South Africa’s high car prices are altering the vehicle landscape, with certain brands rising up through the ranks, while others are falling out of favour.
A recent study from Lightstone Auto looked at the top 10 vehicle brands in South Africa over the last 15 years and found that BMW and Mercedes-Benz have dropped off the list, while names like Kia and Renault are now consistent top performers.
When “upmarket” becomes inaccessible
German brands like BMW and Mercedes-Benz have always been considered premium badges, but their price tags used to be much more affordable relative to the average salary.
As of 2024, the cheapest 1 Series and A-Class hatchbacks now go for R691,716 and R824,177, respectively, while the typical formal sector salary in South Africa is set at R26,894 per month or R322,728 per year before tax.
At the same time, the quality of mass-market brands has continued to improve, helping to cement their position in the local market, according to Lightstone.
The following line graph depicts the performance of South Africa’s top 10 car brands over the last 15 years, from the start of 2009 to the end of 2023.
The two most consistent entries, unsurprisingly, are Toyota and VW, which have held the number one and two spots for well over a decade, though that could soon change as well.
The star performer is Suzuki, which saw a massive spike in popularity in 2019 that it has held onto ever since, as it is now sitting comfortably as the nation’s third-favourite badge.
Suzuki has been so successful, in fact, that it was able to dethrone Volkswagen as the second-best-selling brand for several months in 2024, and while the German make managed to eventually take its title back, Suzuki is still right on its tail.
The Korean pair of Hyundai and Kia have also risen in popularity with the former placing in fourth by the end of 2023, while the latter is now eighth.
BMW and Mercedes-Benz, on the other hand, have dropped out of the rankings entirely.
The blue-and-white badge, which was the eighth-most popular choice in 2009, fell out of the top 10 in 2019.
The three-pointed star, meanwhile, was the sixth best-seller in 2009 but was pushed off the list in 2020.
Another German brand, Audi, was in 10th place for a few years but was out of the runnings by 2014.
This shift in the market is indicative of tough economic conditions which have dampened consumer spending, leading to a general downshift in price brackets, according to Lightstone.
South Africans have been turning away from German brands like BMW, Mercedes-Benz, Audi, and VW towards more affordable brands from Asia, especially China.
Chery, Haval, and GWM are among the fastest-growing nameplates in the country, regularly featuring in each month’s best-sellers alongside legacy names like Toyota, Ford, and VW.
The success of these automakers has led to an influx of other brands from the People’s Republic, such as BYD, Omoda, Jaecoo, LDV, and Foton, with more on the way including GAC Motors and Jetour.
According to Lightstone, this shift in buying preferences could become permanent, as premium badges like BMW and Mercedes continue to be priced out of reach of consumers’ hands while new ones are entering the stage at much more affordable retail margins.
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