As per the report vehicles aged 4–7 years account for 30% of organized used car transactions. File photo for representation.
| Photo Credit: The Hindu
India’s pre-owned car market which reached 5.9 million units in FY25 is projected to grow at a 10% CAGR, reaching 9.5 million units by 2030, as per the latest edition of the Indian Blue Book developed by Mahindra First Choice and Volkswagen Pre-owned Certified.
The report has highlighted a shift toward premiumization and consolidation. As per the report SUVs and compact SUVs now capture more than 50% of used car market, up from 23% just four years ago and the average selling prices have risen sharply by 36% over four years. Also non-metro buyers are found to have emerged as the fastest-growing force, with 68% expressing likelihood to purchase a used car.
As per the report consumers are showing strong brand loyalty, with 42% willing to buy the same brand again, and a clear trend of upgrading to newer, safer pre-owned cars is emerging, as buyers increasingly value quality, safety ratings, and detailed technical specifications.
Nitin Kohli, brand director, Volkswagen India, said, “Indian consumers today are more informed and discerning; they seek vehicles that offer proven safety, reliability, and performance. The strong demand for the brand’s 5-star GNCAP-rated portfolio, including the Taigun and Virtus, is a testament to this shift.”
“Our Certified Pre-Owned business has emerged as a key growth avenue for Volkswagen, reflecting the same customer priorities. Buyers today want the reassurance of a quality-checked, transparently certified vehicle with a clear service history and these values align perfectly with our brand promise,” he said.
Mohammed Turra, MD & CEO, Mahindra First Choice said, “For the first time, used cars in India are driving aspiration, not just affordability. With used car market at 5.9 million in FY25 and SUVs becoming the vehicle of choice, Indians everywhere—from metros to small towns—are choosing quality and confidence over compromise. As organized platforms raise the bar for trust and service, we’re seeing a fundamental shift in how the used cars are being bought and sold. The used car is now a choice, not a fallback option”.
As per the report vehicles aged 4–7 years account for 30% of organized used car transactions and consumers are upgrading from hatchbacks and compact SUVs/ sedans to full-size SUVs, reflecting strong premiumization.
Published – November 14, 2025 08:12 am IST
