Used car market insights UAE H1 2022

Purnika Anand
Est. Reading Time 3 mins

The automobile sector is a diverse, multibillion-dollar sector with much-unrealised potential, even more so in the used automotive market. With its cutting-edge technological capabilities, which include unique vehicle inspection technology, AI-enabled pricing algorithms that provide the accurate market price of a vehicle, and a scaled infrastructure that ensures seamless execution, CARS24 has redefined the used car market in the UAE in less than a year. We’re elated to share our Used Car Market Insights UAE H1 2022 report where we conducted an in-depth study of the market trends that would bridge that gap and provide much-needed insights into the pre-owned car industry.

Abhinav Gupta, CEO of Cars24 UAE says, “With our very first Used Car Market Insights UAE H1 2022 report, we are delighted to share some valuable industry insights regarding the pre-owned car market in the UAE. In just over a year CARS24 has redefined the pre-owned cars industry in the UAE and in just over 365 days we found 10,000 plus happy customers."

Let’s take you on an explorative journey with our maiden Used Car Market Insights report packed with facts and insights. Read on.

MONEY ON THE ROAD

Pre-owned automobile sales are predicted to reach USD 2.67 trillion by 2030, with a CAGR of 6-7% from their current global value of USD 1.66 trillion in 2022. The pre-owned automobile industry in the UAE, one of the most important in the world, is now valued at USD 14 billion and is forecast to rise quickly to USD 20.5 billion by 2025 with an anticipated CAGR of 10-12%.                              

In the UAE, 3 used automobiles will be acquired for every new car by 2025. Over 34% of people in the UAE now possess a car, a considerable rise from previous statistics. Dubai, Abu Dhabi, and Sharjah were the three cities that expressed the highest interest in the pre-owned automobile market, respectively.

WHO IS BEHIND THE WHEEL?

In the UAE, there has been a significant, positive movement in terms of both gender & generation. Men continue to make up a whopping 70% of customers in the used automobile industry. However, a 60% increase in female buyers was also seen in H1 2022.
Millennials account for more than 60% of industry consumers of which more than 55% of them prefer to buy pre-owned cars online., and a decent 40% growth was seen in the generation. At the same time, the Genz buyers of used cars climbed by 2 times in 2022 H1.

USED CAR FINANCING

Many customers want to finance when buying a used car, but it is highly challenging to secure loans for used automobiles through conventional channels like banks, which discourages many customers from buying a used car. But because CARS24 offers loans to prospective purchasers, we have better loan penetration, demonstrating what a profitable industry this is.
More than 60% of consumers who opted for the financing option had an income less than AED 15,000, and 65% of used automobile buyers preferred financing options over other options.

Male clients in the sector made up 90% of those who picked the financing option, but the number of female customers who financed their cars increased by 80% between 2022 Q1 and 2022 Q2.
All purchasers' average loan value was AED 61,000.

More than 36% of clients who bought used cars did so for a price between AED 50,000 and AED 80,000. More than 51% of used-car owners choose SUVs because they are affordable and comfy, and they typically come in the colour white. In 2022 H1, Nissan and Toyota were the two most popular brands.

From Jul’21 - Jun’22, people showed interest in used cars during the months
of Mar’22 followed by Aug & Nov’ 21.

USED CARS CUSTOMER'S VOICE


Check out the complete research below to learn more about the findings and developments:

Used-car-market-insights-UAE-H1-2022

Check out the press release:

The-leading-pre-owned-car-brand-CARS24-launches-the-UAE’s-first-Used-car-market-insights

Industry InsightsLatest News

Featured Posts

CARS24 Marks UAE Arrival By Touching New Heights.

CARS24 Marks UAE Arrival By Touching New Heights.

How To Renew Your Indian International Driving License in The UAE?

How To Renew Your Indian International Driving License in The UAE?

