RateCity.com.au
powering smart financial decisions

Aussie interest in buying new vehicles is dropping

Aussie interest in buying new vehicles is dropping

2.28 million Australians intend to purchase a new vehicle in the next four years, however, this number has fallen by 270,000 people from 2.55 million last year.

According to Roy Morgan research for February 2018, intent to buy a new vehicle in the next 12 months has also dropped below 600,000 “for the first time in over a year”.

New Vehicle Purchase Intention: February 2018

istock_79305201_small5

Source: Roy Morgan Single Source Survey

Which car types are the most popular?

In terms of car types, Roy Morgan noted an increase in interest in SUVs, with 623,000 Australians aged 14 and over intending to buy a “new SUV/4WD, five seater within the next four years. This car type saw a dramatic increase in the intent to purchase, raising by 156,000 people from the same time last year.

The next most popular car type was four door hatchbacks (483,000 people), followed by five door hatchbacks (319,000 people. However, like with intent to purchase cars in Australia, the number of people intending to buy these car types has fallen by 109,000 for a four door and 180,000 for a five door.

Car Type

Dec 16 – Feb 17

Dec 17 – Feb 18

Difference

SUV/4WD, five door, five seater

467,000

623,000

+156,000

Four door sedan

592,000

483,000

-109,000

Five door (four side doors and a hatch back)

499,000

319,000

-180,000

Source: Roy Morgan Single Source Survey

Norman Morris, Industry Communications Director, Roy Morgan noted that there had 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”.

“We have already seen some early signs of changes in this industry, particularly in the very rapid changes in body style preference, the move away from four and five door cars to SUVs,” said Mr Morris.

Did you find this helpful? Why not share this news?

This article was reviewed by Personal Finance Editor Mark Bristow before it was published as part of RateCity's Fact Check process.

Advertisement

RateCity

More car loans news

More news? Read more here

Learn more about car loans