Small cars in demand with new petrol price

The Herald, July 5, 1979

THE bottom has fallen out of the market for large six and eight-cylinder cars since the recent increase in the price of petrol.

Salisbury second-hand dealers agreed that there had been an increase in demand for smaller vehicles with their greater economy.

Said one dealer: “The public has certainly become petrol conscious, and are generally looking for a four-cylinder car that will give a higher-than-average petrol consumption.”

Consequently, most dealers were avoiding the larger models which, when they did sell, did so at a much lower price, said another dealer.

“They are now bought mostly for caravanning,” he said.

Because of the popularity of small cars several dealers said they had found difficulty buying them because of the competition.

While all cheaper, smaller car dealers were delighted with the volume of business, those specialising in the later model second-hand vehicles reported a recent dropping off of business.

This was attributed to the economic and political uncertainty. “People would rather wait and see what the outcome of events will be in this country before committing themselves to an expensive car, which they might easily lose in the near future,” said one dealer.

Several dealers reported increased sales on the African market.

“Africans are earning more money today, and are becoming quite shrewd buyers. They are generally looking for the older models especially Peugeots and pick-ups”, he said.

Lessons for the day

Small cars will continue to be the preference for most people because they are very economic especially in terms of fuel consumption.

Many people are now preferring hybrid cars that rely more on battery power than fuel, which is advantageous in countering volatile fuel prices that are susceptible to transitional shocks such as the conflict in Ukraine.

Some car manufacturers are moving to the production of electric cars which are considered to be more efficient and also environmentally friendly.

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