The Chief Operating Officer of Cars45 and Jiji, Maxim Makarchuk has stated that the Nigerian luxury car market is experiencing incredible growth although the market has faced challenges caused by increasing inflation and other macroeconomic turbulence.

Cars45 is a technology-enabled automotive trading platform that offers unique services for car sellers, buyers, and dealers.

According to Makarchuk, the Nigerian luxury car market is expected to achieve a remarkable Compound Annual Growth Rate (CAGR) of 14.75%,.

He said: “This exponential industry growth is driven by a potent mix of different factors, including changing customer desires, emerging trends, infrastructure development, and a shifting preference for sustainable luxury cars.”

Makarchuk, however, disclosed that renowned brands like Lexus, Mercedes-Benz, Toyota, and Land Rover will continue to dominate the market, and has more than 60% of luxury car advertisements on platforms like Jiji.

“Thus, luxury cars have become a statement of achievement, a tangible manifestation of one’s income power, and social standing in a competitive society where appearances matter.

“Consumers are increasingly looking for relatively affordable cars that provide a comfortable and luxurious driving experience while delivering durability, fuel efficiency, and high performance on the road,” Makarchuk said.

He continued that the demand for Sport Utility Vehicles (SUVs) in Nigeria, according to him, is rising in recent years, attributing this to several factors, including customers’ desire for vehicles with more space and versatility.

“Nigeria’s luxury car market is poised to continue its rising as a fast-growing, multi-diverse nation, meeting the specific expectations of its affluent customers.

“Nigeria’s ambitious infrastructure projects are reshaping the automotive sector, creating an environment conducive to luxury car ownership.

“A drive through the streets of Banana Island, Lagos, the upscale neighbourhood of Maitama, Abuja, and other upscale neighbourhoods exposes one to an array of luxury cars.

“Luxury car buyers in Nigeria are increasingly drawn to eco-friendly and fuel-efficient models that offer performance without harming the climate.

"For instance, Tesla’s Electric Vehicles (EVs) and BMW’s i3 are gaining popularity in the Nigerian luxury car market due to their sustainability features.”

Makarchuk advised stakeholders to hasten the process of infrastructural provisions for EV charging points in the country to accommodate the growing adoption of EVs.

BEB