Automotive

UAE Used Car Growth Opportunities

High-standard Practice to Culminate Customer Experience and Build Reputation

INDUSTRY
Automotive

RELEASE DATE
21-Apr-2022
REGION
South Asia, Middle East & North Africa
DELIVERABLE TYPE
Market Research

RESEARCH CODE
PC9F-01-00-00-00
SKU
AU02314-SA-MT_26461
Yes
SHARE

UAE Used Car Growth Opportunities
Published on: 21-Apr-2022 | SKU: AU02314-SA-MT_26461

Need more details?

$4,950.00

$3,712.50 save 25 %

DownloadLink
Need more details?

The UAE’s used car market experienced unprecedented growth in 2021. On the one hand, the global shortage of microchips impacted new car supply, boosting the demand for used cars, on the other hand, the recovery of market sentiment in the UAE and EXPO 2020 Dubai (postponed to 2021) boosted the Vehicle Miles Traveled (VMT) in the country. As a result, the used car market in 2021 in the UAE was a seller’s market, with a major challenge being sourcing of used cars.

The increased demand has driven up the residual value. Popular models, depreciated much lesser in 2021 compared to 2019. The average price per vehicle also went up by almost 10% compared to pre-pandemic levels in 2019. Car owners in the UAE were incentivized to sell their vehicles at a good value.

With market growth, the industry has also witnessed many innovations in customer experience and business models. In general, a few market pioneers have led the way by increasing service standards and aftersales assurance to improve customer confidence in used cars.

Most sellers have adopted digitalization in car listing. Meanwhile, franchised dealers and major independent dealers have immensely taken to online payment and financing. Other value-added services, such as standard inspection and warranty service, have saved customers time for due diligence. In general, the process and time spent on purchasing a used car in the UAE have shortened, and the ease of making a purchase has improved.

In the post-pandemic era, the UAE’s used market is expected to grow at a CAGR of 8.3% from 2021 to 2025. More than 1 million used cars are expected to be sold by 2025, driven by the competitive growth of franchised dealer Certified Pre-owned (CPO) and organized independent dealers.

Author: Joslyn Li

Why Is It Increasingly Difficult to Grow?

The Strategic Imperative 8™

The Impact of the Top Three Strategic Imperatives on the UAE Used Car Industry

Growth Opportunities Fuel the Growth Pipeline Engine™

Scope of Analysis

Segmentation

Key Competitors

Key Growth Metrics

Growth Drivers

Growth Restraints

Forecast Assumptions

Revenue and Average Price Forecast

Revenue Forecast by Channel

Volume Forecast

Volume Forecast by Channel

Percent of Sales Volume by Channel

Percent of Sales Volume by Vehicle Type

Revenue and Volume Forecast Analysis

Revenue and Volume Forecast Analysis by Channel

Pricing Trends and Forecast Analysis

Competitive Environment

Revenue Share

Revenue Share Analysis

Macroeconomic Indicators

Macroeconomic Indicators—Demographic Highlights

Used Car Market Dynamics

Used Car Market Dynamics (continued)

Used Car eRetailing Trends

Recent Fundraising and Engagements by Major Participants

Used Car Value Proposition Analysis

Used Car Value Proposition Analysis (continued)

Used Car Value Proposition Analysis (continued)

Percent of Sales Volume by Vehicle Age

Factors Impacting Residual Value (RV) of Brands in the UAE

Distribution Structure

Distribution Structure Analysis

Distribution Structure—Franchised Dealers

Distribution Analysis—Franchised Dealers

Distribution Analysis—Franchised Dealers (continued)

Benefits of Certified Pre-owned Cars for OEMs and Dealers

Certified Pre-owned Program Profiles—Top 4 Volume OEMs*

Certified Pre-owned Program Profiles—Top 5 Premium OEMs*

Distribution Structure—Independent Dealers

Distribution Structure Analysis—Independent Dealers

Distribution Structure Analysis—Independent Dealers (continued)

