Car Business Opportunities are More Promising than Ever: the Used Car Industry Outlook
No one wants to invest in a new business, only to find out that the industry is on the decline. Luckily, when it comes to used car business opportunities, no such concern is necessary. According to a recent study conducted by Edmunds, used vehicle sales projections this year are among the highest they’ve ever been. This means potential franchisees wary of entering the used car industry can be reassured, as the experts have projected a solid year of growth.
According to the shopping experts at Edmunds, used vehicle sales in 2019 will hit their highest level since the recession, making car business opportunities a prime career move. In 2018, 40.2 million used cars were sold in the US, while in 2019, that number looks to grow to 41 million. Ivan Drury, Edmunds’ senior manager of industry analysis, said, “we’re seeing new vehicle sales fall while used rise, indicating the market has reached a flash point. New cars are getting so expensive that they’re out of reach for many car shoppers, but there are so many more affordable used vehicles coming off lease that the market is naturally shifting in that direction.”
Data shows that from 2013 to 2018, the price gap between new and three-year-old used vehicles grew from 56 to 62 percent, and that interest rates for new cars jumped by 17 percent in 2018, while those for used vehicles only increased by nine percent.
Even more encouragingly, experts also say that current market conditions have never been more favorable for certified pre-owned vehicles, because automakers are now able to better educate car shoppers on the benefits of these programs. Drury said, “Many shoppers are unaware of the benefits of CPO vehicle programs, but given the tough financial conditions in the new market, it’s never been a better time to look into them. Between more affordable prices, the assurance of an automaker warranty, and lower interest rates, CPO vehicles give car shoppers a way to enjoy many of the benefits of a new car and minimize many of the risks of buying a used car.”
While all of this information is great news for the industry as a whole, and car business opportunities within it, Byrider in particularly is well positioned to take advantage of these trends. By offering customers not only quality used cars, but also the convenience of purchasing and financing in one location, people immediately recognize how Byrider stands out from the competition. In a thriving industry, it’s more important than ever to distinguish yourself, and show customers what makes you unique.
To learn more about car business opportunities with Byrider, reach out to us today.