Amid pandemic blues, first time buyers make a comeback in the car market

A strong preference for personal mobility due to pandemic has prompted buyers who relied on shared mobility, public transport in pre-Covid years, to buy their own vehicles

First-time buyers of cars and sport utility vehicles (SUVs) have made a comeback, shows last year's data from top passenger vehicle (PV) makers. If the trend persists, it may move the needle on the overall car penetration ratio.

India's car penetration ratio is 32 per 1,000 people - one of the lowest, compared to mature car markets like the US and Europe.

What could dissuade a new buyer could be the persistent price hikes due to cost inflation and supply-related issues, said analysts.

A strong preference for personal mobility – fallout of the pandemic - prompted buyers, who otherwise relied on shared mobility