India Preowned Two Wheelers Market |India Used Two Wheelers Market

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India Used Two Wheeler Market Report 2020
Ken Research
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• The used two-wheeler market in India has
  witnessed unparalleled growth over the period
  2010-2015. The market has witnessed an
  unprecedented CAGR of during the period
  2010-2015 in terms of revenue. The used-two
  wheeler market in India has perceived a growth of
  14.9 in terms of sales volume over the period
  2010-2015. During the year 2010, the market
  recorded volume sales of million used
  two-wheelers in the country which grew to
  million.

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• The growth of this sector has been majorly driven
  by rising aspirations of Indian consumers,
  frequent launches of two-wheelers and
  availability of easy financing options which have
  led to a greater supply of pre-owned vehicles in
  the market. Additionally, the reduction in the
  ownership period of two-wheelers has also been an
  important factor that has driven the used two
  wheeler market in the country.

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• The market witnessed entry of a few organized
  players which focused on product quality. This
  encouraged working women and young individuals to
  look for used vehicles in good conditions.
  Further, increasing parking issues in
  metropolitan cities, rising parking charges in
  commercial compounds and rising problems of
  traffic have fuelled the sales of pre-owned
  scooters and two wheelers in India.The used
  two-wheeler market faces a number of issues such
  as lack of display, limited choice in the number
  of vehicles and lack of background verification
  including others

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• As more and more online players, which focus on
  quality will enter the market, the used
  two-wheeler market will perceive more
  transparency and authenticity in the
  transactions. Despite a number of hassles and
  lack of trust involved in buying and selling of
  used two-wheelers in India, the market is largely
  dominated by unorganized players. Individual
  sellers, local mechanics and small dealerships
  together contributed to nearly of the market
  in terms of revenue during 2015.

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• In India getting a bike customized costs at least
  INR 300,000 and above and there exist a very few
  players in the customized bikes market. The
  number of individuals who are bike enthusiasts
  and are able to afford expensive bikes constitute
  a very small proportion of buyers in the market
  for new customized bikes. During the year 2015,
  customized two-wheelers contributed to a mere
  0.02 of the used two-wheelers sold in India,
  while the major chunk consisted of standard
  vehicles manufactured by companies.

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• In India, riders of two-wheelers are majorly
  commuters while only a few are enthusiasts.
  Additionally, price and mileage are the most
  important factors that Indians consider before
  purchasing a new vehicle. This is the major
  factor behind companies focusing on production of
  low maintenance and high performance bikes and
  scooters. Domestically manufactured bikes have
  dominated the sales of used two wheelers in India
  with a hefty share of in the sales volume
  during 2015.On the basis of engine capacity of
  two-wheelers, it has been observed that used
  bikes with 100-110cc engine capacity have been
  mostly purchased by buyers.

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• The share of this segment in the volume sales
  during 2015 was noted at and in 2010. These
  commuter bikes is that they are affordable and
  deliver strong mileage, due to which they appeal
  to the masses. The Indian used two wheeler market
  is dominated by Hero which is also the global
  leader and largest player in the new two-wheeler
  market. Hero contributed to a share of share
  in the sales of used two-wheelers during 2015.
  Bajaj is the second largest manufacturer of
  motorcycles in the country which contributed to a
  share of in volume sales as of 2015.

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• It has been observed that today Indians mostly
  use a two-wheeler for at least a period of three
  to five years before disposing it off. During the
  year 2015, of the two-wheelers sold were 4-5
  years old, while of the used vehicles sold
  were 3-4 years old. Increasing urbanization and
  rising income levels of Indian consumers has been
  leading to rising aspirations of the middle and
  lower middle class income consumers. Individuals
  in the low income bracket prefer to buy a used
  scooter or a bike since they cannot afford a car
  or a new two wheeler vehicle.

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• Indian and global players in the two wheeler
  market have been frequently introducing new
  models of bikes and scooters. This enables
  vehicle owners to frequently change their bikes
  and sell the old ones. Increasing income levels
  of consumers along with the changing behavior of
  individuals has led to an increase in the
  replacement rate of vehicles. However, the
  industry faces a number of challenges. Lack of
  trust and standardization have been the major
  issues in the pre-owned two wheeler market due to
  which most of the potential buyers prefer not to
  buy a used vehicle.

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• Dealers and mechanics with small establishments
  or road side set-ups do not have access to
  warehouses. Furthermore, there are no
  standardized prices set for used vehicles and a
  seller may charge a high amount for a vehicle
  which may not be in a superior condition. Lack of
  standardization is another major drawback in the
  Indian used two wheeler market. Another drawback
  associated with purchasing second hand vehicles
  from unorganized market is the lack of background
  verification of the previous owner.

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• The online used two wheeler market has been
  emerging with the rise in the popularity of
  e-commerce platforms in the country. Online
  platforms have enabled India users to trust
  online platforms and make high value transactions
  online using their debit and credit cards. The
  sale of used-two wheelers has always been
  traditionally channel through unorganized dealers
  or sellers themselves. However, with the growth
  of organized used car market and the rise in the
  popularity of automobile classified portals, the
  C2C channel has been preferred by consumers to
  eliminate intermediaries.

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• In terms of sales volume, the online two wheeler
  market has enlarged at a CAGR of from January
  2015-December 2015. The market witnessed an
  average of nearly growth in the initial 3
  months. Effective marketing and branding
  strategies adopted by players have been the key
  factors that have fuelled the growth of this
  market. It has been observed that out of the
  orders placed on online platforms, only of the
  orders were sourced from mobile platforms which
  include mobiles and tablets. On the other hand,
  of the orders were placed through desktop
  platform during the year 2015.

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• Source https//www.kenresearch.com/automotive-tra
  nsportation-and-warehousing/automotive-and-automot
  ive-components/india-preowned-two-wheelers-market-
  report/6912-100.html
•  Contact Ken ResearchAnkur
  Gupta, Head Marketing CommunicationsAnkur_at_kenre
  search.com91-9015378249
• Website www.kenresearch.com

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