CARS24 Refurbishment: Making Cars As Good As New

CARS24 Refurbishment: Making Cars As Good As New

Other Articles in this category

Steps to choose the right car for yourself

Steps to choose the right car for yourself

HOW TO CHOOSE THE BEST CAR FOR YOURSELF IN 11 STEPS While buying a car is a significant achievement, it is also seen as a long-term investment where the buyer should consider the right factors. As there are plenty of options available on the market, quick online research on ‘what

How to increase fuel efficiency of a car in UAE

How to increase fuel efficiency of a car in UAE

TOP 10 WAYS TO INCREASE FUEL EFFICIENCY OF MY CAR IN UAE There is a significant rise in the prices of petrol and diesel in the UAE. While super 98 petrol costs 3.32 AED, the price of diesel goes around 4.01 AED. Therefore, it is super important to

WHAT DOES CAR SERVICING INCLUDE?

WHAT DOES CAR SERVICING INCLUDE?

Owning a used car in the UAE means staying on top of your car servicing and maintenance requirements. While regular checkups help you catch surface-level problems, preventative car maintenance allows you to identify and fix significant issues before they become more significant. One way to learn more about your car

EPIC DROP SALE ON CARS24UAE

EPIC DROP SALE ON CARS24UAE

CARS24 rings in November Shopping festival by making used cars highly affordable for UAE consumers Car enthusiasts in the country can get up to AED20,000 off on pre-owned cars during EPIC DROP SALE on the CARS24 app and website. CARS24, one of the world’s fastest-growing e-commerce platforms for

WHY ARE MY CAR BRAKES SQUEAKING?

WHY ARE MY CAR BRAKES SQUEAKING?

Hearing a squealing or squeaking sound coming from the brakes? Then it’s time to take a close look. Squeaky car brake pads are often annoying to hear, but it’s not always a cause for panic. Some common reasons behind the squealing sound are a bit of rust on

THINGS TO KEEP IN MIND BEFORE CHECKING
USED CAR’S VALUATION ONLINE

THINGS TO KEEP IN MIND BEFORE CHECKING USED CAR’S VALUATION ONLINE

Every vehicle owner's primary purpose while selling a car is to get the best market value. However, selling a used car can be more complicated than you imagine, especially if you don't know what price you should demand. Before selling a used car, it is essential to know its exact

Other Articles in this category

Steps to choose the right car for yourself

Steps to choose the right car for yourself

HOW TO CHOOSE THE BEST CAR FOR YOURSELF IN 11 STEPS While buying a car is a significant achievement, it is also seen as a long-term investment where the buyer should consider the right factors. As there are plenty of options available on the market, quick online research on ‘what

How to increase fuel efficiency of a car in UAE

How to increase fuel efficiency of a car in UAE

TOP 10 WAYS TO INCREASE FUEL EFFICIENCY OF MY CAR IN UAE There is a significant rise in the prices of petrol and diesel in the UAE. While super 98 petrol costs 3.32 AED, the price of diesel goes around 4.01 AED. Therefore, it is super important to

WHAT DOES CAR SERVICING INCLUDE?

WHAT DOES CAR SERVICING INCLUDE?

Owning a used car in the UAE means staying on top of your car servicing and maintenance requirements. While regular checkups help you catch surface-level problems, preventative car maintenance allows you to identify and fix significant issues before they become more significant. One way to learn more about your car

EPIC DROP SALE ON CARS24UAE

EPIC DROP SALE ON CARS24UAE

CARS24 rings in November Shopping festival by making used cars highly affordable for UAE consumers Car enthusiasts in the country can get up to AED20,000 off on pre-owned cars during EPIC DROP SALE on the CARS24 app and website. CARS24, one of the world’s fastest-growing e-commerce platforms for

WHY ARE MY CAR BRAKES SQUEAKING?

WHY ARE MY CAR BRAKES SQUEAKING?

Hearing a squealing or squeaking sound coming from the brakes? Then it’s time to take a close look. Squeaky car brake pads are often annoying to hear, but it’s not always a cause for panic. Some common reasons behind the squealing sound are a bit of rust on

THINGS TO KEEP IN MIND BEFORE CHECKING
USED CAR’S VALUATION ONLINE

THINGS TO KEEP IN MIND BEFORE CHECKING USED CAR’S VALUATION ONLINE

Every vehicle owner's primary purpose while selling a car is to get the best market value. However, selling a used car can be more complicated than you imagine, especially if you don't know what price you should demand. Before selling a used car, it is essential to know its exact