Introduction:
Did you know that according to the International Trade Association, approximately 100,000 vehicles are imported into Ghana, with more than 90% being used cars? Are you curious about the driving forces behind Ghana’s booming used car industry? Or are you wondering which brands dominate the market, and what factors are shaping consumers’ preferences?
Buckle up for a data-driven adventure!
In this report, we embark on an exciting exploration of Ghana’s used car market, employing comprehensive data on the industry from prominent trading hubs. It is instructive to note that the market is shaped by import dependency, competitive advantage, and consumers’ preferences (Mordor Intelligence, 2021). To this end, we will present insights about the factors shaping Ghana’s used car market, from brands to the market shares of the leading manufacturers.
The Market
There are roughly 67 manufacturers and 610 models of used cars in Ghana’s trove of automotive diversity. But the market is more than just a mix of various brands. Toyota, Hyundai, Honda, Mercedes Benz, Kia, Nissan, Ford, Land Rover, Chevrolet, and Mitsubishi are the leading brands. Of these, Toyota leads the charge with an estimated monthly unit count of 4000 vehicles. This is nearly the combined monthly unit counts of four competitors: Hyundai (1426), Honda (1333), Mercedes-Benz (927) and Kia (695). Importantly, brands like Nissan, Ford, and Chevrolet have steadily gained ground in the top 10. In the figure below, the monthly counts of 650, 449, and 304 respectively, reflect the trend. Meanwhile, brands like Brilliance, Alfa Romeo, and Tata have struggled to gain traction.
Ghana’s Used Car Market Value
The leading brands strive to optimize revenue in what is an ultimately limited market. Toyota leads the charge in both revenue and value, raking nearly a billion Ghana Cedis per month, which far outstrips the closest brand, Mercedes-Benz, which generates about 3.5 million Ghana Cedis per month–with the GLE-Class commanding the highest price on the market, GHS 6,400,000 (587,155.96 USD). On the other hand, the Kia Rio Hatchback is available at a minimum price of GHS 7,000 (642.20 USD). The wide variance in market price underscores the market’s multiformity. Overall, the average market price of a used car in Ghana is GHS 140,000.00 (12,844.04 USD).
Figure: Ghana Top 20 Car Models by Value
Conclusion:
Our analysis of the automotive industry reveals the extensive domination of used cars. Despite the presence of local assembly lines, imported used cars command 90% of the total market share for all vehicles. Toyota not only leads in terms of monthly unit count, boasting approximately 4,000 vehicles, but also in market value. That this is unmatched, underscores its unparalleled position on the Ghanaian market.
