The National Association of Automobile Manufacturers of South Africa (Naamsa) has published its sales data for September 2019, showing that vehicle sales declined ‘only’ 0.9% year-on-year to 49,191 units – the biggest sales month of the year so far.<\/p>\n
Commenting on the data WesBank executive head of motor, Ghana Msibi, said three economic factors could have contributed to the numbers:<\/p>\n
“WesBank\u2019s own inflation data largely mirrors that of the general economy, our average deal size slightly above the South African number,” said Msibi.<\/p>\n
“This infers that new and used car price inflation falls within the general affordability challenge for cash-strapped South African households.”<\/p>\n
WesBank’s data showed that the average value of new cars financed was R329,580<\/strong> – up substantially from R314,120 in September 2018.<\/p>\n Worryingly, WesBank said that a growing number of its customers are battling to finance their cars.<\/p>\n Msibi noted that drivers were doing two things to try and bring their monthly payments down – both of which speak to more worrying trends. They are<\/p>\n “Consumers should remain cautious of over-extending themselves and should rather buy at a more affordable price than use other finance mechanisms to fall within budget.”<\/p>\n\n
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