GCC Used Car Market Research Report: By Fuel Type (Petrol, Diesel, Electric, Hybrid), By Vehicle Condition (Excellent, Good, Fair, Poor), By Age of Vehicle (0-3 years, 4-7 years, 8-10 years, 11+ years), By Body Type (Sedan, SUV, Hatchback, Coupe, Pickup Truck), By Mileage (0-50,000 km, 51,000-100,000 km, 101,000-150,000 km, 151,000+ km) and By Regional (North America, Europe, South America, Asia Pacific, Middle East and Africa) - Forecast to 2032

GCC Used Car Market Overview:

As per MRFR analysis, the GCC Used Car Market Size was estimated at 21.18 (USD Billion) in 2022. The GCC Used Car Market Industry is expected to grow from 22.04 (USD Billion) in 2023 to 31.5 (USD Billion) by 2032. The GCC Used Car Market CAGR (growth rate) is expected to be around 4.05% during the forecast period (2024 - 2032).

Key GCC Used Car Market Trends Highlighted

The GCC pre-owned car market is experiencing an upsurge due to factors such as increased disposable income, urbanization and a growing population. This market exhibits a tendency towards segmentation into luxury and premium vehicles, and heavy SUVs and crossovers. Several trends that are currently taking shape in the market entail an increase in the number of online sites for used car sales, usage of advanced technologies for car inspection and financing, and shifting towards environmentally friendly vehicles. There is an increasing demand in the GCC Used Car Market attributed to the very high demand for owning a car, the low-cost price of used in comparison to brand new cars, and the ready population of financiers. The online concuss lenders, particularly the Collins group, introduced the internet into the car loan business, rendering brick-and-mortar centers complex. In addition, interest in financing with environmental aspects was also facilitated by the factors associated with the increased concern for environmental problems.

Source: Primary Research, Secondary Research, MRFR Database and Analyst Review

GCC Used Car Market Drivers

Rising Demand for Affordable Transportation

The increasing cost of new cars has made used cars a more attractive option for many consumers in the GCC region. The rising demand for affordable transportation is expected to drive the growth of the used car market in the GCC over the next few years. In addition, the growing population of the GCC region is also contributing to the demand for used cars. As the population grows, so too does the need for transportation. Used cars provide a more affordable option for many people who cannot afford to purchase a new car.

Government Initiatives to Promote Used Car Sales

In order to encourage the GCC countries’ population to buy used cars, the state governments have already implemented and are planning to carry out a number of initiatives. Among the most significant ones that can be listed are “reduced import duties for used cars, tax breaks for the buyers of used cars, and even plans to establish used car bazaar in some countries.” All those measures can be expected to make the goods more affordable and, thus, demand it.In addition to the direct measures aimed at the car reduction in price, it is also planned to invest in the used-car infrastructure, which can make goods even more appealing to the consumers.

Growth of Online Used Car Marketplaces

The growth of the used car market in the GCC may be fueled by the expansion of online used car marketplaces. Specifically, these marketplaces provide consumers with a convenient and easy way to buy or sell a used car. Moreover, there is also an increased number of used cars in online marketplaces as opposed to traditional brick-and-mortar car dealerships. Overall, this is expected to drive the growth of the used car market since used cars will become more available to the general public in the GCC region.

GCC Used Car Market Segment Insights:

GCC Used Car Market Fuel Type Insights

The GCC Used Car Market is segmented by fuel type into petrol, diesel, electric, and hybrid. Among these, the petrol segment is expected to hold the largest market share in 2023, accounting for nearly two-thirds of the market revenue. The diesel segment is expected to follow, with a market share of around 30%. Electric and hybrid vehicles are still relatively niche in the Gcc region, but they are expected to gain traction in the coming years due to rising fuel prices and increasing environmental awareness. The petrol segment's dominance can be attributed to several factors, including the lower cost of petrol compared to diesel, the wider availability of petrol-powered vehicles, and the region's well-developed infrastructure for petrol distribution.Diesel vehicles, on the other hand, are more popular in commercial applications due to their higher torque and fuel efficiency. The electric vehicle segment is expected to grow significantly in the coming years, driven by government incentives and falling battery costs. Hybrid vehicles, which combine a petrol engine with an electric motor, are also expected to gain popularity as they offer improved fuel efficiency without the range anxiety associated with electric vehicles. Overall, the fuel type segment of the GCC Used Car Market is expected to grow at a CAGR of 4.5% from 2023 to 2032, with the petrol segment continuing to dominate the market.However, the electric and hybrid segments are expected to grow at a faster pace, driven by changing consumer preferences and government policies.

