Project report for Used bike showroom
A used bike business makes profits by selling used bikes. But an extremely important part of this process is the supply chain - buying used cars from previous owners at a price low enough that it can be marked up. To market and operate your used bike business, you need to attract and work with buyers as well as sellers, and think of both as customer groups. The India used two-wheeler market has displayed a strong growth over the five year period from 2013-2018 on account of increasing income of households, immigration of working individuals in search of work or education as well as greater availability of used two-wheelers in the country. The used-two wheeler market in India has underscored a growth of 10% in terms of sales volume over the period 2013-2018. Further, online-automobile portals became a medium through which used vehicles started selling online. The market witnessed the entry of a few organized players which focused on product quality. This encouraged working women and young individuals to look for used vehicles in good conditions. The growth of online advertising, which has fuelled the rise of online classified platforms such as OLX, Quikr, Gaadi.com, Carwale.com, and others have revolutionized the way in which pre-owned vehicles have been sold in the country. There are other platforms that have emerged in the Indian used two-wheeler market which enable buyers and sellers to engage and exchange products in a transparent manner.
Market potential & Strategy
The market for used bike in India is expected to reach a market size of USD 75 billion by 2023, recording a CAGR of 15.2% during the forecast period. The India used bike market has grown at a tremendous pace since the beginning of the 20th century. The main reason for the same has been the emergence of organized players in the market, as these players have taken care of the trust deficit and the plaguing India used bike market since ages. Even a decade back, almost all sales in the India used bike market took place in the unorganized sector. Sellers would palm off substandard products to buyers, which made a large number of prefer to buy bikes in the circle of family, friends, and acquaintances. The used bike market in India accounts for nearly 3.4 million vehicles per year. But only a minority of used bike sales originate from businesses to consumers and are processed by organized dealers, around 400,000 unit per annum or about 13%. The used bike business is very competitive, but there are opportunities for business people with a knowledge of bike and a way with people. Making a profit in the used bike business requires skills that including the ability to find quality bikes at great prices and the ability to fix bikes and make them more valuable. Focusing on the skills you need to make a living in the used bike business can help you be more more successful.Though the automobile industry is witnessing sluggish sales, the pre-owned car and bike business is growing at 15 per cent and is likely to double its growth in the next four years. The average ownership of an automobile is 4 years. Therefore, a vehicle is usually sold 3 to 4 times in its lifetime. This creates a huge market for the used bike dealer.