Carsales’s boss Cameron McIntyre says the online vehicle classifieds group can ride out a recession, with used cars still a big drawcard for consumers looking for bargains in tough economic times.
“For me the reason why is because we live in a large country, there are substantial distances for you to travel from home to work and you need a car. But in tough times you may decide you’ll take $20,000 of equity out of your car,” he told The Age and the Herald.
“When that happens we still benefit from the trade because there’s a flow, so whenever there’s a buy and a sell it benefits us,” he said.
Meanwhile, the easing of COVID-19 restrictions has seen traffic pick up at Carsales’s platform, with advertised vehicles selling at a quicker pace. According to Carsales, the uptick was on the back of more first-time buyers entering the market and households looking to pick up an extra vehicle to avoid public transport.