Social News
Written by: Ouyang Dehao
2020-12-28 08:00
Last update date: 2020-12-28 08:00
The new crown pneumonia epidemic in Hong Kong has lasted for nearly a year, and all walks of life have entered the "ice age". However, dangers are organic. In addition to the booming online shopping market, the sales of second-hand cars have also increased significantly due to the epidemic.
Aden Lee, operations manager of the dealership "Dealguru Auto", said that demand in the second-hand car market is oversupply, and the prices of some vehicles have risen instead of falling.
He explained that in order to avoid the risk of infection, the public reduced the use of public transportation, resulting in a booming market.
At the same time, in the early days of the epidemic, industry insiders were worried about the future business environment and in order to survive with small profits but quick turnover. "They will sell everything that is flat and profitable. No one knows how to sell and pay."
Aden pointed out that in order to avoid the risk of infection, citizens reduced their use of public transportation, resulting in a booming second-hand car market.
(Photo by Huang Shuhui)
The new crown pneumonia epidemic is getting worse all over the world, and the virus seems to be everywhere. Government expert consultant Yuan Guoyong has repeatedly warned that transportation and restaurants are high-risk transmission channels.
According to the latest information from the Transport Department, before the outbreak of the epidemic in December last year, the total number of public transport passengers in Hong Kong was about 11.8 million, but this has fallen to 9.44 million in September this year, a decrease of 2.4 million.
At the same time, the total number of private car registrations continued to rise, from 628,230 to 643,422 registrations, an increase of 2.4%.
The two figures not only reflect that some citizens seldom go out of the street and work at home due to avoidance of the epidemic, but also show that they seem to have a tendency to reduce their use of transportation and switch to self-driving.
In fact, people in the automobile industry have also observed a trend of self-driving mobility in society.
Aden Lee, the operation manager of the dealership "Dealguru Auto", said that in the past 20 years or so, during the economic downturn, the sales of used cars have fallen into the cold winter.
However, he described the sales this year as a "miracle." There was a shortage of stocks in the market, especially for the more popular brands in Japan and Europe, such as BMW, Lamborghini, Ferrari, etc., especially for cars with good equipment and affordable prices.
In the case of market demand exceeding supply, the prices of some second-hand cars did not fall but rose instead.
"It's not easy to estimate, because private cars are used and economic conditions are not good, second-hand car dealers are in the cold winter."
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Citizens buy second-hand cars to avoid public transportation and reduce the risk of infection
Aden continued that in the early days of the outbreak, experts worried about the future business environment. In order to survive with small profits but quick turnover, "holding on the flat land to make money and sell everything, no one knows how to sell it and then pay it back." A year later, he It is believed that the new crown pneumonia epidemic is special, and the duration of SARS is longer than that of the previous year.
In order to avoid the risk of infection, the public reduces the use of public transportation, resulting in a booming second-hand car market.
"I saw that two parents-in-laws are spending less money under the epidemic. They may add tens of thousands of mosquitoes for a few months, and then they will buy a scooter. Tens of thousands of mosquito-carriages will take one or two years to buy. After selling it back, a car of 30,000 mosquitoes can be sold back to 20,000 mosquitoes. It will be used for a year or two under the epidemic, and it will only cost 10,000 mosquitoes and pay a depreciation.
In recent years, the prices of raw materials have continued to rise, and the prices of car manufacturers have also increased relatively. For example, the price of RVs of the same grade has more than doubled after 10 years.
(Photo by Huang Shuhui)
Customers think newer used cars are worth the money
In fact, before the outbreak of the epidemic, the demand for second-hand cars has been increasing year by year. "In fact, Hong Kong is a good place. I have been in contact with Lei for more than 20 years. There is a secret, it is that the car is not sold." Aden said. As the people of Hong Kong pursue a higher quality of life, car manufacturers have introduced new car models more frequently, stimulating customers' desire to change cars in disguise.
Some customers believe that buying second-hand cars with a newer year can save maintenance and replenishment costs. They are no different from new cars in appearance, and they think they are more worthwhile from the perspective of rational consumption.
Aden also revealed that due to the continuous increase in the prices of raw materials in recent years, the prices of car manufacturers have also increased relatively.
He pointed out that although the gross profit margin has not changed, the total amount of vehicles has risen and profits have also increased.
"Car prices are high, at least they can catch up with inflation."
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Car dealer: It's a knockout in the past 10 years
Although the market outlook is optimistic, Aden believes that the sales method of used cars has not been transparent and there is room for improvement.
He plans to launch a "hidden bid" sales platform on the Internet to imitate the high transparency of real estate agents. The dealership is responsible for contacting buyers and sellers, setting out the bid price, and providing information on vehicles sold and vehicle inspection reports.
If the customer wins the bid, he can also hire another company for a second car inspection.
If there is no problem, the two parties can meet in person to sign the contract, and the dealership only earns a fixed commission.
"In fact, it has become an industry or a well-known automobile website. There is no one who can answer a customer with confidence: I will give you a result within 10 days."
Aden revealed that business members and individual members will be recruited within this month, that is, outsiders can also sell used cars through the platform.
He hopes that the reform of sales methods can solve the problem of insufficient supply of used cars in the industry.
He also pointed out that the Technet has developed rapidly in recent years, and some companies in the industry have lost money because they have not caught up with the trend. "The past 10 years have been a knockout tournament. Some people make money and others lose money. The Technet has made a change in the industry. There will be some pitfalls."
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