The average budget for Australians intending to buy a new car in the next four years is around $35,000. SUV segments command the highest price levels, with those buyers planning to spend over $9,000 more than those after a regular passenger vehicle.
There are more than 2.3 million Australians in the market for a new car in the next four years. By volume across the main VFACTS segments, Australian consumers are budgeting a collective $13 billion dollars on small cars (<$40K) in the next four years. Despite costing around $10,000 less each, the national small car expenditure exceeds that to be spent on medium (<$60K) and large (<$70K) passenger cars combined.
The second largest overall outlay is expected to be on large SUVs (<$70K). Budgeting an average $41,170 apiece, Australians plan to cough up $10 billion on the biggest available SUVs by 2017.
Price Intention by major VFACTS segments – New Car Intenders (next four years)
Source: Roy Morgan Single Source (Aust.): September 2012–August 2013, New Car Intenders (next 4 years) n= 5,812. Total averages include VFACTS segments not included in chart.
Jordan Pakes, Group Account Director – Automotive, Roy Morgan Research, says:
“In 2012, there were more new cars sold in Australia per capita than in any other market in the world. Despite a marginal decline in new vehicles sales in September, sales for the first nine months in 2013 are up by 3.3% and look on track to eclipse the 2012 record of more than 1.1 million sales.
“With the average private buyer looking to spend around $35K on their next new car and with private sales accounting for just over half of all new car sales annually, this equates to around $19 billion annually or approximately 1.3% of Australia’s annual GDP.
“According to Roy Morgan’s new psychographic classification system Helix Personas, when it comes to those Aussies looking to spend more than $40K on their next new car, just over 33% belong to the more affluent Leading Lifestylecommunity. Not surprisingly, the European brands are high on the consideration list for this group – with 27% having BMW, Audi, Mercedes-Benz or Volkswagen on their shopping list.”
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