Small Cars - Ghana

Ghana

Highlights

Revenue in the Small Cars market is projected to reach US$14m in 2024.
Revenue is expected to show an annual growth rate (CAGR 2024-2029) of 0.08%, resulting in a projected market volume of US$14m by 2029.
Small Cars market unit sales are expected to reach 734.0vehicles in 2029.
The volume weighted average price of Small Cars market in 2024 is expected to amount to US$19k.
From an international perspective it is shown that the most revenue will be generated China (US$13bn in 2024).

Key regions:

Market definitionIn-Scope/Out-of-scopeMarket structureReportsMethodology

The Small Cars market in Ghana has been experiencing steady growth in recent years, driven by customer preferences for compact and fuel-efficient vehicles.

Customer preferences: Ghanaian customers have shown a strong preference for small cars due to their affordability and fuel efficiency. With rising fuel prices and limited disposable income, customers are increasingly looking for vehicles that offer good mileage and are cost-effective to maintain. Small cars also provide easy maneuverability in congested urban areas, which is a major advantage in Ghana's busy cities. Additionally, the compact size of small cars makes them suitable for the narrow roads and parking spaces commonly found in the country.

Trends in the market: One of the key trends in the Small Cars market in Ghana is the increasing demand for electric and hybrid vehicles. With growing concerns about environmental pollution and the need to reduce carbon emissions, customers are becoming more conscious of their vehicle choices. Electric and hybrid small cars offer a greener alternative, as they produce lower emissions and consume less fuel. This trend is expected to continue as the government promotes sustainable transportation and provides incentives for the adoption of electric vehicles. Another trend in the market is the availability of advanced features in small cars. As technology continues to advance, small car manufacturers are incorporating features such as touchscreen infotainment systems, Bluetooth connectivity, and advanced safety features into their models. These features not only enhance the driving experience but also cater to the preferences of tech-savvy customers. The availability of these features in small cars makes them more attractive to potential buyers.

Local special circumstances: Ghana has a growing middle class with increasing purchasing power, which has contributed to the growth of the Small Cars market. As more people enter the middle-income bracket, there is a higher demand for affordable and reliable transportation options. Small cars fit this requirement perfectly, making them a popular choice among the middle-class population.

Underlying macroeconomic factors: The economic stability and steady GDP growth in Ghana have played a significant role in the development of the Small Cars market. As the economy continues to expand, more Ghanaians are able to afford personal vehicles, driving the demand for small cars. Additionally, the government's efforts to improve infrastructure, such as road networks, have made owning a car more feasible for many individuals. In conclusion, the Small Cars market in Ghana is witnessing growth due to customer preferences for compact and fuel-efficient vehicles. The increasing demand for electric and hybrid cars, as well as the availability of advanced features, are driving this market trend. The growing middle class and the overall economic stability in Ghana further contribute to the development of the Small Cars market.

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).