Online automotive hub publishes whitepaper on car industry

According to reports, the global automotive sales for 2015 are expected to hit $89 million, a 2.4% growth from 2014, with an emerging market share rising from 50% in 2012 to 60% by 2020, while their share of global profits is also set to rise by 10%.

Sources cited a whitepaper on automobile by published by Carmudi, an online marketplace for cars revealed that internet is injecting fresh impetus into the market.

According to the Whitepaper, the current and future state of the automotive industry in Nigeria and other emerging markets is being driven by the increase in Internet and mobile penetration, rising GDP, and the emergence of a middle class.

The Whitepaper, titled ‘The Booming Automotive Industry in Nigeria,’  revealed that 83% of car buyers on the Internet conduct research on a car before making a purchase in Nigeria.

“Globally, auto E-Commerce has grown at such a staggering rate that now as many as 80% of new car customers and almost 100% of used car customers begin their car shopping experience online. With internet and mobile penetration significantly growing in emerging markets, the rate of moving the car shopping experience online is beginning to mirror that of Western Markets,”Christian Keller, managing director, Carmudi, Anglophone West Africa, said while unveiling the Whitepaper to the media in Lagos.

The Whitepaper also revealed that the Nigeria’s auto industry is still relatively strong, but critical policy changes, like the National Automotive Industry Development Plan, have the potential to change the entire industry.

Furthermore, it added that 30% of car dealers in Nigeria reported an increase in car sales over the past twelve months due to the changing economic climate, while 50% of the car dealers surveyed reported a decrease.