OLX Autos has reported a sharp increase in both the supply and demand of luxury cars on its platform in the first half of 2022. The pre-owned car market is growing faster (15%) than the new car market (10%) in terms of CAGR, with used car volumes poised to become 1.5x more than the new car market by FY ‘26, as per a study by OLX Autos and CRISIL.
In order to arrive at the findings, OLX Autos analyzed over approx. 50,000 listings (ads on the OLX platform posted by users) of the luxury and ultra luxury car brands on its platform across more than 50 - Tier 1 (Bengaluru, Chennai, Delhi NCR, Hyderabad, Mumbai, Kolkata, Pune and Ahmedabad) and Tier 2 cities (Agra, Amritsar, Chandigarh, Coimbatore, Indore, Jaipur, Kochi, Kozhikode to name a few) in India. The brands that are most popular on OLX include Audi, Mercedes Benz, BMW, Porsche and Jaguar. The analysis was undertaken for the first 6 months of January - June, 2021 and 2022.
BMW remains the most popular pre-owned luxury car brand in terms of demand:
In terms of overall volume across Tier 1 and Tier 2 cities, BMW continues to be in demand, and is the most popular pre-owned luxury car brand, followed by Mercedes Benz, Audi, Jaguar and Porsche.
Across Tier I and Tier II cities - demand growth was led by ultra-luxury brands on a (Year on Year basis). Demand in Tier 1 cities was led by Porsche with 21%, followed by Audi by 11%, BMW by 9% and Mercedes Benz by 5%, whereas demand in Tier 2 cities was led by Porsche at 17% followed by Audi with 11%, Jaguar by 8%, BMW by 5% and Mercedes Benz by 0.5%.