Distribution Structure—C2C

Distribution Structure Analysis—C2C

Distribution Structure Analysis—C2C (continued)

Key Used Car Clusters—Al Quoz

Key Used Car Clusters—Al Aweer

Key Used Car Clusters—Souq Al Haraj

The Online Used Car Landscape in UAE

Franchised Dealer CPO Online Presence Analysis—Volume Brands

Franchised Dealer CPO Online Presence Analysis—Premium Brands

Non-franchised Dealer Online Used Car Platforms

Case Study—Online Marketplace: YallaMotor

Case Study—Online Independent Dealer: Cars24

The Used Car Warranty Practice in UAE

The Landscape of Warranty Providers in the UAE

Key Growth Metrics

Revenue Forecast

Volume Forecast

Forecast Analysis

Forecast Analysis (continued)

Key Growth Metrics

Revenue Forecast

Volume Forecast

Forecast Analysis

Key Growth Metrics

Revenue Forecast

Volume Forecast

Forecast Analysis

Key Growth Metrics

Revenue Forecast

Volume Forecast

Forecast Analysis

Growth Opportunity 1—Online Transactional Business Model for a Seamless Customer Experience

Growth Opportunity 1—Online Transactional Business Model for a Seamless Customer Experience (continued)

Growth Opportunity 2—Refurbishment Service for Meeting Used Car Demand

Growth Opportunity 2—Refurbishment Service for Meeting Used Car Demand (continued)

Growth Opportunity 3—Franchised Dealer CPO Program for Providing High Quality Used Cars

Growth Opportunity 3—Franchised Dealer CPO Program for Providing High Quality Used Cars (continued)

Growth Opportunity 4—Used Cars for Providing Mobility as a Service

Growth Opportunity 4—Used Cars for Providing Mobility as a Service (continued)

Your Next Steps

Why Frost, Why Now?

List of Exhibits

List of Exhibits (continued)

List of Exhibits (continued)

List of Exhibits (continued)

Legal Disclaimer

List of Figures
  • Used Cars: Key Growth Metrics, UAE, 2021
  • Used Cars: Growth Drivers, UAE, 2022–2025
  • Used Cars: Growth Restraints, UAE, 2022–2025
  • Used Cars: Revenue and Average Price Forecast, UAE, 2019–2025
  • Used Cars: Revenue Forecast by Channel, UAE, 2019–2025
  • Used Cars: Volume Forecast*, UAE, 2019–2025
  • Used Cars: Used Car Sales Volume Forecast by Channel, UAE, 2019–2025
  • Used Cars: Percent of Sales Volume by Channel, UAE, 2021 and 2025
  • Used Cars: Percent of Sales Volume by Vehicle Type, UAE, 2021 and 2025
  • Used Cars: Competitive Environment, UAE, 2021
  • Used Cars: Revenue Share of Top Participants, UAE, 2021
  • Used Cars: Value Proposition Analysis, UAE, 2021
  • Used Cars: Percent of Sales Volume by Vehicle Age, UAE, 2021
  • Used Cars: Distribution Structure, UAE, 2021
  • Used Cars: Distribution Structure—Dealer CPO Program, UAE, 2021
  • The Process of Dealer CPO Practice, UAE, 2021
  • Key Parameters of Dealer CPO Practice, UAE, 2021
  • Used Cars: Value Proposition Analysis—Top 4 Volume OEMs, UAE, 2021
  • Used Cars: Value Proposition Analysis—Top 5 Premium OEMs, UAE, 2021
  • Used Cars: Distribution Structure—Independent Dealers, UAE, 2021
  • The Process of Independent Dealers Practice, UAE, 2021
  • Key Parameters of Independent Dealers Practice, UAE, 2021
  • Used Cars: Distribution Structure—C2C, UAE, 2021
  • The Process of C2C Practice, UAE, 2021
  • Key Parameters of C2C Practice, UAE, 2021
  • Key Features of Al Quoz Used Car Market, UAE, 2021
  • Key Features of Al Aweer Used Car Market, UAE, 2021
  • Key Features of Souq Al Haraj Used Car Market, UAE, 2021
  • Used Cars: Used Car Online Platform Landscape, UAE, 2021
  • Used Cars: Franchised Dealer CPO Online Presence Analysis—Volume Brands, UAE, 2021
  • Used Cars: Franchised Dealer CPO Online Presence Analysis—Premium Brands, UAE, 2021
  • Used Cars: Non-franchised Dealer Online Used Car Platforms*, UAE, 2021
  • Used Cars: Warranty Practice of Selling Channels, UAE, 2021
  • Used Cars: Top Third-party Warranty Provider for Used Car Analysis, UAE, 2021
  • Franchised Dealer CPO: Key Growth Metrics, UAE, 2021
  • Franchised Dealer CPO: Revenue Forecast, UAE, 2019–2025
  • Franchised Dealer CPO: Volume Forecast, UAE, 2019–2025
  • Independent Dealers: Key Growth Metrics, UAE, 2021
  • Independent Dealers: Revenue Forecast, UAE, 2019–2025
  • Independent Dealers: Volume Forecast, UAE, 2019–2025
  • Customer to Customer: Key Growth Metrics, UAE, 2021
  • Customer to Customer: Revenue Forecast, UAE, 2019–2025
  • Customer to Customer: Volume Forecast, UAE, 2019–2025
  • Used Car Export: Key Growth Metrics, UAE, 2021
  • Used Car Export: Revenue Forecast, UAE, 2019–2025
  • Used Car Export: Volume Forecast, UAE, 2019–2025

