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Changes Coming to the Canadian Automotive Market
Changes Coming to the Canadian Automotive Market
The Canadian vehicle market has taken on an identity of its own over the last 15 years. Unlike their American counterparts, Canadians typically took the avenue of finding a new vehicle as appose to buying previously owned. This was by far most apparent in the automotive sector where 3 out of every 4 cars sold were considered “New.” However, today brings uncertain times with a declining and uncertain economy every industry has felt the effects.
The Canadian Automotive sector is seeing quite the transformation in that the popular leases of the past are being phased out by franchised dealers in favour of financing. GMAC Club and Chrysler Financial have discontinued leases throughout North America. Ford Motor Credit hasn’t exactly taken the same approach; they have instead increased their lease rates to the point that no one could even afford them. We must ask ourselves why? For starters, dealerships have seen too many lease terminations due to missed payments and in turn have now become stuck with an abundance of unexpected off lease vehicles in their inventory. Even more pressing is the difficulty that dealerships are having in trying to sell any cars in these scarce economic times. Furthermore, from a funding standpoint, money isn’t as readily available due to the deteriorating credit of the finance arms and their parent automakers. This has made for a very difficult situation in the automotive sector and has instantly transformed the Canadian automotive market. In the U.S.A. one out of every four cars sold is used, Canadians should begin to anticipate similar sales ratios.
Research into the Canadian consumer has provided some interesting findings:
- Canadian consumers tend to be more risk averse than their counterparts in other markets.
- They are also more cost-conscious, with monthly payments a major driving factor behind purchase decisions.
- They tend to keep vehicles longer than in the United States, resulting in a less active used vehicle market.
The economy has initiated a dramatic, yet necessary change. Canadians will no longer be able to afford monthly payments and as leases conclude over the next 3 years an abundance of consumers will have to turn to the used vehicle market to find a vehicle they can readily afford.
Consumers now more than ever are shopping online for previously owned vehicles. Selection has been key to shopping in the past; however today new services exist the help buyers find the vehicle that promises to be right for them. The market, which was dominated by the Auto Trader brand has taken on new life with a company dedicated to finding potential buyers quality used vehicles. Using the provision of information, Vehicle Gateway Corp. has launched vehiclegateway.com to introduce an interface that meets the needs and wants of today’s consumers. Vehicle Gateway has been designed around the provision of information; private sellers’ and dealers’ will now have to include Vehicle Identification Numbers, Certification status, full descriptions, condition reports, multiple photos, video’s allowing buyers to hear vehicles operate as well as provide accident history and include reasons for selling the vehicle. This abundance of information will allow users to decipher through an abundance of ads to find the vehicle that not only meets their needs in terms of type, make, model or year, instead buyers can now go beyond this in finding the vehicle that’s past and present meets up to their respective standards.
In turn, vehiclegateway.com anticipates weeding out those vehicles of inferiority, sellers’ will become nervous to advertise with Vehiclegateway.com for fear that the information provided would counteract the sale of their vehicle(s). Now inexperienced buyers will not only know the questions to ask, but answers will already be provided. This ultimately empowers the consumer and therefore makes for a more honest and less apprehensive buying process. In addition to the information provided, tools such as CarFax’s Vehicle History reports provide full disclosure for prospective buyers and ultimately will live consumers with greater piece of mind when it comes down to the sale. In America, Vehicle History Reports are said to be in over 75% of pre-owned vehicles transactions. With even an even more risk averse nation combined with the anticipated growth of the secondary vehicle market, Vehicle Gateway Corp. believes that tomorrow’s transaction will likely include the use of vehicle history reports. Vehicle Gateway truly provides “Information you need. Vehicles you want.”
vehiclegateway.com promises to be in the buyer’s corner to ensure a quality used vehicle purchase. Buying a lemon is something nobody should ever have to experience, vehiclegateway.com hope to help you avoid buying a lemon when purchasing a used car, used truck, used boat, used pwc, used motorcycle, used snowmobile, used 4 wheelers or classics cars. Canadians, make sure to visit vehiclegateway.com to find the “Information you need. Vehicles you want.” Visit vehiclegateway.com online and utilize its state of the art comprehensive capabilities or just browse through thousand of ads based on differing regions and vehicle categories. vehiclegateway.com is the newest Vehicle Marketplace to Canada and it promises to service all Provinces and Canadians with a promise of providing an interface that utilizes anything they can to provide quality pre-owned vehicles. In particular, Vehicle Gateway specializes in Certified Pre-Owned Vehicles, which allow consumers to feel like their buying a new car, but at a used cars price.
About the Author
http://www.vehiclegateway.com
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