Big Opportunity: Seva to Start Focusing on Used Car Sales in 2025

KatadataOTO – Car prices which tend to rise every year, are making some consumers finally switch to used cars. Currently, the public's purchasing power is claimed to be in the range of Rp 200 million.

However, the choices are indeed becoming more limited. Most first-car buyers choose vehicle types such as LCGC (low cost green car) like the Toyota Agya, Calya, Daihatsu Ayla, or Sigra.

In the used car market, consumers are presented with a variety of choices. For a similar price tag, the variety is greater, and can include LSUVs (low sport utility vehicles) as well as LMPVs (low multi purpose vehicles).

Seeing that the automotive market will still face challenges, the vehicle sales, purchase, and credit service Seva has stated it will start focusing on penetrating the used car market this year.

Photo : TrenOto

Seva itself only started offering used cars last year. At that time, sales of secondhand vehicles were considered good.

“We all know the economy is still quite challenging. That's why they (consumers) are actually turning to used cars, and within our own ecosystem, there has indeed been an increase in used car sales,” said David Thamrin, Product and Growth Division Head of Seva in Jakarta, some time ago.

He did not deny that the percentage of used car sales through Seva is still relatively small. But his party sees an opportunity and has started setting targets.

Unfortunately, he was reluctant to reveal in detail what Seva's used car sales target is for 2025.

“The hope is that this year there will be an improvement in used car sales. In terms of percentage, if we talk about the target, it's quite significant,” said David.

For your information, a study once conducted by LPEM UI (Institute for Economic and Social Research, University of Indonesia) shows that used cars are in demand by the people of Java Island.

This is due to the soaring prices of new cars, making them increasingly unaffordable.

Photo : TrenOto

“From the survey results, of the people on Java Island who bought a car in 2023, 63 percent bought used cars. New car prices are up, used car prices are lower,” said Riyanto in Jakarta some time ago.

Especially with the depreciation of cars in segments like MPV, reaching 50 percent. Furthermore, purchasing a secondhand vehicle is considered easy and sellers are transparent in offering their units.

“Visits to used car sites are increasing from month to month. Comparing prices (new and used cars) is easier,” explained Riyanto.