How seasons affect the price of cars
We all know that there is a wide range of factors that affect the price of a car, both new or used.
And when you go searching for cars for sale in South Africa, you usually compare car dealer’s prices based on mileage, transmission, fuel consumption, model, wear and tear, features and the overall mechanic condition.
That just about covers everything that affects the price of a used car, right?
Well, not quite. Did you know that the price of a car is also affected by the season and time of year? It seems slightly ridiculous, but it actually makes sense when you’re thinking in terms of “business”, “sales” and “demand”.
So, if you’re looking at used car sales in the hopes of finding your dream car, you’re going to want to consider the type of car for the time of year if you want to buy it at a dream price. It all comes down to demand and which vehicles are more popular in the different seasons. We’re going to break it down for you and, hopefully, it will help you decide when is the best time to buy the car you want at a fair price.
There’s something about the summer…
When the sun is always out and the days are always beautiful, everyone will be eying the convertibles. This means they will tend to be more expensive in the summer. On top of that, most car dealerships are quieter in the summer as everyone is on holiday or staying indoors where there’s air conditioning. This means that, in general, most of their prices are slightly lower in an effort to generate sales for the season and try to keep business going.
It’s also why summer is the time for seasonal specials around Christmas and the new year. Everyone is torn between being (almost completely) broke and wanting a “new year, new car, new me” experience that car dealers try their best to appeal to.
But, then again, the opposite can also be true. Summer might cause a select few car dealerships to spike their prices because of the fact that they aren’t getting enough sales. This way, the few cars they do sell, are somewhat sufficient to try and meet their sales goals. The up-and-down price-behaviour of vehicle markets is a reinforcement that you should always do your research and compare prices before you buy, regardless of the season.
If you’re looking for a 4×4 vehicle, you need to be looking for it in the summer. Any vehicle that is better for wet roads, snow, ice and winter weather conditions won’t be in the sale-spotlight at summer used car sales. And if you know you’re normally low on funds during this time of the year, be sure to start saving well in advance. You might get the summer deal, but that won’t help if you don’t have the money to secure it.
And what about winter?
It’s no surprise that reliable, “heavy-duty” vehicles are more popular for the winter season. People want to know they’ll be safe on the roads and withstand whatever the South African weather throws at them. Used vehicles already with mudguards will also be a popular choice and, therefore, more expensive at this time of the year.
This would be the ideal time to purchase your “summery” cars. Convertibles, sunroofs and sporty types for those roadtrips and drives down to the beach. Think of seasonal car sales in the same way you would for clothing store sales. All the summer items go on sale in the winter because people don’t need them “right now” and the winter clothing becomes affordable in the summer when the spaghetti tops are back in the front of everyone’s closets. Car dealerships use the same principle except it isn’t always crystal clear what is considered a “summer” or “winter” car.
But the best part about cars is that they’re all useful in every season and it only matters, then, what you end up paying for it.
Other seasonal price changes
There are “seasons” in a car dealership’s year that lead to price spikes and falls depending on how sales are doing, for example. Other seasonal price changes to look out for include the end of month and end of year sales. They generally happen before payday or when most people don’t have any money left, but if you start saving now, you’ll be able to take advantage of those “end of” deals.
And it’s important to know that it works both ways. When you want to sell your car, you need to sell it in the right season when it’s in demand.