The surprising new trend in South Africa’s car market – That you’ll love

There is a surprising new trend in the South African car market that consumers are sure to be thankful for.

This is the trend of new and existing vehicles becoming more affordable than their predecessors.

As household income continues to be squeezed from both ends, new-vehicle sales have come under pressure with car registrations totaling 515,712 in 2024, a 3% decline in comparison to 2023 and still below the pre-pandemic levels of 536,626 sales recorded in 2019.

In response, automakers have been forced to find ways to get paying customers through dealership doors once again.

While some went the way of aggressive promotions and specials, others simply decided to slash the window stickers of their vehicles or launch new ones for the same price.

Hyundai Grand i10, i20, and Venue

Hyundai started the trend back in July 2024 when it launched the new i20 at R309,900.

Despite the hatchback being on the receiving end of new cosmetic details and various create comforts, its asking price was, at the time, R23,600 lower than the model it was replacing.

Three days later, the Korean automaker grabbed headlines once again when it lowered the cost of the Grand i10.

This time around, Hyundai reshuffled the line-up a bit, removing the trims that didn’t sell so well whilst tweaking the specifications of those who remained on the market.

The end result was that the starting price of the Grand i10 saw a reduction of R14,600 whereas the top-spec model fell by R14,000.

Hyundai didn’t stop here, though, as the Venue came next.

Like with its stablemates, the company trimmed the fat from the crossover’s model range and brochure, in the process bringing down its base cost by a welcome R19,000.

VW Polo Vivo

Loosely following in Hyundai’s footsteps, VW updated the evergreen Polo Vivo for the first time in August 2024.

The facelift comprised a new grille and front bumper, refreshed badging, redesigned lighting signatures, and an overhauled selection of alloy wheels.

Inside, it received a new instrument cluster, infotainment screen, seat covers, and multifunction steering wheel.

Even though these fitments would likely have contributed to increased production costs, VW decided to absorb much of these expenses so as to keep the Vivo competitive among the slew of new and attractive rivals from China who are all similarly priced.

“Our customers are loyal, but they are not that loyal,” a VW representative said at the launch of the hatchback when asked about the unchanged pricing.

And so, the new Vivo continues to be sold for between R266,600 and R356,000 – the exact same price as its forebear.

BAIC Beijing X55

Come September 2024, Chinese automaker BAIC introduced the next Beijing X55 to the country, benefitting from new exterior styling cues and an expanded spec sheet.

Among others, the crossover gained 18-inch “Sporty Blade” alloy wheels, dual quad exhausts, and a revised selection of paints.

These fitments were intended to increase the attractiveness of the X55 as the brand is currently struggling to shift units in the domestic market.

To further appeal to buyers, the X55’s starting price stayed the same as the outgoing model at R429,900 despite the subtle enhancements.

GAC Emkoo and Emzoom

Skip to January 2025, another Chinese company, GAC Motor, decided to erase anywhere from R50,000 to R100,000 from the prices of its Emkoo and Emzoom without making any amendments or cuts to the SUVs.

The Emzoom thus went from a starting price of R469,900 to R419,900, whereas that of the more luxurious Emkoo dropped from R599,900 to R519,900.

It chalked up the dramatic price cut to more favourable market conditions, primarily an improvement in the strength of the rand.

“This price drop is a testament to our belief that consumers deserve to benefit directly from favourable forex movements,” said the company.

While this may be the case, it’s likely that it has also been done to stimulate sales in a sea of similarly priced, similarly specced Chinese rivals.

It’s hoped that more carmakers will continue to mimic the actions of Hyundai, VW, BAIC, and GAC in the future and make their vehicles more accessible to the South African public.