With a declining vehicle sales market and heavily subdued economy prevailing longer than anticipated, we implore the government to rapidly implement structural reform in order to stimulate economic growth and lift confidence levels of business and consumers alike, says Mark Dommisse, Chairperson of the National Automobile Dealers’ Association (NADA) which represents franchised car and commercial vehicle retailers in South Africa.
“A smaller vehicle parc and market contraction is putting strain on dealership viability, as we see consolidation in dealership footprints with a concomitant loss of jobs,” continues Dommisse, when commenting on the new vehicle sales statistics for the month of August 2019.
“Retailers continue to see interest in the pre-owned and demo segments, despite a shortage of good stock in this area,” concludes Dommisse.
- Overall Dealer sales channel for August 2019 – 37 154 new vehicles (passenger and commercial vehicles) sold on dealer floors in August 2019 (Aug 2018:38 013) showing a -2.3% variance in sales on dealer floors compared to the same month last year)
- Cumulative year-on-year August 2019 vs August 2018 – 288 897 new vehicles sold on dealer floors year-to-date to August 2019 (2018: 300 524) showing a -3.9%decline on dealer floors year-on-year)