Saudi Arabia is a country of car enthusiasts. This destination features the highest ratio of cars to people of any location and demand for vehicles continues to go up. In 2013, car sales were up by at least 11 percent at times. Looking at the reasons for growth as well as what appears to be the future of this market can offer valuable insight into the constantly changing automotive sales across the world.
Image Credit: Rami
Why such a change in volume?
High consumer demand is one of the most important reasons for growth in the automotive market. This especially comes from workers who have moved to the country from other locations with large populations such as China. Another element is first time drivers who have come to appreciate the wide variety of cars available to consumers. Economic issues are also significant to sales in the country. Higher incomes for many Saudi Arabians mean that more vehicles from options like Nissan dealerships are available at all price ranges. Specialty car makers with editions that sell for figures upwards of one million dollars especially look towards the area.
Which brands are popular?
Brands from across the world have edged their way into Saudi Arabia’s crowded marketplace. Middle-class consumers in Saudi Arabia prefer selections from Japanese, Korean and American automotive companies. Toyota is claiming a large market share, the Corolla and Camry models proving popular with many buyers. Younger Saudi Arabians are also looking for smaller cars.
What lies ahead for car sales in Saudi Arabia?
The forecasts envisage a growth of 80% over the next five years. Car makers expect to sell more than one million cars in Saudi Arabia by 2020. Officials are also looking at setting up production deals that encourage manufacturers to build as well as sell their vehicles in the country.
The potential growth of auto sales, as well as possible involvement from automakers, makes Saudi Arabia a prominent destination for car enthusiasts. Automotive brands that are already important to the country may also find their own way to become a major factor among its consumers. These changes will continue establishing the area as a major travel location for drivers from across the world.