Have questions about this research or need deeper insights?
Speak directly with our analytics experts for tailored recommendations.

Recent related Automotive research

29 Oct 2026   |   Global   |   Market Research

Heavy Commercial Vehicle Human Machine Interface (HMI) Market, Europe and North America, 2025–2033

The human-machine interface (HMI) market for heavy commercial vehicles (HCVs) in Europe and North America is undergoing rapid transformation, driven by regulatory mandates, automation, and connected interface innovation. The convergence of software-defined vehicle (SDV) architectures and advanced dr...

23 Oct 2026   |   Global   |   Technology Research

Growth Opportunities in Vision Sensing, Automated Logistics, Drones, Batteries and RISC-V Cores

The Mobility Technology Opportunity Engine (TOE) covers innovations pertaining to Vision Sensing, Automated Logistics, Drones, Batteries and RISC-V Cores.The purpose of the Mobility Technology TOE is to raise awareness of global technology innovations in self-propelled ground-based mobile platforms ...

16 Oct 2026   |   Global   |   Market Research

Via Transportation: Strategic Profile, Global, 2026

Via Transportation, Inc. (Via) is a leading business-to-business (B2B) transit software and tech-enabled operations company. The company’s platform serves five segments of the global demand-response transit (DRT) market: microtransit, paratransit, school transport, corporate/campus transport, and no...

15 Oct 2026   |   Asia Pacific   |   Market Outlook

Automotive Market Opportunities, South Korea, 2026

This Frost & Sullivan report analyzes South Korea’s automotive market, focusing on passenger vehicles and light commercial vehicles.South Korea has built a fully integrated supply chain, covering everything from manufacturing to sales and aftermarket services. The entire business cycle is continuous...

15 Oct 2026   |   Asia Pacific   |   Market Research

Replacement Turbocharger Aftermarket in Passenger and Light Commercial Vehicles, China, 2026–2032

This study provides a comprehensive assessment of the automotive turbocharger replacement aftermarket in China, with a 2025 base year and forecasts extending through 2032. The analysis covers the replacement market across passenger vehicles and light commercial vehicles, evaluating market size, unit...

 

Purchase includes:
  • Report download
  • Growth Dialog™ with our experts

Growth Dialog™

A tailored session with you where we identify the:
  • Strategic Imperatives
  • Growth Opportunities
  • Best Practices
  • Companies to Action

Impacting your company's future growth potential.