There is certainly a lot of interest in ownership of used cars. While price, less depreciation, social status upgrade while purchasing pre-owned luxury cars, make the proposition of used cars attractive, there are negative perceptions of the vehicle’s return on investment, the lifespan of the car, and the stigma associated with buying a “second-hand,” which reduce the appeal of ‘Used Cars.’

So, how do Used Cars fit in with the lifestyle of urban car buyers? Amit Adarkar, CEO of Ipsos India, says these are interesting insights from the standpoint of a carmaker: “Consumers have different motivations for buying and not buying a used car. Interestingly, consumers are concerned about the ROI and seem to tread on caution. Some of these concerns do take the sheen off used cars, but these concerns are unfounded. Certified cars are meant to be road-ready for the long haul,” says Adarkar.

Interestingly, a majority of the respondents polled supported the government’s proposed decision of hiking tax rates on old cars. The hoopla around online classified advertising sites like OLX, Quikr and others notwithstanding, only about 11 per cent of respondents said they would buy a Used Car online; 41 per cent of the respondents were undecided.

Naturally, 31 per cent of respondents saw benefit in price in ownership of a Used Car, 24 per cent felt a Used Car depreciates lesser vis-à-vis a new car; 19 per cent felt a premium luxury Used Car is accessible and can elevate social status; 15 per cent felt stakes were much less for buying and selling used cars; and for 11 per cent, Used Cars made car ownership a reality for those who felt that car ownership was beyond their means.

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