Car Insurance
New car market 'overcrowded'
Tue, 04 Jul 2006
New car buyers are becoming increasingly confused over the number of different types of new cars on offer, a new consumer survey suggests.
With the new car market getting more and more congested with sports utility vehicles (SUVs), hatchbacks and superminis, the average British motorist is being left baffled about what kind of car they should be buying, according to the research by EurotaxGlass's.
And this is leaving many car manufacturers with lots of models that are enjoying only limited popularity with the public, making them difficult to shift both in the new and used car markets.
Cars that offer additional space are cited as particularly unpopular compared with regular models, meaning that the drivers who do opt for the convenience of a little more room over the more stylish version are left with a car that depreciates more rapidly in value when it comes to sell the car on.
In order to combat poor sales, car companies are used to making special offers such as free or cheap car insurance deals.
However, the researchers suggest that better market research on the manufacturers part would provide a better deal for consumers in the long run.
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