Philippines Used Car Market Overview, 2029

Over the past ten years, the Philippines used automobile market has changed at an astounding rate. In contrast to wealthy nations, emerging nations like the Philippines foster an environment that is conducive to the ownership of secondhand cars. One of the fastest-growing markets in the region is the Philippines, where increased GDP development, better possibilities, affordability, and a growing population have all contributed to a sharp rise in used car sales. Instead of using the public transit system, people increasingly prefer to use private vehicles. The used automobile market in the Philippines has new prospects as a result of the change in consumer preferences and behavior. A number of new manufacturers and players are anticipated to enter the market in light of these opportunities. The pandemic showed that the used car industry grows more resilient while the new car market gets more susceptible. There is always a risk when buying a used car, even when sales of used passenger cars are on the rise. The target market's growth may be impacted by the lack of mutual confidence between buyers and sellers about the quality of used autos. The Philippines' used automobile industry is very fragmented, with several local and startup companies. However, in order to develop newer items and obtain a competitive advantage, big rental companies are forming partnerships and joint ventures. According to the research report "Philippines Used Car Market Overview, 2029," published by Bonafide Research, the Philippines Used Market is expected to grow more than 7.50% from 2024 to 2029.. Future market structure consolidation is anticipated due to the anticipated rise in market share for companies selling cars through structured channels. With a decreasing average replacement interval over time, it is anticipated that the average ticket size of a used car will rise. Customers would likely transition between new and used cars at a faster rate than in the past, indicating a sharp shift in consumer preferences. To make the procedure easy and transparent for the purchasers, banks and multi-brand dealers are forming strategic partnerships with online auto portals and classified sites. Customers will be able to make well-informed decisions in the future because a wealth of information about car prices will be made available to them on a variety of platforms. The Philippines used car market is seen by some well-known international C2B firms as a developing and lucrative market. As the middle class grows and their discretionary income rises, more Filipinos will be able to purchase used cars, increasing the number of potential buyers. When selecting a vehicle, Filipinos give priority to comfort, safety, and practicality. Used vehicles, especially MPVs and SUVs, frequently meet these requirements at reasonable price ranges. The Philippines offers a large variety of used automobiles at different price points, brands, and body designs to suit a broad range of needs and tastes.

Based on Vehicle Type market is divided into Conventional, Hybrid, and Electric. Due to higher rates of depreciation for newer technologies, conventional automobiles usually have a lower price tag on the used market than their alternative fuel counterparts. Given how sensitive people are to pricing, this is crucial in the Philippines. A greater pool of qualified mechanics and easily accessible spare parts may result from Filipinos' increased familiarity with driving and maintaining traditional automobiles. Comparing this to more recent technologies can lower repair costs and uncertainty. It's possible that the Philippines are still building the infrastructure necessary to support alternative fuel cars, including electric car chargers. As a result, some consumers may find these cars less appealing. Due to higher rates of depreciation for newer technologies, conventional automobiles usually have a lower price tag on the used market than their alternative fuel counterparts. Given how sensitive people are to pricing, this is crucial in the Philippines. A greater pool of qualified mechanics and easily accessible spare parts may result from Filipinos' increased familiarity with driving and maintaining traditional automobiles. Comparing this to more recent technologies can lower repair costs and uncertainty. It's possible that the Philippines are still building the infrastructure necessary to support alternative fuel cars, including electric car chargers. As a result, some consumers may find these cars less appealing. Based on Body Type market is divided into Hatchbacks, Sedan, SUV & MUV, Others. Practicality, comfort, and safety are becoming more and more important considerations for Filipinos when selecting a car. These qualities make SUVs and MPVs appealing, which is why their popularity is rising. Family trips and outdoor activities are becoming more and more popular, which is driving up demand for cars that can handle these activities. SUVs and MPVs are ideal for these kinds of activities, which increases their market share even more. Used SUVs and MPVs in the Philippines come in a wide range of price ranges and brands, making them highly accessible. This extensive selection serves a larger market and facilitates the process for purchasers in locating a car that meets their requirements and budget. Based on Fuel Type market is divided into Petrol, Diesel, Others. Due to reduced manufacture and depreciation expenses, used gasoline-powered vehicles are typically less expensive than their hybrid or electric counterparts. This increases their market accessibility. The Philippines has a sizable and well-established gasoline car infrastructure, which includes a network of repair shops and easily accessible fuel. Many buyers find this simplicity of ownership appealing. Mechanics have a thorough understanding of petrol engines, and spare parts are easily accessible. In contrast to more recent technology like hybrid or electric powertrains, this lowers repair costs and uncertainty. In the Philippines, gasoline is readily available and frequently less expensive than other fuels. This encourages consumers to choose gasoline-powered vehicles.

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Manmayi Raval

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Based on Size market is divided into Mid-Size, Compact, SUVs. SUVs are great for families, outdoor enthusiasts, and people who regularly move big objects since they provide plenty of space for both passengers and freight. Numerous SUVs feature seats that fold or remove, making it possible to arrange them in numerous ways to meet diverse demands. Families with developing children or those who frequently use their automobiles for various purposes may find this versatility especially appealing. Based on Vendor Type market is divided into Organized, Unorganized. Unorganized segment is leading market leader. Due to the reputation of price consciousness among Filipinos, consumers looking for deals may be drawn to the unorganized sector due to the perception of lower costs there. A larger pool of used automobiles is hitting the market as a result of the Philippines' expanding middle class and rising car ownership. Bypassing established dealership routes, individual sellers and small dealers can now more easily interact with potential customers thanks to the growth of online platforms and social media. Based on By Distribution Channel market is divided into Offline, Online. Online segment is dominating the market. The used automobile market in the Philippines is seeing a tremendous increase in the internet segment. Online resources let consumers look through used cars day or night in the comfort of their own homes. This saves time and effort by removing the need to physically visit several dealerships or individual sellers. When comparing online marketplaces to traditional brick-and-mortar options, the former provide a far wider selection of used cars. Customers have access to automobiles from various cities and areas, broadening their options and raising the possibility that they will discover the ideal vehicle.

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Considered in this report: • Geography: Philippines • Historic year: 2018 • Base year: 2023 • Estimated year: 2024 • Forecast year: 2029 Aspects covered in this report: • Philippines Used Car market with its value and forecast along with its segments • Various drivers and challenges • On-going trends and developments • Top profiled companies • Strategic recommendation By Vehicle Type: • Conventional • Hybrid • Electric By Body Type: • Hatchbacks • Sedan • SUV & MUV • Others By Fuel Type: • Petrol • Diesel • Others By Size: • Mid-Size • Compact • SUVs By Vendor Type: • Organised • Unorganised By Distribution Channel: • Offline • Online The approach of the report: This report consists of a combined approach of primary as well as secondary research. Initially, secondary research was used to get an understanding of the market and list out the companies that are present in the market. The secondary research consists of third-party sources such as press releases, and annual reports of companies, analyzing the government-generated reports and databases. After gathering the data from secondary sources primary research was conducted by making telephonic interviews with the leading players about how the market is functioning and then conducting trade calls with dealers and distributors of the market. Post this we have started doing primary calls to consumers by equally segmenting consumers into regional aspects, tier aspects, age groups, and gender. Once we have primary data with us we started verifying the details obtained from secondary sources. Intended audience: This report can be useful to industry consultants, manufacturers, suppliers, associations & organizations related to the Used Car industry, government bodies, and other stakeholders to align their market-centric strategies. In addition to marketing & presentations, it will also increase competitive knowledge about the industry.