• Car sales in June saw a slight improvement.
• 91.3% of new vehicle sales was through the dealer channel.
• Buyers leaning towards mid- to low-end-priced vehicles.
The National Automobile Dealers Association (NADA), a proud member of the RMI, is encouraged to see a slight improvement in new vehicle sales figures for June.
Nonetheless, there is a long way to go before the market sees any recovery.
Following the disastrous months in March, April and May, we saw positive activity on dealership floors in June. Of the total reported industry sales of 31 867 vehicles across all segments, an estimated 29 100 units, or 91.3%, represented dealer sales.
The trend at the moment is that of new vehicle buyers leaning towards the mid- to low-end-priced vehicles. However, on the back of new vehicle price increases from the weakening Rand, there are currently decent buying opportunities in new cars across all ranges.
The fuel price, although recently increased, but lower than before lockdown started, coupled to the lowest interest rates we've seen in years, will also create buying opportunities for consumers. We are hoping that this positive trend continues in July and for the balance of the third quarter.
Mark Dommisse (pictured) is the chairperson of NADA.