An Air of Carnival in Second Hand Vehicles

10 October 2013
The activity in foreign currency has been good for second-hand vehicle market as well. The liveliness that peaked in national holiday periods did not disappoint this year either. During the Ramadan Holiday of 2012 when 307 thousand vehicles were sold; and this year 369 thousand second-hand vehicles were sold. In Feast of Sacrifice, where 319 thousand vehicles were sold last year, 380 thousand second-hand vehicles are expected to be sold this year.

The activity observed in foreign currency in the recent months caused an alarming wait in new vehicle market, which is 70 percent foreign, and the current situation profited the second-hand market. The activity that especially peaks before the holiday did not disappoint this year either. During the month corresponding to the Ramadan Holiday of 2012 when 307 thousand vehicles were sold; 369 thousand second-hand vehicles were sold this year. In Feast of Sacrifice, where 319 thousand vehicles were sold last year, 380 thousand second-hand vehicles are expected to be sold this year. Borusan Holding company Manheim Türkiye General Manager H. Zafer Terzioğlu assessed the activity observed in second-hand, and said: "The import-dependent automobile sector would see an increase especially in new vehicles due to foreign currency. This special circumstance peaks the second-hand sales. Besides this, the holiday period also increased the activity in second-hand vehicle sales. We observe that the activity which starts 1 month before holidays turn into high demand two weeks to the holiday, and we see a decrease in second-hand vehicle prices in spite of this activity." Zafer Terzioğlu pointed to the fact that 2.4 million passenger and light commercial vehicles were sold in Turkey during the first 7 months of 2013, and said that they expected another 2 million vehicles to be sold by the end of the year.

Online sales caused 40% increase

Manheim Türkiye General Manager H. Zafer Terzioğlu, who stated that they conducted second-hand vehicle sales with online and physical auctioning method, and said: "We conducted 877 vehicle sales in one month before the Ramadan Holiday last year. This year, we made a total of one thousand 329 vehicle sales in the same period. During the one month period before the Feast of Sacrifice last year, we had a second-hand vehicle sale of one thousand 246. This year we expect sales to be over one thousand 500 the same period this year". Terzioğlu also remarked that, even though the second-hand vehicle sales increased by 10 percent when compared to last year; Manheim Türkiye, working with online and physical auction methods, increased its sales by 40 percent.

50 thousand vehicles sale per year is targeted

Terzioğlu stated that they started online auctioning in 2012 besides physical auctioning, and said: "Online auctioning makes around 45 percent of our sales. Our sales displayed a 40 percent increase since last year. The biggest factor in this increase is the online auctioning method." Terzioğlu expressed that they made a total of 60 thousand vehicle sales since 2008, and said "Our goal for the end of 2013 is to reach a sale number of 15 thousand. This number will reach 20 thousand for 2014. As of 2017, our goal for yearly second hand vehicle sale will be around 50 thousand." Terzioğlu stated that 60 percent of the vehicles in their portfolio come from corporations, and 40 percent comes from authorized dealers and tradesmen; and said that their most important characteristic as a company is fast sale, and creating a transparent and reliable trade environment.

Istanbul and Ankara in the spotlight

Terzioğlu pointed out that the vehicles that are favorites as new vehicles are also the center of attention in second-hand market, and said: "We have 3 thousand members from all around Turkey, Bursa to Adıyaman. One thousand 500 of these members are quite active and around one thousand 100 members join auctions weekly. Thanks to our scale, we provide the opportunity to sell in one day, no matter how many vehicles enter our system. The fact that we present a wide spectrum attracts the customers". Terzioğlu stressed out that 59.36 percent of ManheimTürkiye's second-hand vehicle sales happen in Istanbul, and said "Ankara follows Istanbul with 15.68 percent. But we aim our sales in Anatolian provinces to increase as well, with online sales increasing."

Second-Hand Vehicle Sales Ratios / Regional (ManheimTürkiye)

Region Ratio (%)
Marmara Region 42
Aegean Region 19
Mediterranean Region 17
Black Sea Region 14
Central Anatolia Region 7
South Eastern Anatolian Region 1
Eastern Anatolian Region 0.4

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