Source: Primary Research, Secondary Research, MRFR Database and Analyst Review

GCC Used Car Market Vehicle Condition Insights

The GCC Used Car Market is segmented by Vehicle Condition into Excellent, Good, Fair, and Poor. The Excellent segment is expected to account for the largest market share in 2023, owing to the increasing demand for well-maintained and high-quality used cars. The Good segment is projected to witness a significant growth rate during the forecast period due to the rising popularity of certified pre-owned cars. The Fair and Poor segments are expected to have a moderate growth rate as they cater to budget-conscious consumers looking for affordable used cars.

GCC Used Car Market Age of Vehicle Insights

The GCC Used Car Market segmentation by Age of Vehicle provides insights into the market share, growth rate, and competitive landscape of different age groups of used cars. The '0-3 years' segment is expected to hold a significant market share due to the preference for newer vehicles with advanced features and lower maintenance costs. The '4-7 years' segment is also expected to witness steady growth as these vehicles offer a balance between affordability and reliability. The '8-10 years' segment is expected to have a moderate market share as consumers may opt for newer or older vehicles depending on their budget and specific requirements.The '11+ years' segment is expected to have a smaller market share due to concerns over reliability and maintenance costs. However, classic and vintage cars within this segment may command higher prices due to their rarity and collector's value. The GCC Used Car Market revenue for the '0-3 years' segment is estimated to reach $8.2 billion by 2024, while the '4-7 years' segment is expected to reach $6.5 billion. The '8-10 years' and '11+ years' segments are expected to generate revenue of $4.8 billion and $2.5 billion, respectively, by 2024.These insights help market players understand the dynamics of different age segments and tailor their strategies accordingly to capture growth opportunities.

GCC Used Car Market Body Type Insights

The GCC Used Car Market is segmented into various body types, including Sedan, SUV, Hatchback, Coupe, and Pickup Truck. Among these, the SUV segment held the largest market share in 2023, accounting for approximately 45% of the overall market revenue. The increasing popularity of SUVs can be attributed to their versatility, spacious interiors, and enhanced safety features. The Sedan segment is expected to witness steady growth over the forecast period, owing to its affordability and fuel efficiency. Hatchbacks are also gaining popularity due to their compact size and maneuverability, particularly in urban areas.The Coupe and Pickup Truck segments are expected to contribute a relatively smaller share of the overall market revenue.

GCC Used Car Market Mileage Insights

The 'Mileage' segment is a crucial factor in shaping the dynamics of the GCC Used Car Market. This segment categorizes used cars based on the distance traveled, offering valuable insights into consumer preferences and market segmentation. In 2023, the '0-50,000 km' segment dominated the market, accounting for around 35% of the GCC Used Car Market revenue. This segment is driven by strong demand for nearly new or low-mileage vehicles, often sought by buyers prioritizing reliability and minimal maintenance costs. The '51,000-100,000 km' segment follows closely, representing approximately 28% of the market.These vehicles offer a balance between affordability and reasonable mileage, appealing to buyers seeking a decent combination of value and reliability. The '101,000-150,000 km' segment captures around 22% of the market share. Buyers in this segment typically prioritize affordability over mileage, focusing on vehicles that have undergone regular maintenance and are still in good condition. The '151,000+ km' segment, while holding a smaller market share of around 15%, caters to buyers seeking budget-friendly options or vehicles for specific purposes, such as commercial use or project cars.These vehicles are often priced lower due to higher mileage but can still offer value for money. Overall, the segmentation of the GCC Used Car Market based on mileage provides a comprehensive understanding of consumer preferences and market dynamics. Each segment offers unique characteristics and appeals to different buyer profiles, contributing to the overall growth and segmentation of the industry.

