But sales in the
The head of the German Institute for Automobile Manufacturing (IFA) Willi Dietz expects sales in
Dietz predicts that only about 6,000 of the current 11,000 car dealers in
Premium car makers such as BMW, Mercedes and Audi are having particular problems selling their cars. Mercedes sales in the
especially on management incentives such as company cars.
The tax incentives on new cars, offered by governments in
According to a recent study conducted by Carfax Europe, a web- based service that supplies vehicle history reports to individuals and businesses on used cars and light trucks, the used car market in
At the same time the study pinpointed the biggest obstacle in the sector as the lack of trust customers have in used car dealers and in the condition of the vehicles offered.
Nevertheless most private consumers buy a used car and the opportunities have never been better. Overcapacity on the part of producers has flooded the market with low-mileage vehicles, especially from the leasing business. These cars are almost as good as new and technically in a much better condition than the used car of a few years ago.
The internet has stepped up competition with customers getting a good idea online on quality and condition. Numerous websites cater for buyers and sellers. General Motors has just started selling its cars on Ebay. Consumers have direct contact with 225 dealers in
The site provides comparison pricing across dealerships with helpful tips for buyers and trade-in values. The programme is running for a trial period until September but could well change the car market as we know it.