The demand for used cars is entering a recovery phase, and the popularity of what are referred to as ‘larger vehicles’ is surging.
K Car recently analyzed the average daily user search volume on the K Car app and website over the past three months (from November 2022 to February 2023). The search counts for SUVs and large sedans increased by 58.2% and 50.1%, respectively, during this period.
Typically, the used car market is classified as a slow season from November to January due to factors such as model year changes and weather influences. However, as spring approaches and demand increases due to employment and academic needs, the used car market generally enters a peak season starting in March.
This year, in addition to seasonal trends, the slowdown in interest rate hikes that had contracted the used car market towards the end of last year, coupled with stabilizing oil prices, has reignited interest in SUVs and larger vehicles, as reflected in the rising search volumes. Overall, the search volume on the K Car app and website increased by 45.0% during this period.
Breaking it down by model, the top performer was the 2019 release of the Hyundai ‘The New Grandeur,’ which saw an increase of 90.1% over three months, nearly doubling its search volume. The Grandeur is the most popular vehicle series in the domestic automotive market, with over 2 million units sold, and naturally holds a significant share in the used car market as well, offering lower prices compared to new cars along with a spacious interior, sleek design, and various convenience features that make the previous generation model highly sought after.
In addition, the second highest search volume was for the Grandeur IG (64.5%), followed by the Genesis G80 (44.8%), and the Kia All-New K7 (34.2%), highlighting the high interest in large sedans. Although it isn’t a large vehicle, the Genesis G70, a premium brand mid-size model that sees high interest for outings, ranked fourth with a 43.7% increase.
Moreover, vehicles favored by new graduates, such as compact and cost-effective cars, also made it to the top rankings. The representative compact models, the Hyundai Casper and Kia Ray, saw increase rates of 31.6% and 30.9%, securing seventh and eighth place, respectively. The Kia Seltos, a popular small SUV in the new car market, recorded a 32.5% increase, while the steady seller in the used car market, the Avante AD, saw an 18.4% increase, placing it in sixth and tenth place, respectively. The cost-effective BMW 5 Series (G30) also appeared in the rankings with a 20.0% increase, placing it ninth.
Jung In-guk, president of K Car, stated, “As we approach the seasonal peak, the interest in used cars is rapidly increasing among customers. We will secure a diverse range of vehicles from compact cars to larger vehicles, enabling customers to explore various options.”
Lee Sang-jin daedusj@autodiary.kr