Out of 575 survey participants in the U.S. who delayed purchasing a new vehicle during COVID-19 restrictions in 2020, nearly half of the participants claimed that they would feel comfortable buying a vehicle from a dealership within 30 days of the restrictions being lifted. Only three percent of respondents said that they would wait at least six months after restrictions have been lifted. Restrictions in the U.S. Like many countries worldwide, measures to slow down and control the spread of COVID-19 on a national scale were implemented across several U.S. states. Such measures included the temporary closure of schools, bars, restaurants, and movie theaters, along with the cancellation or postponement of several large public events. While online activity in the U.S. has steadily increased during the pandemic, e-tailers in the automotive industry are predicting a decrease in sales: projected auto sales growth for 2020 in the U.S. are anticipated to be 26.6 percent below the level one year earlier. Post-lockdown behavior Respondents in this survey were also asked whether they would feel comfortable performing other activities after COVID-19 restrictions were lifted. A total of 48 percent of respondents stated that they were comfortable buying a vehicle from a dealership within a month of restrictions being lifted, 67 percent claimed that they would feel comfortable returning to work, 51 percent would dine in at a restaurant, and only 22 percent would travel via airplane.

In 2020, following the corona virus pandemic, the new forecasts for passenger car sales in Saudi Arabia was approximately 252 thousand units. The forecasts of passenger car sales for that year previous to the pandemic was about 387 thousand units.

Worldwide car sales grew to around ** million automobiles in 2024, up from around **** million units in 2023. Throughout 2020 and 2021, the sector experienced a downward trend on the back of a slowing global economy, while COVID-19 and the Russian war on Ukraine contributed to shortages in the automotive semiconductor industry and further supply chain disruptions in 2022. Despite these challenges, 2023 and 2024 sales surpassed pre-pandemic levels and are forecast to keep rising through 2025. Covid-19 hits car demand It had been estimated pre-pandemic that international car sales were on track to reach ** million. While 2023 sales are still far away from that goal, this was the first year were car sales exceeded pre-pandemic values. The automotive market faced various challenges in 2023, including supply shortages, automotive layoffs, and strikes in North America. However, despite these hurdles, the North American market was among the fastest-growing regions in 2024, along with Eastern Europe and Asia, as auto sales in these regions increased year-on-year. Chinese market recovers After years of double-digit growth, China's economy began to lose steam in 2022, and recovery has been slow through 2023. China was the largest automobile market based on sales with around **** million units in 2023. However, monthly car sales in China were in free-fall in April 2022 partly due to shortages, fears over a looming recession, and the country grappling with the COVID-19 pandemic. By June of that same year, monthly sales in China were closer to those recorded in 2021.

As of October 2020, North American auto demand was around 2.5 million units below 2019 levels. In terms of production in North America's largest market, output in the U.S. automotive industry was roughly 4,300 units in April 2020. U.S. plants reopened after a nine-week shutdown amid the coronavirus outbreak in the United States.

It is estimated that 2024 saw plug-in electric light vehicle (PEV) sales of around 17.5 million units. The Chinese market picked up steam after a period of slowdown in 2020, as vehicle manufacturing and demand were at a standstill due to the COVID-19 pandemic. Meanwhile, electric vehicle sales in some of Europe's five largest markets surged in 2024. Electric car sales growth Global automobile production dropped significantly with the pandemic, with millions of jobs in the industry at risk globally. Later in the year, when lockdowns were lifted, demand for new cars bounced back, but the automotive semiconductor shortage impacted supply. Despite these issues, the electric car market experienced a record year, with an increase of over three million in global electric car sales, and notable market share growth. A present task for the future Many governments put forward green stimulus packages during the pandemic, many of which were directed towards supporting the automotive industry and securing jobs in the sector, with an emphasis on the clean transition. In China, the full new energy vehicle (NEV) subsidy program phase-out was postponed from the end of 2020 to the end of 2022. However, these investments are starting to be rolled back. In Germany, the largest car market in Europe, electric vehicle subsidies abruptly stopped at the end of 2023, following in the footsteps of countries like Norway, which have also moved away from subsidies.

