| The UAE is one place that retains its strong | | | | dealers Dubai and used cars Abu Dhabi dealers |
| appetite for cars despite the shakeup that the | | | | are making to attract customers. Newspapers |
| world recession and the local credit crunch that | | | | & classified sites Dubai are filled with many |
| followed the Dubai World debt crisis has caused in | | | | advertisements offering special deals. Customers |
| the Middle East region. For car dealers Dubai and | | | | should make sure that they fully understand what |
| car dealers Abu Dhabi, 2008 was marked as a | | | | the offer really is, and that it represents good |
| particularly good year, as sales increased by 22 | | | | value rather than just a discount in price. |
| percent over 2007 figures. However, the forecast | | | | One thing is certain that the UAE will never lose |
| from 2009 onwards has shown a declining trend. | | | | its appetite for fast or luxurious cars. Even in |
| With bank credit tightening up, the rate of vehicle | | | | these comparatively difficult times, it has been |
| loan rejections in November 2009 had risen from | | | | seen that there is a high level of interest in buying |
| 5 percent to up to 30 percent in the UAE. | | | | the latest models presented at all the recent auto |
| With 70% of new car purchases in the UAE | | | | shows held across the UAE. In 2010 fastest car |
| made on credit, it is predicted that annual growth | | | | on planet is going to on track in Abu Dhabi. |
| in the auto market will slow down to just 2.9% | | | | With customers focused on price, many car |
| this year. Although sales are expected to remain | | | | dealers Dubai and used cars Abu Dhabi dealers |
| sluggish this year, estimates for the UAE market | | | | are losing business because people have an |
| in the long term are that it will rebound strongly | | | | unrealistic expectation that prices will keep falling. |
| with double-digit growth in sales likely to resume | | | | However prices cannot keep falling forever, as |
| from 2011. Indeed, it is predicted that by 2013, | | | | every seller has a certain reserve price below |
| the UAE auto market sales should reach around | | | | which he or she will not sell. They still have to be |
| 570,000 vehicles per year. | | | | viable as a business. |
| The biggest challenge that car dealers Dubai face | | | | Although sales have slowed, there are still some |
| today is the lack of confidence among customers. | | | | genuine buyers out there. People who do visit a |
| While they are still getting a healthy level of | | | | car dealers Dubai showroom or used cars Abu |
| enquiries across car brands; however people are | | | | Dhabi dealership these days are more serious |
| slower in making the buying decision. When | | | | about buying a car. At the moment, the majority |
| consumer confidence dips, people become more | | | | of purchases are being made by the locals, whose |
| cautious and often slip into a considerably | | | | buying habits have thankfully remained relatively |
| thoughtful holding pattern before making long | | | | unchanged. The challenge is to regain the |
| term commitments. | | | | expatriate market, both in terms of Arab and |
| Another challenge comes from the growing | | | | Western expats. |
| number of questionable offers that some car | | | | |