars now, and they will not take risks unless they are particularly suitable.
In the face of the impact of the new car market, the second-hand car market needs to find a countermeasure. First of all, second-hand car dealers should strengthen communication with car owners to understand the needs and psychological expectations of car owners, so as to give a reasonable ** when collecting the car. Secondly, second-hand car dealers can enhance their competitiveness and attract more consumers by improving service quality and providing value-added services. In addition, second-hand car dealers can also use the Internet platform to expand online sales channels and improve sales efficiency.
* and related companies should also give certain support and guidance to the second-hand car market. **The development of the second-hand car market can be encouraged through the introduction of relevant policies, such as reducing the second-hand car transaction tax and simplifying the second-hand car transaction process. At the same time, it can also strengthen the supervision of the second-hand car market, crack down on violations of laws and regulations, and maintain market order. On the corporate side, automakers can establish cooperative relationships with used car dealers to jointly promote brand-certified used cars and improve consumers' recognition and trust in used cars.
In the face of the impact of the new car market, although the second-hand car market is facing many difficulties, there are still countermeasures. As long as second-hand car dealers continue to improve their competitiveness, and enterprises give support and guidance, it is still possible for the second-hand car market to get out of the predicament and achieve sustainable development.