Factors impacting the DEMAND

Private consumers
- Household confidence in the short, medium and long term future.
- Fear of a second wave (real or feed in particular by the media).
- In the case of a fear of public transport, it may be the second-hand market that will benefit at first with a shift on the
new market after 2020.
- Consumers will be cautious waiting for economic support measures but also announced recessions - If current
economic system.
- All registrations lost during the lock down will not be caught up.
- The demand for new cars is not essential at the short term (2020 - 2021). All transportation systems (individual or
public) are intact. Contrary to a post-war period which generates a strong increase in the demand  needed for the re
equipment of the countries.
- Exports: consumer countries also towards a decline in demand and nationalist orientation in an "effort of national unity"
(USA? China?).

Professionals demand
- Declining demand from companies (a big proportion of the European market is made by fleets, short and long period rental companies).
- Companies will at first extend their current leasing contracts, at minimum after 2020.
 
Competition
- Competition from other mobility ways (two-wheelers motorized or not) which both respond to the fear of public
transport and are less expensive than cars.
 
Governmental decisions
- Progressive “unlock” - by region – social/professional/age group…
- Non-uniform impact (not at the same time) in all European countries as some countries took late decisions to lock
down, therefore time lag in 2020.
- Incentives to boost the car market. However this kind of levers will not create a demand, but rather anticipate existing
demand. Therefore, a counter effect (decrease of sales) is generally felt at the end of the incentives period.
 
 
 Next: impact on production

 

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