UAE Car Buyers Show Remarkable Interest In Pre-owned Cars

Auto markets across the globe have felt the impact of the uniquely challenging year that was 2021,  as the chip shortage disrupted the supply chain. While the UAE has not been an exception, the pre-owned car market has revealed its strength and stability, displaying promising signs of recovery.

According to dubizzle’s pre-owned car market report for 2021, there was a slight shift in activities and preferences as many consumers opted for pre-owned cars not only because of their greater affordability but also thanks to the ease with which transactions can now be executed powered by the digital transformation of the pre-owned car industry.

• German makes like Mercedes-Benz and BMW have dominated the top ranks with high-end models that are packed with innovative features and powerful engines, whereas the non-luxury industry saw its picks from the affordable range of Japanese brands like Toyota, Nissan and Honda. 
• SUVs and sedans have remained the most preferred body types in the luxury segment, while compact and mid-size SUVs have been more attractive for potential non-luxury car buyers. 
• Mercedes’s S-Class and Nissan Altima have remained the most popular choice for people seeking sedans among luxury and non-luxury segments respectively.
• In the SUV category, Nissan Patrol and Toyota Land Cruiser have topped the list for the luxury segment while Ford Explorer ranked first among the non-luxury pre-owned SUVs.
• In 2021, dubizzle saw a record number of 76.8 million visitors, which is indicative of interest returning to the market once buyers and sellers could adapt to the new circumstances

Haider Ali Khan, the CEO of Bayut & dubizzle and the Head of EMPG MENA shared his views on the UAE’s pre-owned car market in 2021 and said:“The UAE has always been a huge market for luxury cars, and we know there is a significant customer base that prioritises certain high-end brands. Leading luxury cars manufacturers are well aware of this fact, and have many exclusive launches every year. However, 2021 turned out to be an exception due to the microchip shortage that affected car production across the world. For many buyers, the cancellation or delay of their anticipated 2021 model has been a setback. Instead of waiting, many auto enthusiasts turned towards the pre-owned car market, and dubizzle is proud to have served as a portal where buyers could find what they were looking for. 

Close to 300,000 new cars were added in 2021 alone, featuring cars from more than 100 auto manufacturers. Many pre-owned luxury and budget-friendly car buyers trusted dubizzle as a service provider for a safer and hassle-free experience. In order to cater to the ever increasing popularity of the platform, we rapidly expanded our list of services and products to meet our customers’ needs and opened 3 new branches for dubizzle Cars in Dubai last year in the areas of Al Qusais, Al Quoz and Al Barsha. We also introduced mobile car inspection services in Dubai, Abu Dhabi and Sharjah. Customers can now call our team for car inspection without having to set foot outside their home. 

As we look ahead, the auto industry is expected to overcome its challenges in the future, but the landscape of the pre-owned car market is likely to remain similar in 2022. People will continue to buy pre-owned vehicles from a brand they can trust and rely on, and dubizzle is proud to have successfully built that reputation for itself.

Luxury Used Car Market Trends in 2021

While the used luxury car market has always been strong in the UAE, the fact that many new releases were delayed resulted in a higher interest in 2021. Furthermore, the demand for modern safety features and innovative technology has also spiked interest in luxury models. 

According to the dubizzle used cars market report, European makes have been highly searched for by prospective buyers in 2021. dubizzle’s report showed that Mercedes-Benz has been the most viewed car make among this category in 2021, followed by BMW, Lexus, Land Rover and Ferrari.

• Mercedes-Benz models have garnered the interest of 34% of potential buyers looking for used luxury cars on dubizzle during 2021.
• The luxury sedan series from Mercedes (S-Class, C-Class and E-Class) and BMW (3-Series and 5-Series) have topped the list, followed by Lexus LS-Series. 
• The ever-popular SUVs by Lexus and Land Rover have also given tough competition to the luxury sedans. The inclusion of innovative features and powerful performance specs have supported them in maintaining their position. 
• The SUVs and trucks with innovative features, reliable offroading capability and a smooth drive have been popular with car buyers in the UAE. 
• Supercars and sports cars have also earned their position among the top models due to their efficient engine performance, limited model series, comfortable interior and a massive following. 
• The ultra-luxury models by Rolls Royce have also been popular due to their strong market reputation.

Mercedes S-Class has topped the most popular sedan models list with an average price range of AED 185,000 for 2015 model to AED 348,000 for 2019 model during 2021. The list has also included C-Class, E-Class followed by Lexus' LS and BMW’s 5-Series.

On the other hand, Nissan Patrol has remained the most in-demand luxury SUV in 2021 according to dubizzle used cars market report with an average price range of AED 107,000 to AED 155,000 for its used models from 2015 to 2019 during 2021 due to its proven off-roading capabilities and  powerful V8 engine.

The most in-demand used luxury SUVs list also included Toyota Land Cruiser, with an average price range of AED 129,000 for 2015 models to AED 206,000 for 2019 models followed by Land Rover’s Range Rover, Mercedes-Benz’s G-Class and Land Rover’s Range Rover Sport.

Non-luxury Used Car Market Trends in 2021

In 2021, prices for non-luxury used cars have seen an overall upward trajectory in 2021 due to the disruption of supply according to dubizzle’s data.

• The dubizzle's report for the non-luxury used cars has shown that the Japanese makes lead the market, backed by their reputation and reliable offerings. 
• Toyota has emerged as the most preferred non-luxury car manufacturer attracting 26% of visitors on dubizzle. 
• The list also included Nissan, Ford, Hyundai and Honda respectively.

Nissan Altima has topped the list of most searched non-luxury used sedan models due to its sleek exterior, comfortable interior and custom-built safety options. The average price of Nissan Altima in 2021 has ranged between AED 26,000 to AED 58,000 for its 2015 to 2019 model.

The most  popular used non-luxury sedans list also included the well-known Toyota Camry with price ranging between AED 25,900 for 2015 models to AED 58,100 for 2019 models during 2021. Camry was followed by Toyota Corolla, Honda Accord and Dodge Charger respectively.

Owing to their affordability, passenger capacity, spacious cabins and off-road capabilities, SUVs have remained among the most popular body types searched by dubizzle users who were looking for non-luxury vehicles.

Ford Explorer has ranked first among the non-luxury used SUV models in the UAE with price ranging from AED 53,600 to AED 92,800 for models from 2015 to 2019 respectively. Other SUVs such as Mitsubishi Pajero, Toyota Prado & Rav4 and Jeep Wrangler have also been among the most  popular SUVs according to the report.