According to the annual Kantar-Aramisauto barometer, two-thirds of French people considering buying a car will choose a used model.

And while the market is exploding, an entire industry is being structured. 

DECRYPTION

While the automotive sector is going through a complicated period, between plant closures last year and a shortage of semiconductors this year, the used car market is doing very well and its weight is increasing. more important compared to the new market.

And it's not about to stop.

According to the annual Kantar-Aramisauto barometer that Europe 1 unveils on Wednesday, two-thirds of French people who plan to buy a car will prefer a recent second hand than a new vehicle.

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In 2020, while sales of new cars plummeted by more than 13%, those of used cars remained at -4%, according to figures from AAA Data, an expert in augmented data.

That is 5.6 million transactions and a ratio, much watched by professionals, which leans more and more in favor of used cars, with 3.4 sales for one sale in new vehicles, according to the Autoscout24 platform.

The importance of the purchasing power factor

But how to explain it? First, there is a purchasing power effect. This is what emerges in particular from the annual Kantar / Aramisauto barometer on "the French and the automobile". For one in four people, it is prudent, with the fact of making the choice not to spend too much at this time. And many have turned to recent opportunities, as underlined by Guillaume Limare, marketing director of Aramisauto. "We have seen the recent used car, that is to say less than 3 years old, between 30,000 and 40,000 kilometers, to be very popular with customers," he says.

Price remains the number one argument when buying a car.

And there are some great deals, even on very recent vehicles.

Depending on the model, prices can drop by 20 to 40% for cars less than a year old, says Aramisauto. 

A sector in the process of being structured 

The second-hand market is therefore becoming more and more crucial in the automotive sector.

Everyone wants to be present, and all manufacturers have their own dedicated sales label: Spoticar for the Stellantis brands (Peugeot, Citroën, Opel ...), Renault Occasions, "Das Welt Auto" for the Volkswagen group or even Hyundai Promised.

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The specialists of the occasion, them, reinforce themselves.

Aramisauto, for example, is preparing its IPO to expand into Europe.

Finally, newcomers are multiplying, such as AutoHero or CarNext who invest in massive marketing campaigns, while even sites like CDiscount are getting started.

Still according to the Kantar / Aramisauto barometer, for 86% of French people, reconditioned used cars provide the best value for money.

Reconditioning is the keystone of development

This is the most spectacular aspect of this new trend: the construction of car reconditioning factories, to refurbish vehicles to sell them "as new". Large-scale projects are being set up such as that of the Renault group in Flins, in Yvelines, which will become by 2024 a site focused on the circular economy, with the ultimate ambition of generating one billion euros per year.

Several large groups of automobile dealerships have just launched their factory, such as Emil Frey France in Ingrandes, in Vienne.

For Europe 1, Vincent Hancart, Managing Director of Autoscout24 France, observes a "professionalization of the sector, with companies investing in much larger infrastructures".

"This involves the systematic reconditioning of vehicles," he adds.

Proof that it works and that it creates jobs, Aramisauto - one of the pioneers in reconditioning - started with a dozen employees in its factory in Donzères, in the Drôme, and the company now has more than 130 employees. .

The Aramis group, whose turnover increased by 12% in 2020, expects 150 hires this year. 

Huge financial stakes

At European level, the used car market is estimated at 600 billion euros, specifies Alexandru Marin, vice-president of the Auto1 group, leader of the used car market on the continent, which has just launched a new site 100 % online, AutoHero. 

According to him, buying on the Internet, in a simple and confident way, is the most suitable formula to be responsive to new customer requests. "There are a lot of demands for newer, well-equipped cars that meet environmental standards. People are also increasingly turning to electric and hybrid cars," he explains. Electricity is currently only 2% of the second-hand market, but this will inevitably increase, since it now represents almost 8% of new car sales, according to the latest figures for the 1st quarter of 2021 from AAA. Data.