Sales of used light vehicles in the United States came to around 39.2 million units in 2024. In the same period, approximately 15.8 million new light trucks and automobiles were sold here. Declining availability of vehicles In the fourth quarter of 2024, about 292.3 million vehicles were in operation in the United States, an increase of around 1.3 percent year-over-year. The rising demand for vehicles paired with an overall price inflation lead to a rise in new vehicle prices. In contrast, used vehicle prices slightly decreased. E-commerce: a solution for the bumpy road ahead? Financial reports have revealed how the outbreak of the coronavirus pandemic has triggered a shift in vehicle-buying behavior. With many consumer goods and services now bought online due to COVID-19, the automobile industry has also started to digitally integrate its services online to reach consumers with a preference for contactless test driving amid the global crisis. Several dealers and automobile companies had already begun to tap into online car sales before the pandemic, some of them being Carvana and Tesla.

The U.S. auto industry sold nearly ************* cars in 2024. That year, total car and light truck sales were approximately ************ in the United States. U.S. vehicle sales peaked in 2016 at roughly ************ units. Pandemic impact The COVID-19 pandemic deeply impacted the U.S. automotive market, accelerating the global automotive semiconductor shortage and leading to a drop in demand during the first months of 2020. However, as demand rebounded, new vehicle supply could not keep up with the market. U.S. inventory-to-sales ratio dropped to its lowest point in February 2022, as Russia's war on Ukraine lead to gasoline price hikes. During that same period, inflation also impacted new and used car prices, pricing many U.S. consumers out of a market with increasingly lower car stocks. Focus on fuel economy The U.S. auto industry had one of its worst years in 1982 when customers were beginning to feel the effects of the 1973 oil crisis and the energy crisis of 1979. Since light trucks would often be considered less fuel-efficient, cars accounted for about ** percent of light vehicle sales back then. Thanks to improved fuel economy for light trucks and cheaper gas prices, this picture had completely changed in 2020. That year, prices for Brent oil dropped to just over ** U.S. dollars per barrel. The decline occurred in tandem with lower gasoline prices, which came to about **** U.S. dollars per gallon in 2020 - and cars only accounted for less than one-fourth of light vehicle sales that year. Four years on, prices are dropping again, after being the highest on record since 1990 in 2022.

Strong growth in developing economies, like the BRICS and ASEAN member nations, has driven revenue for global car dealers despite slowdowns in established economies, like North America and Europe. Developed economies focus largely on value-added car purchases, while emerging markets focus primarily on volume. The transition to SUVs and crossovers with more safety and entertainment features has driven growth; in particular, these models' surging adoption rates have created numerous growth opportunities in developing economies. Even so, climbing interest rates across most key markets and faltering global consumer sentiment have somewhat constrained post-pandemic growth. Overall, revenue has expanded at an expected CAGR of 0.7% to $4.4 trillion through the current period, including a 2.1% jump in 2024, where profit reached 2.3%. Supply chain disruptions made new cars significantly more expensive, increasing inventory costs. Similarly, semiconductor and electronic component shortages reduced supply, leaving dealers with limited inventories. Even so, dealers were largely able to leverage torrid demand and pass added costs onto buyers, creating opportunities for revenue and profit growth. Volatile oil supply chains amid the Russia-Ukraine conflict also contributed to swelling demand for more fuel-efficient vehicles. Companies have also integrated online services to make the car-buying process simpler and more accessible, enabling them to combat heightened competition and access a wider network of buyers. The penetration of online platforms has transformed the car sales landscape, favoring larger dealership franchises over independent companies. Car dealers will continue to contend with substitutes, even as economic conditions improve and consumer sentiment rebounds through the outlook period. Government incentives and upstream innovations will also spur demand for electric and hybrid vehicles, generating strong per-unit revenue from dealers. Even so, slowing EV adoption rates in North America may dampen this segment's growth potential. Consumer preferences will also continue to trend toward online vehicle shopping, which provides convenience and efficiency to busy consumers, creating greater competition with various online dealers. Overall, revenue will climb at an expected CAGR of 2.5% to $4.9 trillion through the outlook period, where profit will reach 2.3%.

