When the prices of gasoline reached its peak over the three dollar mark last year, it changed the landscape of the auto industry. With more and more consumers wary of an impending increase in the prices of gasoline, fuel efficient small cars are now in demand. This resulted to lesser sale of SUVs and other large cars.
In this way, the price of gasoline changed the auto industry wherein car manufacturers are now focusing on the development of small cars which are commonly fuel efficient. There are still SUVs being introduced in the market for those who need the capability of these large cars for their lifestyle or business. There are also large trucks with hybrid versions which are aimed at those people who want a big car with good gas mileage. Aside from this, another aspect that the increased gas price affected the auto industry is in the sale of used cars.
Recently, more and more consumers are selling their used cars on the Internet rather than settling for a trade-in. This is because auto retailers are offering lower prices. The reason behind this is that they are still struggling to sell the large number of SUVs that consumers have been turning their back on at the onset of the oil price hike.
The trend in using the Internet to sell used car gained momentum last year as the prices of gasoline started soaring. Analysts argue that retailers are focusing on selling new SUVs which have seemed to lose its appeal on most car buyers.
By the end of last year, 34 percent of the used car sale market is attributed to personal sale of used cars. This trend will likely continue as there are still old vehicles that needs replacing because of the increase in the price of gas.
The use of the Internet as a selling tool is a logical step for consumers who want to sell their used cars. The Web is full of online vehicle stores which facilitates the sale of used cars. By using the Internet, consumers have access to a large number of people who are looking for used cars to buy. This influx of used car sale in the market has created a huge source of income for online vehicle stores.
The Internet is being used by used car owners as their own personal since this is where they release their used cars to the market. And while the trend has been going on for months, analysts say that the trend is just a temporary response to the increase in the price of gasoline. In the near future, when dealerships have taken care of the bulk of SUVs left on their stores, they can already offer good price for consumers who wants to trade-in their used cars.
