The Q3 2020 Edition of the Aftermarket Dashboard, a quarterly information service for members of the AAAA has been released.
Key highlights for Q3 include:
Insights into COVID-19 Mobility Impact:
We provide Google mobility data on how movement patterns have changed. Despite the easing of lockdown measures in most states, a return to ‘normal’ mobility levels still seems far off, with the large decline in time spent at transit hubs and stations, reveals a profound (and likely ongoing) impact of the pandemic on public transport usage.
With people continuing to shop for essentials (grocery & pharmacy) at regular rates, and a gradual return to workplaces, retailers, and parks, the news for the aftermarket is that Australians will likely be using their cars more for travel where they would previously have used public transport.
Less time spent at work has unsurprisingly had a large impact on business travel. According to the ACA Research Employee Mobility Insights Report, COVID-19’s impact on business travel will be long-lasting, with respondents predicting usage of shared mobility solutions will remain subdued over the next 12 months.
In better news for any workshops undertaking fleet servicing, respondents predict that use of company fleet vehicles will return to normal levels in the next 12 months.
Fleet servicing will however become more complex, with employees increasingly relying on personal vehicles for business travel.
Vehicle Sales – New and Used
There is no question that the pandemic has impacted new vehicle sales. But it’s not consistent across the board: Passenger cars are most significantly impacted: Consumers are continuing their shift away from passenger vehicles, with growth evident in the light SUV subsegment.
Similarly, while June is always a stronger month, high levels of commercial vehicle activity were driven by increased access to the Federal Government’s instant asset tax write-off scheme. This tells us that despite the impact of the pandemic, Australian workshops are going to keep seeing more SUVs and utes in the years ahead. When we looked at the used car market in parallel with new car sales, some interesting observations can be drawn. As discussed In the last dashboard, and based on the continuing shift away from public transport and shared mobility solutions, the used car market is booming (represented by the declining number of listings).