Car Sale Statistics From 2017
Australia's car sales volume grows each year, reflecting the lifestyles and changing tastes of the Australian population. 2017 was another record year for Australian car sales, with just under 1% increase in total car sales volume.
Which cars were most popular in Australia in 2017?
Here's a fast guide to the most popular cars of 2017:
|Best Selling Models 2017|
|1.||Toyota Hilux 4x4|
Australia has one of the most competitive car sales markets in the world, with over 430 new models from 54 different brands of cars to choose between.
Notably expanding brands include Volkswagen, Audi, Kia and Mercedes-Benz, while the top selling car brands were:
|Best Selling Car Brands 2017|
SUV sales surpass passenger vehicles
According to car sale statistics, 2017 marked the first year in Australia where more SUV's than passenger vehicles were purchased, with 465,646 sold, making up 39.2% of total car sales. Passenger vehicles made up 37.8% of car sales, with 450,012 sold in 2017.
Light commercial vehicle sales have increased to 20.6% and heavy commercial vehicles have increased to 13.7% of market share.
Newer vehicles means better safety
New cars are installed with the latest in safety technology, including autonomous emergency braking and lane keep assistance. As these technologies become more widespread in the driving population, we expect to see a decrease in road accident fatalities and injuries.
What do the car sale statistics mean for 2018?
According to a survey by Roy Morgan in November 2017, around 2.38 million Australians are planning to buy a new car in the next four years, more than ever before, especially in the age group 50 yrs and older.
Younger people, especially those under 34 years, are less likely to plan to purchase a new car in the next four years than they were in 2002, but they are still highly likely to buy a used car. Those aged 14-24 have the greatest decrease in intention to buy a new car, 29% lower than in 2002.
Why is this? As lifestyles change those under 34 years are more focused on travel, eating out, and experiences; while being affected by longer time spent in higher education, unemployment, wage stagnation and housing costs.
The increase in SUV market share is a result of an increase in the number of Baby Boomers looking to buy a new car increasing to 37.6% compared to just 15.8% in 2006.
How does the closure of Australia's car manufacturing affect the industry?
The car sales industry in Australia covers more than just manufacturing, and while many buyers are disappointed that the Holden Commodore is no longer made locally, they'll still be buying new cars. Here's a snapshot of the car buying industry annual share of the market:
- Car loans: over $20 billion
- Car insurance: over $13 billion
- Servicing and repairs: $14 billion
- Roadside assistance: $6 billion
- Fuel: $3 billion
- Media and publishing: $1.9 billion
Plus, people still need to pay for parking. As you can see from these figures, the end of car manufacturing in Australia doesn't extinguish the vibrant car industry, or consumer demand for its services. Right now transportation makes up 7% of Australia's GDP, $117 billion, with each household spending around 13.6% of its income, or $17,147 p.a. on transport.
As the Australian population continues to grow rapidly, car sales and related service such as car loans should remain strong through to 2020, with new technologies being welcomed by millennials.
Electric Cars in Australia
There's an increasing interest in electric cars as the technology improves and prices gradually decrease. The Roy Morgan survey revealed that 37% of people would consider buying an electric car, up from 29% in November 2016.
The flip side of this is that previous 'lower emissions' fuel options like LPG (21%) and diesel (45%) are receiving less attention than in previous years.
The future of Australia's Car Industry
As new technologies emerge and become prevalent, by 2025 major disruption of the Australian car industry is expected. Some of the anticipated changes include:
- Increase in car sharing - 18% of Australians have the Uber app on their phone, and 36% are already using car-sharing services like GoGet and FlexiCar (while 64% aren't aware that these services exist).
- Driverless cars
- Purely online car purchasing
For the next few years, Australia's car sales industry should remain strong. However, throughout the next decade we anticipate that there will be a shift in urban mobility and car ownership as society adapts to use new technologies and reduce emissions through transport sharing.
If you've been considering buying a new car, Positive Lending Solutions can help with car loans, and with sourcing the car you want at wholesale price.