Publications
Partners
The Toyota Corolla, Volkswagen Golf and Ford Focus are perennial top sellers within the C-Segment hatch/sedan sector of the South African car market. But there is only one car that consistently boasts the best resale value at auctions – and it’s the Corolla, says Darryl Jacobson, managing director of True Price, the innovative start-up that provides South Africans with free vehicle evaluations.
Fascinating findings
Members of the True Price team attend vehicle auctions each and every week in order to document actual prices achieved on auction. This information is added to the company’s extensive database, which already contains data pertaining to thousands of vehicle auctions.
Jacobson has analysed this data – split into three categories: cars that have done zero to 100 000km, 100 000 to 200 000km and 200 000km plus.
"Then we calculated the actual price achieved on auction as a percentage of the original retail price," he explains. The findings are fascinating…
Image: Tyrone Paulsen
"In the zero to 100 000km category, the Corolla achieves 66% of its original retail sales price versus the Golf at 61% and the Focus at 53%. In the 100 000 to 200 000km category, the Corolla achieves 52% of its original retail sales price versus the Golf at 48% and the Focus at 42%.
The Corolla reigns supreme
"In the 200 000km plus category, the Corolla achieves 46% of its original retail sales price versus the Golf at 41% and the Focus at 38%. No matter which category you look at, the Corolla reigns supreme," he notes. Jacobson attributes the domination of the Corolla to a variety of factors.
"The Corolla, which has been manufactured for 43 years in South Africa, is somewhat of a motoring icon, with a huge following and a superior reputation.
Image: Quickpic
"It’s a massive success internationally too. It overtook Ford's Model T and Volkswagen's Beetle some time ago, becoming the best-selling car model ever sold. More than 45 million have been sold globally since the Corolla was introduced in 1966," he reveals.
READ: Toyota Hilux versus Ford Ranger: which top SA bakkie has the best resale value at auctions?
"The old 'everything keeps going right' slogan of Toyota in South Africa is still very much top of mind. South Africans are comfortable with the Corolla. They perceive it as a very reliable vehicle that is supported by a massive dealer network," says Jacobson notes.
Image: Calvin Fisher
The True Price MD says that, whenever a Corolla is on auction, it’s always sold.
"Whenever a Toyota Corolla comes up on the auction floor there is definitely a buzz from the auctioneer and the buyers. There’s never a doubt that a Toyota Corolla will sell on auction, whereas the Golf and more so the Focus can go unsold," Jacobson reveals.
One of the reasons for this is the fact that the Corolla has a wider appeal than the Golf and Focus.
"Of course the Golf and Focus have certain niche markets. But the Toyota Corolla appeals to all ages. Accordingly, the dealers who are bidding on auction are confident of finding a buyer fast," Jacobson explains.
While sales of C-Segment hatch/sedan models are declining in South Africa in favour of cheaper cars and sports utility vehicles, Jacobson says that the Corolla will always maintain its superb resale value.
"It’s an iconic product that South Africans know and love. The same sentiments will apply to the new Corolla when it is launched here in 2019," he concludes.