Global vehicle sales have experienced significant fluctuations over the past two decades, with 2023 marking a return to pre-pandemic levels. The industry saw a sharp decline in 2020 due to the COVID-19 pandemic, followed by a gradual recovery. However, the semiconductor shortage in 2022 led to inventory issues and a slight decrease in sales. Despite these challenges, the market rebounded strongly in 2023, surpassing ** million units sold worldwide. Recovery and future outlook The automotive industry's resilience is evident in its rapid recovery from the pandemic-induced slump. Light vehicle sales are projected to increase by *** percent in 2024 compared to the previous year, with further growth of *** percent expected in 2025. This positive trend is supported by the rebounding sales in China, the world's largest automotive market, and the growing demand for electric vehicles. The global production of motor vehicles reached ** million units in 2023. Electric vehicles driving growth The shift towards electric vehicles is playing a crucial role in the industry's growth. In 2023, plug-in electric light vehicle sales reached an estimated **** million units globally. This surge in demand is particularly noticeable in China and Europe's largest markets. Despite the challenges posed by the pandemic and semiconductor shortages, the electric car market experienced record growth, with market share increasing significantly. However, as government subsidies for electric vehicles begin to be rolled back in some countries, the industry may face new challenges in maintaining this growth momentum.

Used car dealers in the United States had a market size of 138.1 billion U.S. dollars in 2021. While the industry value dipped at the onset of the COVID-19 pandemic, used car sales quickly recovered, with used car dealers' market value hiking above its pre-pandemic levels.

The used car market boom

The used car market has been gaining steam since 2017 when the volume of used light vehicles sold hiked by just under 11 percent year-over-year to 42.7 million sales. By 2021, around 43.1 million used light vehicles were sold in the U.S, representing just under 74 percent of the total light vehicle sales in the country. While sales increased, the average used vehicle selling price also inflated—up 21 percent year-over-year in 2021—with vans, sport-utility vehicles, and crossover utility vehicles recording the steepest price increase. The semiconductor shortage, forcing halts in new vehicle production, is partly responsible for this boom in the used car market. Most used vehicle retail inventory in June 2022 was priced above 35,000 U.S. dollars, making the used car market increasingly inaccessible to consumers.

Light trucks at the forefront of sales

U.S. consumer satisfaction with their overall shopping experience dropped in 2021, with used car buyers reporting a satisfaction rate of 65 percent, compared to 71 percent in 2020. While 2021 satisfaction is higher than in 2019, this denotes the impact of higher prices on customers. Most consumers opted for used light trucks instead of used automobiles. The net purchase of used light trucks spiked in the third quarter of 2019, reaching 194.7 billion U.S. dollars in the second quarter of 2022, while auto sales had a net purchase value of 52 billion U.S. dollars that same quarter. The Ford F-150, Chevrolet Silverado 1500, and Ram Pickup 1500 were the 2016 to 2020 MY models with the largest share of used car sales in the U.S. Ford was also the third best-selling manufacturer for new vehicles in the U.S.

The BMW Group sold around ******* BMW-badged vehicles in the United States in the fourth quarter of 2024. Additionally, the Bavarian automaker sold nearly ***** MINI vehicles. MINI and BMW feel the effects of the semiconductor shortage The global automotive semiconductor shortage had been impacting the automotive sector through 2021 and 2022. Manufacturers contended with production losses, with decreased both unit sales and profits. In the U.S., the BMW Group was among those impacted. BMW annual sales decreased by around **** percent year-over-year, while sales from its MINI subsidiary fell by over ** percent. This contrasts with the growth MIN recorded in 2021, as it recovered from the COVID-19 pandemic. The British car brand was acquired by BMW in 2000, and worldwide sales of MINI vehicles peaked in 2017 at just over ******* units. However, MINI vehicles had a lesser appeal for American customers when compared to the manufacturer's namesake brand. U.S. consumer satisfaction was indeed higher for BMW, which was also the country's most popular luxury car brand. BMW records a strong recovery from the pandemic Globally, the luxury carmaker delivered encouraging 2021 financial results, successfully recovering from the dip in revenue reported in 2020 due to the COVID-19 pandemic. By 2024, the manufacturer had surpassed its 2019 revenue, despite the year-on-year decline. The luxury car brand was the fourth most valuable brand in the automotive sector as of mid-2025 and ranked among the leading brands worldwide across sectors in 2024. Toyota and Mercedes-Benz were the only automotive brands higher in the global ranking.

