The average South African today pays R391,000 for a new car, up from R387,000 a year ago, as per the latest data from credit agency TransUnion.
This marginal increase in spending was lower than the vehicle price inflation (VPI) over this same period, which stood at 4.7%.
As a result, despite spending more on a new set of wheels in 2024, buyers are getting less for their money.
“Nominal loan amounts have grown but are not keeping pace with rising vehicle costs. This reflects both a decrease in disposable incomes and a diminished appetite among consumers for taking on expensive new credit responsibilities,” said TransUnion Africa CEO Lee Naik.
“Those who purchased vehicles post-2021 have not yet reached a point where their loan balances can be offset by the trade value of their vehicles, and we also see consumers who opted for high balloon payments at the point of purchase holding on to their vehicles for longer.”
As such, TransUnion has started taking note of a few noteworthy trends emerging in the automotive industry.
Consumer buying patterns show that a growing number of households are opting for one multipurpose vehicle instead of maintaining multiple vehicles, with many substituting their transport demands with ride-hailing services like Bolt and Uber.
This coincides with what we’ve seen play out in the market in recent times.
Most cars introduced to South Africa today are either in the crossover or SUV silhouettes, with bakkies also being a popular entry.
Just this year alone we got two affordable crossovers from Citroen, three new VW SUVs, and a slew of wallet-friendly bakkies from China, to name but a few.
While hatchbacks still show face they are not as ubiquitous anymore as they once were, and sedans and MPVs are akin to hen’s teeth.
The rise in prevalence of crossovers, SUVs, and affordable bakkies can be attributed to the all-purpose nature of these vehicles – offering better off-road capabilities and more cargo room than hatchbacks and sedans whilst not sacrificing luxuries such as large touchscreens and heated seats.
With competitors from China entering South Africa at a rapid rate, there is also a price war raging between new faces and established players, with buyers ultimately being the beneficiaries thereof.
These market conditions mean that the R400,000 price bracket is more competitive than it has ever been, but also more weighted to the crossover and SUV categories.
R391,000 rides in South Africa
The 17 cars listed below are all available on the new-car market in South Africa today for around the average sum consumers pay for a new car.
Click on the underlined prices for more information.
Fiat 500C 1.2 Style
- Starting price – R379,900
- Power – 51kW/102Nm
- Fuel consumption – 4.8l/100km
Honda Fit 1.5 Comfort
- Starting price – R380,500
- Power – 89kW/145Nm
- Fuel consumption – 5.5l/100km
Nissan Navara 2.5 Single Cab XE
- Starting price – R381,000
- Power – 118kW/233Nm
- Fuel consumption – TBC
Toyota Urban Cruiser 1.5 XR Auto
- Starting price – R382,900
- Power – 77kW/138Nm
- Fuel consumption – 6.1l/100km
Mitsubishi Xpander 1.5 Auto
- Starting price – R385,995
- Power – 77kW/141Nm
- Fuel consumption – 7.0l/100km
Chery Tiggo 4 Pro 1.5T Elite Auto
- Starting price – R386,900
- Power – 108kW/210Nm
- Fuel consumption – 6.8l/100km
Mahindra XUV300 1.5TD W8
- Starting price – R386,999
- Power – 86kW/300Nm
- Fuel consumption – 4.8l/100km
GWM Steed 5 2.0VGT Double Cab SX
- Starting price – R390,150
- Power – 110kW/320Nm
- Fuel consumption – 7.6l/100km
Haval Jolion Pro 1.5T Premium
- Starting price – R391,150
- Power – 105kW/210Nm
- Fuel consumption – 8.1l/100km
Kia Sonet 1.5 LX Auto
- Starting price – R391,995
- Power – 85kW/144Nm
- Fuel consumption – 6.2l/100km
Opel Corsa 1.2T Edition
- Starting price – R394,900
- Power – 74kW/205Nm
- Fuel consumption – 5.7l/100km
Renault Duster 1.5dCi Zen
- Starting price – R397,999
- Power – 66kW/210Nm
- Fuel consumption – 5.1l/100km
Dayun Yuehu S5 Standard
- Starting price – R399,900
- Power – 35kW/105Nm
- Fuel consumption – Electric
Foton Tunland G7 2.0TD Double Cab TL
- Starting price – R399,900
- Power – 120kW/390Nm
- Fuel consumption – 7.4l/100km
JAC T8 2.0CTI Double Cab Lux
- Starting price – R399,900
- Power – 104kW/320Nm
- Fuel consumption – 7.8l/100km
Suzuki Jimny 1.5 GL AllGrip 3-door
- Starting price – R399,900
- Power – 75kW/130Nm
- Fuel consumption – 6.3l/100km
VW Polo Hatch 1.0TSI 70kW Life
- Starting price – R401,400
- Power – 75kW/175Nm
- Fuel consumption – 5.4l/100km
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