GCC Used Car Market Regional Insights

The GCC Used Car Market is segmented into North America, Europe, APAC, South America, and MEA. The APAC region is expected to dominate the market in the coming years due to the growing population and increasing urbanization. In 2023, the APAC region accounted for more than 40% of the GCC Used Car Market revenue. The market in Europe is also expected to grow significantly, driven by the increasing demand for luxury and premium used cars. The MEA region is expected to witness the highest growth rate in the coming years due to the increasing disposable income and the growing popularity of used cars.

Source: Primary Research, Secondary Research, MRFR Database and Analyst Review

GCC Used Car Market Key Players And Competitive Insights:

Key players in the GCC Used Car Market are constantly striving to gain a competitive advantage through the adoption of advanced technologies based on major developments and transactions in the field of new product introductions. Such important actors in the GCC Used Car Market are aimed at developing innovative solutions to meet the changing needs of customers. In GCC Used Car Market development companies pursue a variety of strategies such as acquiring key shares, establishing multi-level partnerships, and corporate governance to scale both their market position and global penetration. Ultimately, the competitive landscape in the GCC Used Car Market is expected to remain dynamic, with new players entering the market and existing players vying for a stake.

One of the leading companies in the GCC Used Car Market is Dubizzle. Dubizzle is an online classifieds platform based in Dubai that accepts a wide range of inputs, including used cars; the company expanded across the GCC with the acquisition of OLX. The company’s mission is to use technology to help and improve the lives of others. The company also offers search services to connect sellers with buyers after purchasing a used car. In addition, Dubizzle provides a variety of services, including car inspections and financing options. The company’s commitment to the needs of its customers is evident from its strong reputation and the company’s dynamic growth trajectory. They require its market presence, which is one of the current leaders in the field of used cars.

An important competitor in the GCC Used Car Market is CarSwitch. CarSwitch focuses on advanced visuals that emphasis the detail available about the used cars in Saudi Arabia. They have a variety of used cars from different makes and models. CarSwitch is widely known across Saudi Arabia. The provides a comprehensive online platform, which allows customers to search, compare and purchase used cars. Services offered by the company include vehicle inspection, finance options and home delivery. CarSwitch focuses on providing a hassle-free and transparent experience to its customers. They also have plans to expand their market share across different parts of the GCC.

Key Companies in the GCC Used Car Market Include:

• com


• Wadi


• Reayder CarTrade


• YallaMotor


• Dubizzle


• OLX Group


• Automall


• Jeebly


• OpenSooq


• Noon


• Cars24


• AlFuttaim AutoMall


• CarSwitch

GCC Used Car Market Industry Developments

The GCC Used Car Market is projected to experience steady growth in the coming years, driven by factors such as rising population, increasing urbanization, and growing disposable income. The market is expected to reach a valuation of USD 31.5 billion by 2032, expanding at a CAGR of 4.05% from 2024 to 2032.

Recent developments in the market include the growing popularity of online used car platforms, which offer convenience and a wider selection of vehicles to consumers. Additionally, governments in the GCC region are implementing regulations to ensure the quality and safety of used cars, which is expected to boost consumer confidence and drive market growth.

Key players in the market include Dubizzle, CarSwitch, and Al-Futtaim Automall. These companies are focusing on expanding their online presence, offering a range of value-added services, and partnering with financial institutions to provide financing options to customers.

GCC Used Car Market Segmentation Insights

GCC Used Car Market Fuel Type Outlook

• Petrol


• Diesel


• Electric


• Hybrid

GCC Used Car Market Vehicle Condition Outlook

• Excellent


• Good


• Fair


• Poor

GCC Used Car Market Age of Vehicle Outlook

• 0-3 years


• 4-7 years


• 8-10 years


• 11+ years

GCC Used Car Market Body Type Outlook

• Sedan


• SUV


• Hatchback


• Coupe


• Pickup Truck

GCC Used Car Market Mileage Outlook

• 0-50,000 km


• 51,000-100,000 km


• 101,000-150,000 km


• 151,000+ km

GCC Used Car Market Regional Outlook

• North America


• Europe


• South America


• Asia Pacific


• Middle East and Africa