The number of Australians planning to buy a new car in the next four years has slipped to its lowest point since November 2012 – now the latest figures from Roy Morgan Research reveal that this downward trend is continuing.
In fact, the market has decreased from 2.17 million potential new car buyers to 2.07 million, a decline of more than 400,000 potential buyers since May.
Intention has also slumped further among people planning to buy a new car in the next 12 months, falling from 608,000 people as of July 2014 to 523,000 in August.
Jordan Pakes, industry director – automotive, Roy Morgan Research, says: “Despite consumer confidence starting to stabilise in recent weeks, this has yet to have an impact on our new car buying intentions.
“Long-term intention now sits at its lowest level in three years – since August 2011 – while short-term intention hasn’t been this low since February 2010, more than four years.
The Federal budget in May has certainly impacted peoples’ economic optimism, and ongoing international uncertainty only serves to heighten this sense of gloom,” Pakes adds.
RoyMorgan research is in line with figures released last month that showed the new-car market has endured its biggest slowdown since the global financial crisis kicked off in 2008.
The total market was down by 5.5% in September, the top 10 sellers were down by 8%, while six of the top 10 brands posted an average decline of 15%, compared to the same month last year, the figures show.
Australians purchased a total of 88,157 new cars last month – down from 93,336 in 2013 – with the market now down 19,307 units in the first eight months of 2014.
The FCAI is due to release the VFACTS figures for September in the next few days.
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