McCarthy Motor Holdings, part of listed diversified industrial group Bidvest, has introduced a new concept in car sales targeting the low end of the car market — McCarthy Student Wheels, selling used automobiles at prices of R55 000 or less.
Unveiling the niche service on Tuesday, McCarthy Motors chairperson Brand Pretorius explained that it fills an existing gap in the market by providing reliable cars to students or first-time car buyers with limited budgets.
The company noted that most of the cars on the market falling into the “reasonable” price range were just about ready to fall apart.
“Vehicle affordability has been a very contentious issue in South Africa over the past few years,” said Pretorius. “McCarthy Student Wheels is a concerted effort on our part to make the used vehicles we sell more affordable, especially for emerging buyers who are entering the market for the first time.”
One of the most important aspects of the programme is the selection process to find suitable vehicles. McCarthy Student Wheels sources cars with engines smaller than 2 000cc, no executive models, no large commercials and only models with less than 180 000km on the odometer.
“The majority of the vehicles that are sold through the McCarthy Student Wheels outlets are sourced from other McCarthy dealerships across the country. And no vehicle is sold before undergoing a range of quality checks and a thorough reconditioning process,” said Pretorius.
The reconditioning process entails a complete check-up of the engine, and if it is still in good condition, a major service is carried out, otherwise the engine is completely redone. The cars are then sent to a paint shop for touch-ups and polishing to make the exterior look as good as new as possible.
Thereafter, all safety items such as tyres and windscreens are checked and replaced if necessary. The average reconditioning cost of the cars is approximately R6 000.
All the cars are then sent to the Automobile Association for their roadworthy certification and the car is therefore guaranteed to be of good quality, by an independent body.
Buyers are also offered a free one-month warranty, and a unique mechanical breakdown warranty is also offered as an optional extra.
McCarthy Finance has developed a special finance package for creditworthy customers, and parents can finance the car in their own name for their student children. Insurance is also made available at reasonable premiums by McCarthy Insurance.
McCarthy Motors opened its first Student Wheels outlet in Morningside, Durban, in May, and a second dealership was opened in Umhlanga Rocks recently.
“Further expansion of the project in KwaZulu-Natal will depend on the availability of suitable stock. The long-term plan is to have McCarthy Student Wheels outlets in all the major metropolitan areas, with the first one most likely to be situated in Pretoria,” said Pretorius.
“We believe that through McCarthy Student Wheels, we are now able to provide a big segment of the population access to affordable, peace-of-mind motoring for the first time. And in line with the McCarthy business philosophy, customer satisfaction is one thing that will never be compromised.” — I-Net Bridge