Russian car market: who buys new cars and why?

A study by SAPPA ROMIR has revealed interesting trends in the Russian market. According to the research, there is an increase in the monthly aggregate income of households purchasing cars of various brands, with the exception of Geely and LADA. At the same time, the most significant increase - almost 20,000 rubles - was noted among the owners of Omoda and Haval. Interestingly, Exeed owners still maintain a leading position among other brands.

The average monthly aggregate income per household purchasing new cars is: for Exeed owners - 197,463 rubles, for Tank owners - 192,623 rubles, for Omoda owners - 181,054 rubles, for Haval owners - 174,274 rubles. These figures reflect the difference in the price segment and suggest that the choice of brand and model of car is directly related to financial capabilities. Almost 60% of consumers buy a new car to replace the previous one. A significant percentage, 33%, are those who did not own a car at all before the current purchase. It is noteworthy that only 8% of buyers are buying a new car in addition to the one they already own, and these are mainly owners of premium cars such as Exeed and Tank. This figure is probably due to both financial considerations (investment in movable property) and the need for additional transport (for example, household size).

The study also showed a significant proportion of consumers paying for the purchase of a car from their own savings. Almost 60% of buyers choose this option and 42% of respondents - purchase on credit. A change in the structure of consumer financing is observed: if previously there was a higher share of use of credit products, now, due to less attractive interest rates, consumers are more actively using their own funds.

“The data obtained allow us to conclude that there is a significant correlation between the financial status of households and the choice of car brand. The current interest rate environment reduces the attractiveness of credit resources for the population, which leads to a transformation of the consumer financing model: there is a transition from borrowed funds to the predominant use of personal savings,” comments Lyudmila Fukova, Senior Director of Client Relations at ROMIR.