The present financial crunch has given the Indian car industry a downturn but the good side is that the used car market is experiencing a good growth. The new car loans have been put on hold from the auto financers due to the current market condition. This has led the buyers to opt for the used car available at extremely attractive and discounted prices.
According to Ravi Bhatia, Maruti Suzuki Chief GM (Sales Support), “The October sales for the used car has increased by 22 percent compared to the last year. In 2008, Maruti TrueValue sold more cars with a jump of 27 percent in car sales during the first half of the current fiscal.”
Another reason that influenced the boost in used car sales is the Tata Nano delay, which was expected to launch this Diwali. Tata Nano was a great threat to the used car market, as one can own a brand new car for a very low price rather than going for a second-hand car, which burdens your pocket.