Used Cars Sales
Used Cars Sales is increase
By Ali Budiman
Indonesia Cars Sales in 2008 reached 607,770 units, based on wholesalesdata or vehicles deliver to deliver/showroom. But what about the sales of used cars? For such number it is more difficult to collect.
But if one notices the booming of used cars outlets/showrooms in Indonesia, then it is an assurance for the fact that the used cars market is an attractive market.
For instance; within the Depok area, South Jakarta; there are more than 50 used cars outlets. If one outlet, in average, is able to sell 5 units/month, then a total of 250 units of used cars are sold in Depok alone. In a year’s time, then almost 3000 units of used cars is sold. Even though according to SAMSAT/Police Registration, the registrations of new cars within Depok in 2008 are only 10.000 units.
There are several factors that further increase the sales of used cars in Indonesia:
1. The price of new cars is increasing.
One of the factors that determine the selling price of cars is the exchange rate of US dollars and Japanese Yen. If the rate of the Indonesian Rupiah weakens, then car manufacturers in Indonesia are forced to increase their price. This resulted in the increase of selling price for new cars. As a potential buyer who has a low buying power, then one is forced to buy a used car to fulfill one’s needs.
2. Avoiding Depreciation
One of the unique characteristics of Indonesians in fulfilling our needs in buying a car is “What is the resale value of my car if I decided to resell it?” As a result there are a lot of Indonesians who bought used cars to avoid depreciation. Once one’s car is out of the showroom, its value will be affected by depreciation. In average, a vehicle will lose a maximum of 30% of its total value within the first 2 years due to depreciation. There are, however, other factors that determine the resell value of used cars. Such as; the brand, conditions of the car, usage and maintenance and the condition of the market further determine the depreciation value of your new car.
3. Not wanting to wait for the delivery time of the new car (indent)
Some models of cars that are popular in the market, has a relatively longer delivery date compared to the less popular models. As a result, there are a notable amount of buyers who are unwilling to wait during that period of waiting time and decided to look for other alternatives in used cars who are ready in stock. This is due as the demand of the market is bigger than the total production capacity or import quota. Toyota Avanza, Daihatsu Xenia, Nissan Grand Livina, Honda Jazz, are some of the models who have experienced this particular phenomenon.
