A total of 57 670 new vehicles were sold in July 2014, a 1.5 percent decline compared to the same period last year. Passenger car sales declined by just 1.2 percent, while Light Commercial Vehicles (LCVs) decreased by two percent. Rental fleet sales are up 21 percent, year-on-year, while dealer sales declined 5.9 percent, year-on-year.
Despite less activity in dealerships, July saw an all-time record for vehicle finance applications, at 129 000. Applications for new vehicle finance grew by five percent, year-on-year. Nonetheless, the market’s shift to used vehicles was seen in yet another month of double-digit growth for pre-owned vehicles, at 15 percent, year-on-year.
This decline in the new market can be attributed to continued growth in the used car market, where buyers are finding better value for money. WesBank’s data comparing sales of used and new vehicles shows a ratio of 1.39 used vehicles to every one new vehicle, a year-to-date increase of 11 percent.