General Motors was the market leader in terms of U.S. light vehicle sales in 2024. Between January and December 2024, consumers in the United States bought around *** million GM vehicles, making General Motors the producer of approximately **** percent of the automobiles sold in the U.S. during that time.  Rebounding after a pandemic-related dip U.S. light-vehicle sales are stalling: the U.S. automotive industry sold roughly ***** million light vehicles between January and December 2024. This compares to about **** million units one year before and close to ** million vehicles in 2019. The trend is slightly different for America’s most popular manufacturer. GM’s global light vehicle sales declined in 2024, compared with the figures reported for the same twelve months in 2023. The U.S. automotive industry had several good years between 2015 and 2018, when consumers purchased more than ** million light vehicles annually for an unprecedented four years in a row. This stellar spell came to an end in 2019. Slowing economies and the COVID-19 pandemic had a strong negative effect on vehicle production and consumption. The U.S. auto market had high hopes for a V-shaped recovery in 2021 and 2022, but the reality was different. Light vehicle sales in North America dropped to **** million in 2022, after encouraging sales in 2021. The regional market was growing in 2024, but had yet to reach pre-pandemic levels. A competitive market The automobile market in the United States is a competitive space, with Toyota Motor trailing General Motors in the ranking. Chevrolet, a division of General Motors, recorded the second-best initial quality in the U.S. as of May 2024. It was preceded by Ram. Lexus, a subsidiary of Toyota, ranked eighth in this quality ranking but sixth in overall U.S. consumer satisfaction in 2024, with an index score ***** points above its main luxury car competitor, BMW. General Motors brands were at a similar position in the ranking, with the automaker's Cadillac brand earning the same index score as Lexus.

Mexico Motor Vehicle Sales: Automobiles data was reported at 53,067.000 Unit in Mar 2025. This records an increase from the previous number of 50,552.000 Unit for Feb 2025. Mexico Motor Vehicle Sales: Automobiles data is updated monthly, averaging 44,323.000 Unit from Jan 1983 (Median) to Mar 2025, with 507 observations. The data reached an all-time high of 124,907.000 Unit in Dec 2016 and a record low of 6,318.000 Unit in Apr 1995. Mexico Motor Vehicle Sales: Automobiles data remains active status in CEIC and is reported by National Institute of Statistics and Geography. The data is categorized under Global Database’s Mexico – Table MX.RA003: Vehicle Sales. Refers to the sales of automobiles made to final consumer, including data on vehicle units imported by agencies and companies. Domestic car sales include the units that are manufactured or assembled using domestic and imported parts and components, which are destined for the national market. [COVID-19-IMPACT]

The graph shows passenger and utility vehicle sales in China from January 2021 to December 2023. In December 2023, approximately 2.8 million passenger cars and 364,000 commercial vehicles were sold in China, an increase compared to the previous month. Automobile demand in China China is home to the world’s largest market for automobile sales. Despite the recent decline in passenger car sales in China during the COVID-19 pandemic, the market bounced back and in 2023, the sales exceeded 26 million units, making it the highest figure in the past years. Chinese car manufacturers China’s automobile market used to be dominated by international car manufacturers until recently. In 2021, Chinese manufactured vehicles had a market share of about 44.4 percent in the Chinese vehicle market, followed by German vehicles and Japanese vehicles. The leading passenger car manufacturer is FAW-Volkswagen, which reported sales of about 1.8 million vehicles in the same period.

