2010 – The year for cars?
Posted on | August 25, 2009 |
Speaking with a few car dealers over the weekend, the common consensus was that 2009 would not see an upturn in fortunes for the industry. In fact, many believe that the market will be in a worse position than it has been in the latter part of 2008. However, with interest rates recently being cut, and with savings being introduced, there is a glimmer of light at the end of the tunnel. Many believe that it will not be until 2010 that the cars market will pick up once again and consumer spend will increase. The reality is that although buyers are not currently purchasing vehicle as regularly as they did in say 2007, there are still new and used autos being sold. People still need cars and that will never change. The other reality is that many people require finance to complete their purchase and with such options not as readily available anymore, dealers are hoping that 2010 will also be the year that sees a re-influx of car finance and credit offerings be given to consumers. Obviously as things stand this seems quite a while off yet but the belief is that if people and companies can manage to get through the next 8-10 months, they will be in a better position for the future. New cars and used cars sales will continue to be effected and so drivers can only be patient in their quest for an upgraded car. Reports today suggest that many of the UK’s top motor retailers are operating at a loss and have been forced to make some of their staff redundant to coincide with the demise of sales. One of the UK’s biggest has in fact been forced to close a number of their dealerships due to a lack of buying activity. The smaller dealers are the one who have been hit most by the credit crunch and unfortunately many have now gone out of business and ceased their trade in the motor industry.