Small Cars - Central & Western Europe

Central & Western Europe

Revenue in the Small Cars market is projected to reach US$25,730m in 2024.
Revenue is expected to show an annual growth rate (CAGR 2024-2028) of -0.16%, resulting in a projected market volume of US$25,570m by 2028.
Small Cars market unit sales are expected to reach 1,527.0k vehicles in 2028.
The volume weighted average price of Small Cars market in 2024 is expected to amount to US$17k.
From an international perspective it is shown that the most revenue will be generated in China (US$13,380m in 2024).

Key regions: Worldwide, China, United Kingdom, United States, Germany

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Analyst Opinion

The Small Cars market in Central & Western Europe has witnessed significant growth and development in recent years. Customer preferences in the Small Cars market in Central & Western Europe are driven by several factors.

Firstly, customers in this region are increasingly concerned about fuel efficiency and environmental sustainability. Small cars are known for their fuel efficiency, making them an attractive choice for environmentally-conscious consumers. Additionally, the compact size of small cars makes them well-suited for navigating crowded city streets and parking in limited spaces, which is particularly important in urban areas of Central & Western Europe.

Trends in the Small Cars market in Central & Western Europe are influenced by various factors. One notable trend is the increasing popularity of electric and hybrid small cars. With the growing emphasis on sustainability and the push towards reducing carbon emissions, many customers are opting for electric or hybrid small cars as a greener alternative to traditional gasoline-powered vehicles.

Another trend is the rise of connectivity features in small cars. Customers are increasingly demanding technology features such as smartphone integration, navigation systems, and advanced safety features in their small cars. Local special circumstances also play a role in shaping the Small Cars market in Central & Western Europe.

For example, government incentives and regulations have had a significant impact on the market. In some countries, there are tax benefits and subsidies available for customers who purchase electric or hybrid small cars, which has contributed to the increased demand for these vehicles. Additionally, some cities have implemented restrictions on larger vehicles in an effort to reduce congestion and pollution, further driving the demand for small cars.

Underlying macroeconomic factors also contribute to the development of the Small Cars market in Central & Western Europe. The region's strong economic growth and increasing disposable income levels have made small cars more affordable and accessible to a larger segment of the population. Furthermore, the trend towards urbanization in Central & Western Europe has created a need for smaller, more practical vehicles that can navigate congested city streets.

In conclusion, the Small Cars market in Central & Western Europe is experiencing growth and development due to customer preferences for fuel efficiency and compact size, as well as the trends towards electric and connected vehicles. Local special circumstances, such as government incentives and regulations, and underlying macroeconomic factors, such as economic growth and urbanization, are also contributing to the market's development.

Methodology

Data coverage:

The data encompasses B2C enterprises. Figures are based on the sales of new passenger cars. Data on the specifications of the sold vehicles is based on the base models of the respective makes.

Modeling approach:

Market sizes are determined through a bottom-up approach, building on specific predefined factors for each market segment. As a basis for evaluating markets, we use company reports and websites, vehicle registries, car dealers, and environment agencies among other sources. In addition, we use relevant key market indicators and data from country-specific associations, such as GDP and car stock per capita. This data helps us estimate the market size for each country individually.

Forecasts:

In our forecasts, we apply diverse forecasting techniques. The selection of forecasting techniques is based on the behavior of the relevant market. For example, we use the ARIMA model for the Passenger Cars market. The main drivers are GDP per capita and consumer spending per capita.

Additional notes:

The data is modeled using current exchange rates. The impact of the COVID-19 pandemic and the Russia-Ukraine war are considered at a country-specific level. The market is updated twice a year. In some cases, the data is updated on an ad hoc basis (e.g., when new, relevant data has been released or significant changes within the market have an impact on the projected development).