The used passenger car market is a significant sector within the automotive industry. It encompasses the buying and selling of pre-owned vehicles, which are typically offered at lower prices than new cars. This market has experienced steady growth over the years, driven by factors such as rising disposable incomes, urbanization, and the increasing cost of new cars. According to a report by Fortune Business Insights, the global used passenger car market was valued at USD 1,378.92 billion in 2020 and is projected to reach USD 2,394.22 billion by 2028, exhibiting a CAGR of 7.2% during the forecast period. The used passenger car market is expected to continue its growth trajectory in the coming years, supported by several key factors. These include the increasing popularity of online marketplaces for used car sales, the growing preference for certified pre-owned vehicles, and the expansion of the used car market in developing countries. Moreover, the COVID-19 pandemic has led to an increased demand for used cars as consumers seek more affordable transportation options. As the global economy recovers from the pandemic, the used passenger car market is expected to benefit from continued consumer demand and favorable market conditions.

The result of a merger between Fiat Chrysler Automobiles and Peugeot S.A., Stellantis sold around 347,700 vehicles in the fourth quarter of 2022. This volume was down by around 15.5 percent compared with the same period last year. The largest drops in annual sales belong to Fiat and Alfa Romeo. While Stellantis's other subsidiaries fared better, all brands recorded a drop in sales as a result of the global automotive semiconductor shortage.

Stellantis and the future of vehicle sales

Drops in sales in the U.S. market was not a problem faced exclusively by Stellantis. Light vehicle retail sales in the United States have slumped in 2020, as a result of the global COVID-19 pandemic which put car manufacturing at a standstill and decreased overall demand. Stellantis further faced issues with the global chip shortage of 2021, which impacted its vehicle production and 2022 sales. Further market developments towards alternative fuels present a challenge for automakers. New energy light trucks and cars are gaining in popularity. The industry sold an estimated 607,600 plug-in electric vehicles in the United States in 2021. Entering the electric market is cited as one of the principal reasons why Fiat Chrysler originally approached major European manufacturing group, Renault, for a merger in 2019. Renault already worked in collaboration with Nissan and Mitsubishi, and the alliance saw plug-in electric vehicle sales increase 67 percent from 2017 to 2018. Nissan also has one of the best-selling car brands in the U.S. On the global scale, it was expected that for all parties, the merger will allow the manufacturers to stay influential in an increasingly competitive global market.

Talks with Renault led nowhere significant. The Alliance of Renault, Nissan and Mitsubishi faced trouble between 2017 and 2020 as their lead figure came under criminal investigations. Fiat Chrysler then went on to announce a merger with Group PSA which was approved by shareholders in January 2021, with the deal completed that same month.

The European motor vehicle wholesaling and retailing industry’s revenue is forecast to slump at a compound annual rate of 5.1% over the five years through 2024 to €1,321.8 billion, with a projected decline of 1.9% in 2024. The COVID-19 pandemic stalled demand for new car sales as many showrooms temporarily closed in line with social distancing restrictions and financial uncertainty dissuaded big ticket purchases. The pandemic also contributed to a semiconductor shortage, leading to a substantial backorder at many car dealerships. Revenue slumped through 2022 but made a comeback in 2023 as the semiconductor shortage eased. In the 9 months through September 2023, the EU and UK and car market grew by 16.9% and 20.2% respectively, according to the ACEA and SMMT, marking a hefty rebound in car sales. This surge in car sales boosts profitability for many car dealers. European governments are increasing their efforts to cut emissions in line with climate agreement targets. Zero- and low-emission zones are becoming widespread in European city centres, which restricts entry of high-polluting vehicles. Further, governments are incentivising the uptake of electric vehicles by offering subsidies and zero tax on new purchases. The sale of new diesel and petrol cars will be banned in many countries (2030 in the UK, 2035 in the EU), further encouraging people and fleet owners to switch to an electric vehicle for their next purchase. Over the five years through 2029, revenue is forecast to climb at a compound annual rate of 3.9% to reach €1,599.7 billion. Connected cars will also be a focus for many dealers, as infotainment systems become widely demanded by customers.

