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Fewer Australians intend to buy a new car

Posted: 3 May 2018 5:03 pm
News

car

The number of people who intend to purchase a new car in the future slips below last year’s record levels.

The latest figures from research company Roy Morgan show that the recent string of record-breaking car sales may be about to dip slightly.

Fewer drivers plan on purchasing a new car

The new figures show that less of us expect to buy a new car in the next twelve months. About 90,000 less to be exact, when compared with the same period last year.

An estimated 587,000 said they would be buying a new vehicle sometime in the next year. This is the first time the numbers have dipped below 600,000 in 12 months.

Over the next four years, 2.28 million Australians say they’re planning to pick up a new set of wheels. Again, this number is slightly lower than last year's survey, where 2.55 million said they were going to swap their car for a new one. (The figures are estimates from a survey of 50,000 Australians.)

Survey reveals most popular models

If you’ve seen the sales figures over the last year, it's no surprise that SUVs lead all other models in popularity. 623,000 say they will buy an SUV or 4WD in the next four years. That’s an increase of 156,000. No wonder we’re seeing so many new SUV models from car makers.

Four-door sedan models were the next most desirable cars followed by five-door hatchbacks. Both fell in popularity from the last survey, with the former dropping 109,000 to 483,000 and the latter sliding down 180,000 to 319,000.

Dec 2016 - February 2017Dec 2017 - February 2018Difference
SUV/4WD467,000623,000156,000
Four-door sedan592,000483,000-109,000
Five-door hatchback499,000319,000-180,000

Source: Roy Morgan

Market is “softening"

According to Norman Morris, the industry communications director at Roy Morgan, the new car market is softening after a strong decade of sustained growth.

“Over the last decade or more, there has been considerable growth in the new vehicle market with rising intention of purchasing a new car in the next four years, but we are now seeing a softening in the market."

A good time to buy a car?

If sales do drop, then things turn in favour of car buyers. Dealers will offer enticing deals and promotions. By using our car loan comparisons, you can examine the best purchasing option for your situation.

Thinking of buying an SUV? Save time by reading our comparison medium-sized SUV reviews.

Latest car headlines

Picture: Shutterstock

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