What caused the post-pandemic drop in car sales?
Reading Time: 2 minutes
Table of Contents
The COVID-19 pandemic affected all economies across the globe, leaving few sectors unscathed. One of the most significantly impacted industries was the automotive sector, which saw a sharp decline in car sales both during and after the pandemic. In this article, the 1st Call Windscreens team will be taking a look at the statistics behind this downturn and offering some key insights into the underlying factors contributing to the slump.
What happened?
From 2010 to 2019, new car sales had been steadily rising globally, with 2019 seeing around 75 million new cars sold. When the pandemic hit, this figure dropped dramatically; in 2020, only around 64 million vehicles were sold. Over the following two years, sales rose slowly but didn’t reach pre-pandemic levels until 2023.
Lockdown and restrictions
One of the key reasons why new car sales dropped after the pandemic was due to the restrictions placed on both people and companies in order to stop the spread of the virus. At its peak, the pandemic meant that dealerships up and down the country were forced to shut their doors, and many people who were considering purchasing a car that year simply had to wait. This made 2020 the worst year for new vehicle registrations since 1992.
Supply chain disruptions
The automotive industry’s supply chains were severely disrupted by the pandemic. According to a report by McKinsey & Company, factory closures and logistical challenges resulted in a 30% reduction in global automotive production in 2020 compared to the previous year. And on top of this, data from the International Monetary Fund (IMF) shows that workforce disruptions led to a 25% decrease in manufacturing capacity across the automotive sector as a whole. These disruptions contributed to a shortage of critical components and widespread production delays, which ultimately led to the drop in new car sales.
Remote work and a change in commuting habits
The pandemic led to a shift in consumer preferences which ended up having a huge impact on car sales in the UK. According to data from the Office for National Statistics (ONS), during the height of the pandemic in 2020, over 46% of the UK workforce were working from home, compared to just 5% prior to the pandemic. This widespread uptick in remote working meant that commuting habits changed and, as a result, the demand for personal vehicles dropped.
Economic uncertainty
It’s also worth keeping in mind that consumer spending patterns changed significantly during the pandemic as a result of economic uncertainty. According to a survey by YouGov, 62% of UK consumers reported cutting back on non-essential spending during the pandemic. Similarly, according to the Bank of England, the UK’s household savings ratio leapt to 27.4% in 2020, the highest level ever recorded. These changes in spending patterns ended up having a big impact on car sales in the UK both during and after the pandemic.
1st Call Windscreens is Kent’s leading windscreen repair and replacement company. No matter where you are in the county, we can come to you and get your windscreen sorted. Want to take advantage of our services? All you have to do is get in touch and a member of our team will happily get you booked in!
1st Call Windscreens
Hello and welcome to 1st Call Windscreens. To put it simply, we offer the best windscreen repair and windscreen replacement services for customers in Sittingbourne, Maidstone and the rest of Kent.
- Reviews.io
I spoke to David today, he couldn’t be more helpful! He was VERY honest, HELPFUL & KNOWLEDGEABLE! What an amazing service, if anyone is looking to use 1st Call, I couldn’t recommend them more! ...
- 4 days ago
we are very happy with the repairs carried out and the speed of the response. Great job, would recommend !st Call Windscreens any time....
- 2 weeks ago
Excellent service. A niggling leak on the windscreen was fixed quickly and efficiently. The screen was removed without fuss or damage and resealed. It's a job that insurers won't touch,they only de...
- 3 weeks ago
Discovered my Volvo V50 was not sealing at the top. Autoglass wanted to replace it for £700, called 1st Call and they removed and resealed it for £100+vat and said that if it had broken it would only ...
- 1 month ago
Absolutely the best. From the first phone call to collecting my car with new side window that had been vandalised being replaced. next day service so my car was back on the road promptly. Extremely ...
- 1 month ago
Excellent Workmanship Good Value and Top Quality Customer Service: I recently had my Ford Fiesta ST heated windscreen replaced by 1st Call Windscreens, I couldn't be happier with the whole experienc...
- 2 months ago
Brilliant service. Would recommend 1st call windscreens to anyone looking for an efficient service. Friendly and helpful above and beyond ! 0...
- 2 months ago
Asked for a quote online which came through quickly. Just £48 inc vat for windscreen stone chip. Phoned to book a repair. I could either take the car to them or they would come out to me the next day....
- 3 months ago
Tom turned up on time, he was professional but friendly, he kept me informed on what he was doing and progress, and did a great job! Thanks Tom. Would highly recommend...
- 3 months ago
I needed my windscreen replaced due to a large crack; I was booked in straight away and I couldn’t be happier. They came to my house to fit the replacement, only took them about 20 minutes and they ev...
- 4 months ago
Couldn't be happier, had my Evoque windscreen re sealed as was leaking. Highly recommend 1st Call Windscreens. The guys were extremely helpful & friendly both on phone and doing the work. The work was...
- 4 months ago
Fantastic service, booked for a site visit to alleviate any disruption to the engineers day and it all went seamlessly. I would definitely recommend 1st Call Windscreens and will use them in the futu...
- 4 months ago
Customer service were great responded to my call out vey quickly and the guy that came out was very nice and helpful Thank you...
- 5 months ago
Had my chip fixed at my home this afternoon - cannot praise the service enough!!!! Lovely man who took 10-15 minutes - perfect job and no issues - very good price and highly recommend them Jo Seveno...
- 7 months ago
Very helpful and carried out a repair at very short notice on our way to catch a ferry. Very polite and stabilised the chip in our windscreen so that we could continue abroad for our holiday uninterru...
- 7 months ago
Made a call to 1st call windscreens as I was worried about a chip in my screen. The guys were very helpful, turned up on time and carried out a fantastic repair and was cheaperthan my insurance acce...
- 7 months ago
We had an emergency windscreen repair needed when travelling down from Oxfordshire to Kent. The Sittingbourne team went out of their way to help us at very short notice and allowing us to resume our j...
- 7 months ago
Jake was friendly, polite and helpful. He left no mess inside or outside the car and took away the boxes the seals came in even though they were supplied direct by the BMW dealer....
- 8 months ago
Arrived on time at my home address. Was very professional, polite and efficient. No hassle and no mess. Screen was replaced on my mini in no time at all and looks perfect. Thank you will highly recom...
- 8 months ago
So happy with Byron and Jake today very friendly and professional from 1st Call Windscreens Ltd. They come extremely well prepared with attention to detail. A great job was done on replacing my wind...
- 8 months ago
1st Call windscreens are absolutely 1st class. Spoke with David on the phone and he was so helpful and knowledgeable. Took our car up to them to advise on the correct windscreens which embarrassingl...
- 8 months ago
See Our experts in Action
Watch 1st Call Windscreens video, featuring our experts in windscreen repair & replacement in Sittingbourne, Maidstone & Gillingham in Kent.
You can come to us or we can come to you. We repair and replace windscreens from single vehicles to whole fleets.
Get a free quoteMAP LOADING...
© 1st Call Windscreens Ltd 2024 · All Rights Reserved · Registered Number: 3942185 · VAT Number: 683 356 803