Motor Vehicle Sales: VAMA: Incl MBV & Lexus: Total data was reported at 26,079.000 Unit in Mar 2025. This records an increase from the previous number of 17,181.000 Unit for Feb 2025. Motor Vehicle Sales: VAMA: Incl MBV & Lexus: Total data is updated monthly, averaging 20,363.000 Unit from Jan 2011 (Median) to Mar 2025, with 171 observations. The data reached an all-time high of 44,978.000 Unit in Dec 2020 and a record low of 3,679.000 Unit in Feb 2013. Motor Vehicle Sales: VAMA: Incl MBV & Lexus: Total data remains active status in CEIC and is reported by Vietnam Automobile Manufacturer Association. The data is categorized under Global Database’s Vietnam – Table VN.H016: Motor Vehicle Sales: incl MBV and Lexus. [COVID-19-IMPACT]

Motor vehicle sales had significantly decreased in Latin America amid the COVID-19 outbreak, before recovering through 2021 to 2022. In 2023, Venezuela reported a year-over-year growth rate around 82.9 percent, while Mexico's automotive market grew by 24.63 percent. On the other hand, the markets in Chile and Colombia experienced a significant decrease in 2023.

Passenger Car Dealer Portal Software Market Outlook

The global passenger car dealer portal software market is projected to see substantial growth, with the market size expected to expand from USD 1.5 billion in 2023 to USD 3.8 billion by 2032, reflecting a compound annual growth rate (CAGR) of 10.5%. This impressive growth can be attributed to several factors, including the increasing digital transformation within the automotive industry, rising consumer expectations for online services, and the need for improved operational efficiencies among car dealers. As the automotive sector embraces digital solutions, dealer portal software is becoming increasingly critical in managing relationships, sales processes, and service operations effectively.

A primary growth factor driving this market is the rapid evolution and adoption of digital technologies across the automotive sector. With the proliferation of internet services and the increasing penetration of smart devices, consumers now demand seamless digital experiences, even in the car buying and servicing processes. This has compelled car dealers to adopt comprehensive dealer portal software that facilitates a smooth, digital customer journey from inquiry to purchase and beyond. Moreover, the integration of advanced technologies such as Artificial Intelligence (AI) and Machine Learning (ML) into these platforms enhances the personalization and efficiency of dealer services, further propelling market growth.

Another significant growth driver is the shifting consumer preference towards online car buying and related services. In an era where convenience and speed are paramount, online car dealerships are becoming increasingly popular. Dealer portal software plays a crucial role in enabling dealers to maintain a competitive edge in this digital marketplace by offering robust features for inventory management, customer relationship management (CRM), and sales processing. Additionally, the COVID-19 pandemic accelerated the shift towards online-first strategies, leading to a permanent change in how car dealerships operate and increasing reliance on dealer portal software solutions.

The market is also fueled by the rising need for operational efficiency among car dealers. With fierce competition and thin margins, dealers are under pressure to streamline their operations and reduce costs. Dealer portal software helps achieve this by automating various administrative tasks, improving inventory management, and optimizing sales and financing workflows. This not only enhances dealer profitability but also improves customer satisfaction by enabling faster and more accurate service delivery. As dealers continue to invest in technology to gain a competitive advantage, the demand for sophisticated dealer portal solutions is set to rise steadily.

The integration of a Dealer Management System (DMS) is pivotal for car dealerships aiming to streamline their operations and enhance customer satisfaction. A DMS serves as a centralized platform that manages various dealership functions, including inventory, sales, finance, and customer relations. By automating routine tasks and providing real-time data insights, a DMS helps dealers make informed decisions, optimize their processes, and improve overall efficiency. As the automotive industry becomes increasingly digital, the adoption of robust DMS solutions is expected to grow, enabling dealers to stay competitive and meet the evolving demands of tech-savvy consumers.

Regionally, North America holds a significant share of the passenger car dealer portal software market, driven by the high adoption rate of digital technologies and the presence of major automotive manufacturers. However, the Asia Pacific region is expected to exhibit the highest growth rate during the forecast period, propelled by a burgeoning automotive market, rapid digital transformation, and increasing consumer demand for online services. Emerging markets in Latin America and the Middle East & Africa are also witnessing growing interest in digital dealer solutions, although market penetration remains relatively lower compared to developed regions.

Deployment Type Analysis

The deployment type segment of the passenger car dealer portal software market is bifurcated into on-premises and cloud-based solutions. On-premises deployment has traditionally been favored by large dealerships with significant IT infrastructure and resources. This deployment type allows for greater control over data security and s